Global Employee Referral Software Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Employee Referral Software Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Employee Referral Software is a tool that enables the employees of a company to contribute to their company’s hiring process. The tool lets employees refer candidates from their circle or network who they think will be perfect for a job role in their company. Employee Referral Software comes with features like easy referrals, resume uploading, status tracking, and more.

Market Overview:

The latest research study on the global Employee Referral Software market finds that the global Employee Referral Software market reached a value of USD 347.24 million in 2022. It’s expected that the market will achieve USD 934.03 million by 2028, exhibiting a CAGR of 17.93% during the forecast period.

Influence of COVID-19 Outbreak on Employee Referral Software Industry Development

At the beginning of the epidemic, many companies faced business decline and business loss due to the increasing negative impact of COVID-19 on the manufacturing and supply chain of products and services. Due to financial constraints, some companies have suspended all recruitment procedures for required positions and are managing work with available company employees. At the same time, the downside risks faced by the economy have led many enterprises to reduce their business expenses, and the expenses related to the purchase of employee referral software may be reduced.

The epidemic has brought dramatic changes to the business environment-a large number of workers turn to remote platforms, enterprises rethink and rebuild the supply chain, and manufacturing industries turn to produce personal protective equipment with strong demand. These are not just short-term business countermeasures. Adaptability has now become an indispensable business ability, and the everaccelerating speed of change has become the new normal. Most enterprises say that the Covid-19 epidemic has accelerated their digital transformation, and they are planning recovery measures after the epidemic, including investing in AI, IoT, blockchain and cloud technologies. As the company is increasingly dependent on new technologies, employee referral software may show better growth in the forecast period.

Drivers

Employee referral software has certain cost advantages. Traditionally, the recruitment process is very expensive because it involves many stakeholders and resource costs. In fact, companies spend a great deal of money while hiring potential candidates. Company can easily reduce unnecessary recruitment costs by investing in employee referral software. Because employees will recommend candidate information, the company doesn't have to spend a lot of money on other recruitment channels (such as traditional job advertisements, etc.). The only expense that the enterprise must bear is the need to give the bonus to the employee who successfully referral it.

It is often seen that candidates selected through employee referrals prove to be a good fit for the company. This is because, established employees can recommend candidates who are wellsuited for the job position and the company’s culture. Hence, job applications received through employee referrals software usually have a better conversion rate.

Hiring and retaining the best talents is crucial to the development of the organization. By making effective use of employee referral software, companies can find talented candidates only through employee referral. Not only that, whenever employees are asked to participate in the recruitment process and rewarded for qualified referrals, they feel more valued by the company. Compared with those hired through other recruitment channels, candidates hired through employee referral software tend to work longer in the company.

Employee referral software is helpful to increase employee conversion rate and retention rate, and reduce recruitment cost.

Region Overview:

United States had the highest growth rate of all regions.

Company Overview:

Phenom is one of the major players operating in the Employee Referral Software market, holding a share of 5.95% in 2020.

Jobvite, the company that was once an early mover in leveraging social networks to help source job opportunities and find interesting candidates for openings, is announcing two big moves to double down on its ambition to build a bigger platform for recruitment and applicant tracking. The company has picked up an investment of more than $200 million, and it will be using the money to acquire three smaller companies focusing on different aspects of the recruitment process: Talemetry (which specializes in recruitment marketing); RolePoint (for employee referrals and in-company moves); and Canvas (a text-based conversational bot to get the screening process started). The combined company will have 2,000+ customers that include Schneider Electric, Lenovo, Santander, PayPal, Genuine Parts and Panasonic.

Phenom today announced its acquisition of Tandemploy, a Berlin-based HR tech company focused on solving key problems associated with employee experiences. This addition enhances the capabilities of Phenom’s AI-powered Talent Experience Management (TXM) platform and grows the company’s presence in Europe.

Founded in 2013, Tandemploy’s powerful matching algorithm recommends pairings among peers, mentors, project leaders and subject matter experts by analyzing skills-based data and individual goals. Several of Europe’s largest companies use Tandemploy’s platform to help their employees succeed individually while advancing the organization’s greater purpose. Tandemploy’s internal mobility tools add functionality and enhancements to Phenom’s employee experience solution.

With this acquisition, Phenom establishes a second office in Germany and adds to its existing European operations in the United Kingdom, Ireland, Netherlands, France, Italy, Spain, Sweden, and Switzerland — serving customer needs locally.

Segmentation Overview:

Among different product types, On-premise segment is anticipated to contribute the largest market share in 2028.

Application Overview:

By application, the SMEs segment occupied the biggest share from 2018 to 2022.

Key Companies in the global Employee Referral Software market covered in Chapter 3:

Teamable
Talentry
ERIN
EmployeeReferrals, Inc.
Cornerstone
Workable
Cegid Group
Comeet
Jobvite
Hireology
Phenom

In Chapter 4 and Chapter 14.2, on the basis of types, the Employee Referral Software market from 2018 to 2029 is primarily split into:

Cloud Based
Web Based

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Employee Referral Software market from 2018 to 2029 covers:

Large Enterprises
SMEs

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)