INITIAL REPORT Susan Jennings Kantari, [email protected]

LinkedIn Overtaking Monster, BranchOut Bears Watching

Companies: DHX, GOOG, LNKD, MWW September 27, 2011

Research Question:

Are Monster and LinkedIn cost-effective methods to match recruiters with job seekers?

Summary of Findings Silo Summaries  Social networking is the trend in recruiting and is usurping 1) RECRUITERS broad-based job boards like Monster Worldwide Inc. (MWW). All nine sources held positive views of social networking LinkedIn Corp. (LNKD) currently holds the lead social site LinkedIn, and six said the company is a recruiting tool leader. None of our nine sources considered Monster an networking position. industry leader or trendsetter. Monster is ineffective at  Monster is losing market share throughout all U.S. recruiting executives, and sites such as Craigslist are better employment demographics. LinkedIn is gaining at the choices for nonexecutive recruits. One source said Monster is ―a dinosaur‖ that is full of less-attractive, unemployed executive level, and Craigslist Inc. is more cost-effective in candidates. Recruitment process outsourcing (RPO) filling nonexecutive positions. companies have been taking market share, according to  Industry-specific job boards and recruitment process three sources. Several sources believe the next trend will be mobile-based recruitment, and one expects video to play outsourcing (RPO) companies also are gaining market share. a larger role. Sources believe BranchOut and Google+ both  The next trends in recruiting are expected to be in mobile have potential for growth. One source believes BranchOut technology and BranchOut Inc., which should benefit from could dominate the field within two years.

having access to Facebook Inc.‘s user base. BranchOut could 2) ENTERPRISE HR MANAGERS gain traction among Generation Y/Millennials. Three of these four sources said they do not obtain employees through Monster very often or at all anymore. One source views LinkedIn as superior, particularly for senior-level employees, another receives more candidates from Indeed.com, and the third prefers to hire directly Social Monster an LinkedIn an through college athletic departments. Smaller, industry- Networking Online Job Online Job specific boards are gaining market share. Posting job the Recruiting Leader Leader openings on Twitter is becoming a trend. LinkedIn is Trend preferred for executive-level candidates while Craigslist and Recruiters/ CareerBuilder are used more for sales associates. One Headhunters source believes BranchOut could appeal to Generation Y/Millennials but doubts it could replace LinkedIn. Enterprise HR N/A Managers 3) JOB SEEKERS Three of our four sources used either Facebook or LinkedIn Job Seekers in their job search or said LinkedIn was popular in their personal and professional networks. None of these four job Industry seekers primarily relied on Monster. Specialists 4) INDUSTRY SPECIALISTS One source said social media is the trend in recruiting and LinkedIn is leading the way. Our second source said social media site LinkedIn and niche Websites are the most popular tools for job recruitment. Monster is less effective for recruiters because of its broad focus, but is trying to adapt to the social media trend by having Facebook apps. The future of recruiting will be in mobile technology.

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Background LinkedIn cut off network access for Monster‘s BeKnown app, claiming terms of service violations. Monster‘s BeKnown app originally culled information from LinkedIn to build members‘ profiles. This lack of access has derailed Monster‘s potential growth in social media, which has become a necessity in the online employment industry. Companies like Waste Management, VMware and Adobe are beginning to use social networking sites as recruiting tools, posting jobs and engaging users in groups and discussions. Also, Monster faces competition from LinkedIn, particularly its ―Apply with LinkedIn‖ plug-in, as well as from Facebook, Craigslist and others.

CURRENT RESEARCH To assess whether Monster and LinkedIn are cost-effective ways to recruit, Blueshift employed its pattern mining approach to establish and interview sources in five independent silos: 1) Recruiters/headhunters (9) 2) Enterprise hiring managers (4) 3) Job seekers (4) 4) Industry specialists (2) 5) Secondary sources (4)

Blueshift interviewed 19 primary sources and included four of the most relevant secondary sources focused on the rise of social media‘s role in recruiting and LinkedIn‘s leadership position.

Silos 1) RECRUITERS All nine sources held positive views of social networking site LinkedIn, and six said the company is a recruiting tool leader. None of our nine sources considered Monster an industry leader or trendsetter. Monster is ineffective at recruiting executives, and sites such as Craigslist are better choices for nonexecutive recruits. One source said Monster is ―a dinosaur‖ that is full of less-attractive, unemployed candidates. Recruitment process outsourcing (RPO) companies have been taking market share, according to three sources. Several sources believe the next trend will be mobile-based recruitment, and one expects video to play a larger role. Sources believe BranchOut and Google+ both have potential for growth. One source believes BranchOut could dominate the field within two years.

 David Perry, co-owner of Perry-Martel International Inc. and author of the Guerilla Marketing for Job Hunters book series Recruiters avoid Monster and job boards in general but LinkedIn‘s recruiting tools are years ahead of the competition, according to this 25-year veteran executive recruiter who has negotiated an estimated $184 million in salaries. Monster caters mostly to the unemployed, is untrustworthy, and produces meaningless results for recruiters. Mobile will be the next new trend among real-time hires and team building for companies. This source uses BranchOut for recruiting and said the company has the potential to dominate the field within two years. . ―Monster is yesterday‘s news. Full stop! LinkedIn is the platform now for recruiters. It‘s easy to use LI [LinkedIn] to get a three-dimensional Monster is an html version of picture of a prospective candidate/recruit before reaching out to them.‖ your local paper‘s classified . ―Monster is dead. It‘s not trusted by the recruiting community for a section and about as useful. host of reasons, and the results candidates have received have been Author & Co-Owner unmeaningful. Monster is an html version of your local paper‘s Recruiting Company classified section and about as useful.‖ . ―Serious professional recruiters and most of the Fortune 1000 use ZoomInfo [Zoom Information Inc.] to gather intelligence on prospects. LinkedIn is a voluntary community. ZoomInfo tracks what people of influence say and do, whether that person wants it tracked or not. I use ZoomInfo and LI daily.‖

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. ―I have a $75/month [LinkedIn] package that allows me to file and use ‗InMail‘ extensively. It‘s great.‖ . ―With Monster, [I have spent] $0. I have used it as recently as five years ago, and it was worthless in terms of the ROI.‖ . ―I use Monster to find companies that are hiring and are tired of wasting their time and money using the service. That strategy has made me nearly a million over the last 10 years—a million extra I wouldn‘t have without them.‖ . ―Monster [is more effective for] anyone unemployed, students who are arts grads, clerical, hands-on manufacturing, service businesses including restaurant and hospitality. LinkedIn [is most effective for] employed professionals who often have college degrees or higher, sales, marketing, engineers, executives of I held back publication of my every ilk including finance. Facebook [is for] students, people over 45 latest book, Guerrilla Marketing with grown or nearly grown children.‖ . ―Craigslist is primarily for targeted searches/ads for minimum-wage for Job Hunters 3.0, specifically people and/or contractors.‖ because I thought the inclusion . ―Job boards are out. TheLadders.com [Inc.] is used by candidates but of BranchOut was critical to the not really a lot by recruiters. Faxing out resumes and resume writing success of job hunters. services have lost their luster.‖ . ―It‘s too early to tell how [Facebook is] going to net out for me, but the Author & Co-Owner micro-targeting their technology allows is suburb.‖ Recruiting Company . ―Facebook is the new Google for recruiters, only better organized. We use Boolean search strings to find who we want in that pool of 600 million people. A rising star called BranchOut is building a LinkedIn platform within Facebook and will dominate the space within two years if they do everything correctly. Whereas LI built the platform from scratch … and they now have over 100 million [users] in eight years, BranchOut is starting with Facebook‘s 500 million and working backwards. Interesting concept and easier to recruit people.‖ . ―The third-party recruiting industry built Monster and LinkedIn into the juggernauts they are because of our early adoption. If the same happens with BranchOut, the result will be the same only faster because Facebook has a base to work from of 750 million users while LinkedIn did not. Thus, there‘s potentially easier adoption.‖ . ―[BranchOut‘s future] depends on how they scale and the services they offer and the price point they offer them at.‖ . ―I held back publication of my latest book, Guerrilla Marketing for Job Hunters 3.0, specifically because I thought the inclusion of BranchOut was critical to the success of job hunters. I did the same for LinkedIn in 2005, and the free chapter of that book included the section on LinkedIn and was downloaded more than 7 million times the first year and a bit.‖ . ―[BranchOut and LinkedIn] have different audiences. On LinkedIn I expect to see what a potential candidate ‗wants‘ me to see; not so with BranchOut. BranchOut is a Facebook app that integrates seamlessly with an individual‘s Facebook B profile, which is far less guarded and, therefore, far more revealing of a potential candidate‘s real character. I think that is BranchOut‘s major advantage. That‘s not widely recognized yet by mainstream users.‖ . ―Companies that now use LinkedIn will continue to do so and will use BranchOut initially as reference tool to verify the public face presented by candidates on LinkedIn.‖

 Tadd Rosenfeld, principal of TeamLauncher.com, which outsources recruited employees to U.S., Indian and Philippine IT companies Monster may become irrelevant if it fails to adapt to recruiters‘ needs for a more global candidate pool. Monster‘s future also is threatened by RPO companies, like TeamLauncher.com, which can more affordably provide the staff for its clients. TeamLauncher recruits mostly through ―local billboards, newspapers, job fairs, magazines and Web sites.‖ This source does not believe BranchOut can replace LinkedIn. . ―There will always be a place for Monster.com and LinkedIn for Monster‘s fate may be like recruiting. But Monster.com is going to become less important as MySpace‘s if they fail to adapt companies pop up to help companies recruit internationally. Think or acquire. about the process of hiring from TeamLauncher.com so inexpensively to understand what I mean. We aren‘t the only company out there. But Principal of a Recruiting Company the approach represents the future.‖

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. ―Monster‘s fate may be like MySpace‘s if they fail to adapt or acquire.‖ . ―Think about how Monster [or LinkedIn] is different from Elance.com or TeamLauncher.com. Probably on Monster [or LinkedIn] you will recruit someone expensively locally, whereas on the [noted] competing sites you will recruit someone much cheaper internationally. The competing companies are set up to make that process seamless and affordable.‖ . ―The job market is being forever changed by the Internet and globalization. A few years ago companies were limited to hiring employees in their home markets. Today it‘s possible to hire people all over the world. The job market has gotten a lot larger and more competitive. The cost of hiring has dropped substantially.‖ . ―BranchOut is a very recent phenomenon that works because it works in conjunction with Facebook, providing people with a way of being less restrictive about their connections. In a way it‘s a throwback to the way MySpace used to be more open, and Facebook changed that.‖ . ―I don‘t see BranchOut replacing LinkedIn. They serve different purposes. But I do see it continuing to expand like wild fire unless Facebook changes their protocol to make it harder for them, which I think they might do to protect their database.‖

 U.S. regional manager for a large, international recruiting company LinkedIn is the recruiting trend leader and is adding functionality specific to recruiting. Monster is more suitable to all levels of employees, not just the professionals who tend to gravitate toward LinkedIn. The source clearly preferred LinkedIn but said Monster still holds a very respectable place; otherwise, her company would not continue to use the company. Craigslist is no longer free for recruiters but is an excellent and top choice for local postings. Facebook does not play a role at all as it muddles the line between personal and professional and does not offer industry-specific forums. . ―LinkedIn is a professional organization for professionals, from employers and employees. Monster is an active place for people of all LinkedIn is a professional levels.‖ organization for professionals, . ―LinkedIn is adding functionality specific to recruiting.‖ . ―LinkedIn is the No. 1 trend for recruiting and connecting. People put from employers and their entire profile and businesses, are downloading those in place of employees. Monster is an resumes. It‘s outpacing anything else.‖ active place for people of all . ―We‘re doing more on LinkedIn than in the past. There‘s been a levels. significant increase in jobs posted on LinkedIn and the amount of people on LinkedIn has exploded.‖ U.S. Regional Manager . ―[Our recruiters] are checking LinkedIn 20 times a day. They‘re using it International Recruiting Company for recruiting as well as identifying businesses.‖ . ―I‘ve been on LinkedIn for about five years. For the last two years, I come [into the office] and invite someone on LinkedIn every day. I‘ve hired people and found connections that continue the conversation.‖ . ―We‘ve used Monster for years. I don‘t have statistics, but we still use it along with other Web sites so there must be [an advantage/results].‖ . ―From a recruiting perspective, [to use LinkedIn correctly you have to] mine information and use it on a regular basis. On Monster, you can print off resumes.‖ . ―We also use local postings, including Craigslist. We get more there than in the past.‖ . ―For contract recruiting, Monster is better for identifying people who are available now. LinkedIn is not as easy to find contract people vs. the permanently employed that always have their profiles up.‖ . ―I don‘t see [Facebook] playing a role at all. … There is a lot of information shared there that‘s not relevant— more personal information like photos and not a business focus. On LinkedIn, if, say, you are doing a software implementation, people join the relevant group.‖

 Alan Fluhrer, CEO of Fluhrer & Bridges, recruiter for 18 years Monster, which is more of a job board than a network, could lose out to LinkedIn should it neglect to address some of the niche job markets. Meanwhile, LinkedIn‘s growing popularity among recruiters may be derailed if it continues to add fees for use of more services. Craigslist proves to be a more cost-effective recruiter tool than Monster, particularly for finding candidates for entry-level jobs and start-up companies. Also, Google+ could develop into a powerful recruiting tool for recruiters. RPOs are gaining market share.

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. ―We use LinkedIn mostly. We will use the resume search function on Monster and CareerBuilder now and then, but usually it is LinkedIn, Google, Google Alerts. It‘s also Facebook and getting the word out through Twitter. The other tool I find very helpful is a monitoring tool, HootSuite. HootSuite is really one Web window where I can actively monitor LinkedIn, Facebook, Twitter and blogs all in one place. . ―Monster‘s … effectiveness is going to lessen as other channels like LinkedIn, Facebook, Twitter and whatever other unknowns come out. … Companies consider [Monster and CareerBuilder] low-hanging fruit.‖ . ―The usage of LinkedIn and Twitter has gone up tremendously over the past six months or so as people look for jobs and try to find out what else they can do to find opportunities. Indeed.com and Simply Hired [Inc.] have also gone up.‖ . ―A Monster or a CareerBuilder: think of them as a Target. They are all over the place and they appeal to the broader market. Then think of LinkedIn as a Macy‘s that offers more of a je ne sais quoi.‖ . ―For finding a job, Monster and CareerBuilder draw upon the most broad-based, one-size-fits-all, 20s to 30s, Gen X, Gen Y and baby boomers. LinkedIn is a lot more demographically constrained to the much more experienced person. … LinkedIn also speaks to those older professionals who are accustomed to joining associations to maintain their ties, which is what LinkedIn seems to ultimately be for them.‖ . ―Monster and CareerBuilder were more effective [for recruiters] years ago when there were fewer competitors and communication avenues. … That‘s why Monster and CareerBuilder are trying to have modules now that look more like Facebook and other social media.‖ . ―The jury is out on what LinkedIn is going to be [versus Monster]. LinkedIn has this essence that has been a wonderful thing so far, which is people can put up as much or as little as they want to and connect with their profession. Now LinkedIn is trying to get into the hard-core recruitment world because there is money to be made there. The downside of this is LinkedIn values this approach they will ruin that essence and just end up becoming another Monster. A LinkedIn profile is telling the world a little about yourself professionally whereas a Monster resume simply says, ‗Here is who I am as a job seeker and my value as a potential candidate.‘‖ . ―The benefit of LinkedIn is recruiters can professionally connect and keep in touch with a number of people. From a recruiting standpoint, that‘s very valuable in itself because someone like me can discern from your profile if you have at least the right general qualifications—within reason—for me to connect with you.‖ . ―Monster and CareerBuilder in comparison with LinkedIn, etc. are On the employer side, I think in extremely expensive to post a single job. They are anywhere between the past six months hiring temp $300 to $500 whereas in LinkedIn it‘s nominal. Craigslist is anywhere around $25 or $35. Another big, affordable trend for recruiting is and temp to perm has gone Simply Hired and Indeed.com.‖ away. … A lot of companies are . ―For smart recruiters, since Monster and CareerBuilder can be so also looking to RPO. expensive, Craigslist is still a great cost-effective way to post a job for such an entry-level person as an intern or administrative assistant and CEO of a Recruiting Company also for start-ups.‖ . ―The most effective [recruitment] tool is still the telephone. … Let‘s say roughly 45% are hired on some type of referral. … It‘s a blend of the telephone and leveraging and expending our network by using a LinkedIn, Facebook or Twitter account. Recruiters are using them as databases to find these people. I do searches on LinkedIn because it‘s free unless you buy LinkedIn Recruiter.‖ . ―On the employer side, I think in the past six months hiring temp and temp to perm has gone away. … A lot of companies are also looking to RPO. As companies are coming out of this recession and their hiring needs are increasing … they are trying to find the most cost-effective way to recruit and with their internal recruiters so buried in transactions. … They are bringing in these outsourcing companies.‖ . ―One of the big trends is proving the ROI of social media. … How can we [recruiters and companies] prove that we hired someone from LinkedIn or Facebook or Twitter? It is very challenging unless the candidate actually clicks on an ‗Apply Now‘ link on LinkedIn or in a similar tracking system on Facebook or the Twitter side.‖ . ―I love Google+. Google+ could be phenomenal for recruiters. It will just depend on how many people start using it as aggressively as LinkedIn.‖

 Joanna Chang, Lancor Group recruiter who focuses on the media, technology and telecommunications sectors Comparing Monster‘s and LinkedIn‘s market share potential within both the United States and Europe is like comparing apples and oranges. This former business executive in China does not use Monster, which she said is essentially a job

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board, and that LinkedIn is more of a resume database that she uses as one of a plethora of research and market research tools to locate top talent. Craigslist I think of Monster as a job has gained share from the Monster crowd. BranchOut is new to the market but should benefit from Facebook‘s candidate pool. Still, it is unlikely to replace board. It‘s primarily midmarket LinkedIn. if you really look at the analysis . ―LinkedIn is a much more valuable recruiting tool [than Monster]. I and role and jobs that are would also make the point that at the higher end, we [recruiters] are posted there. … LinkedIn, to me not using LinkedIn as a recruiting platform. We will pay LinkedIn to use anyway, is more of a place for [subscription services], but my European colleagues and I are using it more as a research tool.‖ research. . ―[Monster and LinkedIn are] an apple and orange comparison. Recruiter Objectively, Monster as a business can make the argument that, hey, I have resumes. People comes into my system and automatically market themselves. … By definition, there is the same mechanism there is in LinkedIn. They do have to sign themselves up, log on and load up, but the two mechanisms are, really in my view, an apple and orange comparison because they are not viewed the same within the recruiting system and [executive] recruiters don‘t really use Monster.‖ . ―I think of Monster as a job board. It‘s primarily midmarket if you really look at the analysis and role and jobs that are posted there. It‘s more of a job board platform whereas LinkedIn, to me anyway, is more of a place for research. … We don‘t post jobs on LinkedIn. Yes, LinkedIn has a job component, but that is not the draw. LinkedIn adds the most value to a recruiter in that people put into LinkedIn as little or as much as they want to market themselves. It‘s more of an online resume database for the recruiting industry. … When I go online to conduct research, I am not really looking at it from a cost perspective.‖ . ―Facebook and Google+ are definitely market trends. There are copycats of Facebook and Google+ in Europe and Asia Pacific that are also being used. … Facebook and Google+, I would not consider them recruiting tools. Period. They are consumer social platforms that people go on and communication and interact, but it is not a mechanism where [executive] recruiters go. It‘s not within our knowledge management ecosystem.‖ . ―Craigslist is very popular here in the [San Francisco] Bay Area. It‘s gained a lot of mind share. It‘s not just confined to job postings. … From our perspective, we don‘t use Craigslist at all. … It‘s kind of like a Monster. It‘s a job board. Monster and Craigslist have more in common than Monster and LinkedIn.‖ . ―I never go to Monster. I don‘t log onto it. I don‘t look at it. Nothing. It‘s not for a negative reason or a positive reason. It‘s just the way high end is, we [executive recruiters] don‘t post jobs there.‖ . ―Google+ and Facebook are in the same category. Monster and Craigslist are in the same category. LinkedIn is in its own category. … There are also the tried-and-true information data companies, old There is nothing more cost- school, [The] Dun & Bradstreet [Corp./DNB], [The McGraw-Hill Cos. Inc.‘s/MHP] Capital IQ. … Jigsaw is also interesting. I‘m not going to say effective than LinkedIn Jigsaw is like LinkedIn. It was acquired by Salesforce[.com Inc.] so it‘s because it‘s essentially free. an entity like Salesforce, but it‘s also a research mechanism that‘s Recruiter gaining popularity among recruiters.‖ . ―It‘s not a cost issue when recruiters consider these tools. It‘s about which platform tool has the most up-to-date, relevant information we are looking for and we are willing to go to a number of different places.‖ . ―However, there is nothing more cost-effective than LinkedIn because it‘s essentially free.‖ . ―I am not doing [LinkedIn‘s] Recruiter package. We have looked at it. It doesn‘t make sense. It has nothing to do with the cost. … Someone who is spearheading that platform, it‘s almost as if they have not talked with their [executive recruiters] to find out what is best or needed. … The LinkedIn Recruiter package … seems like a better fit for an in-house corporate recruiter or HR professional, not [external] recruiting firms.‖ . ―As it relates to a recruitment tool/technique and the use of technology, I can tell you that social media is definitely a trend.‖ . ―I do not believe BranchOut will replace LinkedIn. Though BranchOut and LinkedIn are perceived to be similar, the one difference may be that the target audience and forum are different.‖

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. ―BranchOut is emerging and it‘s still early. Perhaps one advantage is its link to Facebook. That said, if they are tied to Facebook, their All companies can potentially candidate pool is the Facebook audience pool. Does this not, therefore, use BranchOut to post jobs. … I determine the type of searches/clients that will be leveraging BranchOut, and the candidate pool?‖ think it can be another online . ―Between the two, LinkedIn is a better research tool.‖ channel perhaps. . ―All companies can potentially use BranchOut to post jobs. … I think it can be another online channel perhaps.‖ Recruiter

 Amos Tayts, co-founder of ResumeTarget.com and COO/president of MedCare Staff International Monster will have a tough time keeping market share and LinkedIn is great but may be hindered by focusing on cash flow ideas. This source believes Monster does a better job of policing its network against spam than LinkedIn. Monster suffers lackluster market appeal because of its fees and its failure to adopt a niche job tool, which other job boards like Dice.com (Dice Holdings Inc./DHX) have done. Internal referral site JobBite Inc. is gaining market share as a recruiting tool, along with Google+, Twitter and Facebook. The future of recruiting will really take off with those technologically savvy companies that can offer innovative features, specifically real-time communications with candidates like Skype Global S.à.r.l. (which Microsoft Corp./MSFT will acquire) and Twitter. Recruiting via the mobile market also will push open the door. RPOs are gaining market share. . ―It‘s a 50-50 split. Some of the best talent is found [through social sites like LinkedIn]. The other 50% you can find through networking and headhunting. Technology is good from a recruiting perspective, but you still need to apply other research techniques.‖ . ―Most of the searches when you are looking at senior executives that make about $250,000 are not being attracted through the social media outlets.‖ . ―Monster is going to have a very tough time [keeping market share]. In Canada, we are getting gouged for fees. … Also, you have a lot of the corporate companies that can‘t get their heads around posting and what they cost and what should be their ROI. … A lot of them have gone to RPOs as a result. Also, if the big job boards don‘t become more niche or try to push the niche areas, they will probably be left behind or be third or fourth on the list when utilizing your recruiting budget.‖ . ―Monster is doing some things right and some things wrong. [But] they are always going to be the big guys on the block.‖ . ―Now LinkedIn also has its problems. It‘s becoming a spam hideout for I love Craigslist for jobs. I love people to post their back links. LinkedIn is doing a poor job of policing it. They have the right idea the network whereas Monster is doing a better job.‖ because they go by city and . ―LinkedIn has really had a strong strategic plan to get them in the geographic location. It‘s also position they are today. I think over the next three or four years that free [to search] and you can get LinkedIn will develop new products and services that will allow recruiters to engage and communicate with candidates in a much good candidates. If you‘re more efficient way, whatever these tools will be. I personally think that looking to hire people that are video will be a part of that.‖ interns or up to the $50,000, . ―You have to look at LinkedIn over its history and you reference it to the range that is where Craigslist is bell curve. You have the early adopters, and now it‘s coming great. mainstream after about seven years. … It‘s a disruptive technology. … The future [market] is really going to belong to the [companies] that are Co-Founder of Recruiting Company really smart in math or are technology savvy.‖ . ―LinkedIn‘s goal is to go after every white-collar worker. By 2012, they want to have 60%, maybe even 70% of the white-collar market in the Canadian market. There are still a lot of people who don‘t know what LI is in Canada.‖ . ―LinkedIn, because they were early in the game, is probably going to separate themselves from the crowd over time … but I also think [LinkedIn] will start charging more. I don‘t think it‘s going to be free anymore [for recruiters].‖ . ―In terms of being cost-effective, one of the reason I started using LinkedIn in 2004 is because a client wanted me to recruit someone in Paris. I called Monster and they wanted €3,000—back then! It was a headache and costly. … We found everybody on LinkedIn. LinkedIn was actually being adopted [by recruiters] in the European

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market back then and in the Canadian market. … I probably wouldn‘t get the same investment on Monster, even now, because you have to be proactive on Monster. LinkedIn‘s little bit easier to network and it‘s free.‖ . ―Dice.com‘s long-term strategy is starting to pay off right now because they went niche. … If [Monster doesn‘t] go niche, they will have a tough time.‖ . ―I love Craigslist for jobs. I love it. They have the right idea because they go by city and geographic location. It‘s also free [to search] and you can get good candidates, but again that depends on your target. If you‘re looking to hire people that are interns or up to the $50,000, range that is where Craigslist is great. … The problem with Craigslist is you get a plethora of people applying, but a recruiter can also do a lot more quantifying. If a post asks for a cover letter and they don‘t include a cover letter, you can delete that person.‖ . ―Job Bite is an application that allows you to send jobs to your friends and pays an internal referral fee. That‘s becoming a big thing right now … especially with 70% [of candidates] are getting hired through internal referrals.‖ . ―Twitter is really becoming a toll for recruiting … And Facebook is becoming a pretty big component in recruiting. Part of recruiting can mean identifying that [candidate], but also identifying that person so you can maybe find their manager because that is who you are really trying to find. And it‘s free.‖ . ―Google+ plays a really key role in recruiting because it allows you to have really good search engine optimization [SEO]. It has to be a part of your [posting] strategy. … It gives you more leverage when posting jobs on the Internet. Obviously, Google wants to push it as a place where everyone comes to post. It‘s going to get more credibility over time though. … Its organization side is also better from a recruiting standpoint. … It‘s too early to tell, but that‘s what I am hearing in the background: you will have better SEO with Google+, better relevance than even Facebook.‖ . ―I see mobile becoming the next trend wave and then, obviously, the visual technology that allows you to present yourself [to a recruiter or potential employee] in that format. … I think real-time conversation will become in greater demand, like Skype, as people‘s attention spans have gone from 20 seconds to 10 seconds.‖

 Head of recruiting for a start-up recruitment company Recruiters and job seekers are using online and in-person social networking in place of job boards. LinkedIn is the only valuable job board worth the high fees, but Monster is a bit of a dinosaur that only large companies with outdated recruiting tactics use. Posting jobs on Facebook has yet to pay off, but the source said tools linked to Facebook like Foursquare Labs Inc., Sonar Media Inc., BranchOut and Monster‘s BeKnown are valuable. She sees a surge in tried-and- true ―pressing the flesh.‖ This source does not believe BranchOut can replace LinkedIn as LinkedIn is more targeted. . ―Right now, the biggest trend is that no one is using job boards. People are trying to utilize social media. People are using other tools—tracking, like Foursquare and Sonar. When you go to an event you can track them [ahead of time] even if you don‘t know them. Meetup [Inc.] has events; I go to a lot of those.‖ . ―No one uses Monster or Dice[.com for technology professionals]. Right now, the biggest trend is Those are very old-school.‖ . ―LinkedIn is still very valuable. You can find general candidates, look up that no one is using job boards. people. … It‘s about cost. LinkedIn is about the only one that can People are trying to utilize charge outrageous fees anymore. I post jobs there.‖ social media. . ―Monster is used by bigger corporations, more traditional companies that are not interested in trends or learning how to use the latest tool. Head of Recruiting Start-up Recruitment Company The big, huge company recruiters are out of the loop. It takes a lot of time and effort [to maintain in-person or online social networking connections], but I participate for fun and for work.‖ . ―As as a job seeker, I would never post my resume on Monster. It would be like posting it on MySpace. It‘s who you know, meeting up with people with the same interests. The last three positions I‘ve had I got through someone I know, not because I applied directly.‖ . ―[Seeing results from Facebook job postings] will take time to build. Think about how long people have had their LinkedIn profiles. I know that if I keep working at it, do the due diligence, it will pay off in the end.‖ . ―Facebook isn‘t doing much specifically for recruiters. They have BranchOut and BeKnown, which is the Monster product very late to the game. … Facebook is a company that I‘m not sure what they‘re doing.‖

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. ―Because I work for a smaller company, we can use newer software with built-in social media tools. I can go to each job and with two clicks share it with Twitter, Facebook and LinkedIn. We can use the newest Monster is used by bigger and greatest, most functional. Big enterprise trackers are terrible.‖ corporations, more traditional . ―Being that BranchOut is an app that sits on top of Facebook, you only companies that are not can add connections within your FB network, which is primarily friends interested in trends or learning and acquaintances. LinkedIn is primarily a work-focused tool. … I am how to use the latest tool. connected on LinkedIn to a couple of friends, but my network is primarily based on my work industry, which is technology and I have Head of Recruiting been building this network for years.‖ Start-up Recruitment Company . ―Due to networks you draw from, I do not think [BranchOut] will be a better alternative than LinkedIn.‖ . ―LinkedIn [is a better tool because] it is a more viable network and highly targeted.‖

 Executive recruiter and headhunter for an international firm based in Asia Monster is not a valuable tool for recruiting specific, high-level executives. This source has used Monster in the past but now views its demographic as too ―junior level.‖ LinkedIn is a big improvement and enables the source to seek out referrals and to headhunt. Facebook and apps like BranchOut currently are not players. This source said BranchOut is a LinkedIn competitor that has yet to gain traction. . ―I use LinkedIn as I focus on more senior finance executives. My focus is on finding specific, highly qualified individuals … and LinkedIn is used by those individuals who are not actively looking for work.‖ . ―LinkedIn is a big improvement, especially as they can enable us to identify people in organizations who are not actively looking for work but may be worth headhunting or speaking to for referrals or for market-mapping purposes.‖ . ―I work for a firm that chooses not to use [Monster] as it is viewed as being more effective at a junior level. My experience of using Monster in the past was several years ago in the UK where, again, it was more helpful for identifying junior-level candidates actively looking for work.‖ . ―[Facebook] plays a relatively minor role in terms of identifying senior-level executives.‖ . ―The application BranchOut seems to be trying to replicate LinkedIn but does not yet seem to have gained much traction.‖

 CEO and founder of a technology focused staffing and recruiting firm LinkedIn is a legitimate and long-term tool for the staffing and recruiting world with several advantages over other products, including Monster. LinkedIn‘s social networking capabilities, subscription services, access to user data, and user penetration make it more attractive and useful than competitor services. Monster serves as a job board and resume house, signaling to recruiters that the individuals are more than likely out of work, making them less attractive. LinkedIn also has open APIs that allow for site improvements and downstream businesses that only strengthen LinkedIn‘s offerings. Facebook represents an intriguing option in the recruiting and staffing industry because of its size and usage rates, though the combination of personal and professional information carries some risk. BranchOut is less known but holds potential. . ―LinkedIn breaks down barriers. Its opt-in membership is powerful and unique. It‘s built on a community feeling and leverages the social networking aspect about it. That separates it from others and makes it more useful to me than other tools out there.‖ In the tech industry at least, if the . ―I don‘t use Monster at all. In the tech industry at least, if the person person has the time to be on has the time to be on Monster, it tells me they are unemployed and Monster, it tells me they are unemployable. Monster does not attract the best candidates. It‘s just a massive database. Monster is not specialized in technology. It‘s just unemployed and unemployable. one big job board. I can do keyword searches on Monster, but I‘m just Monster does not attract the best not going to find the detail I am looking for like I can get on LinkedIn, candidates. It‘s just a massive and the quality of candidate is not nearly as high.‖ database. . ―Companies don‘t want candidates who are shopping themselves. It‘s more attractive to have someone privately shopping themselves, CEO & Founder someone who is happy where they are but could be happier Technology Staffing Firm

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Online Job Recruitment

somewhere else. Being on LinkedIn doesn‘t mean you are looking for work.‖ . ―LinkedIn‘s recruiting services costs something like $5,000 per seat per month. That‘s too rich for me. I pay $90 a month and get three levels of viewing. I can get the name and information three degrees from my contacts, which opens up a lot of options for me. And I can see who looks at my profile. This helps me find candidates and companies where I can place them.‖ . ―LinkedIn gives me more bang for my buck. It is legitimately better than what else it out there. People involved are open to having conversations and willing to talk to a recruiter like me.‖ . ―LinkedIn‘s API allows people to develop technology or improve the current model. It‘s spawning downstream businesses, which is a value add to LinkedIn.‖ . ―Facebook and Google are scary players: Facebook simply because the amount of users and adoption rate. Their challenge is the combination of personal and professional … Facebook‘s BranchOut could be dangerous given a lot of penetration, but I am not sure of its adoption at the moment.‖ . ―Google+ has a lot of features to like, especially with the circles, but there is a point of being oversaturated. I‘ve already got Facebook, LinkedIn, Twitter. At some point I need to do real work. I am not sure whether Google+ will work.‖

2) ENTERPRISE HIRING MANAGERS Three of these four sources said they do not obtain employees through Monster very often or at all anymore. One source views LinkedIn as superior, particularly for senior-level employees, another receives more candidates from Indeed.com, and the third prefers to hire directly through college athletic departments. Smaller, industry-specific boards are gaining market share. Posting job openings on Twitter is becoming a trend. LinkedIn is preferred for executive-level candidates while Craigslist and CareerBuilder are used more for sales associates. One source believes BranchOut could appeal to Generation Y/Millennials but doubts it could replace LinkedIn.

 VP, talent management for an education consulting business with over 300 employees and three offices nationally LinkedIn is a far superior alternative to Monster for companies, especially those looking to hire managers and senior-level employees. LinkedIn‘s advantage include its social connectivity, the ability to search proactively for employees, and the quality of its members. This also gives LinkedIn expected staying power. Facebook is not serious player. Companies using Twitter to promote themselves and to attract potential hires is a growing trend. This source doubted BranchOut could replace LinkedIn but said it may appeal to Generation Y/Millennials. . ―I haven‘t used Monster in a long time. I pretty much stay away from Monster.‖ . ―Monster and LinkedIn are very different and attract different people.‖ . ―Monster is just a massive job board. LinkedIn is a premier, professional social networking tool.‖ . ―LinkedIn allows you to be reactive and proactive in your search for candidates.‖ . ―On LinkedIn, I can find salespeople, managers, project managers. Monster is more for entry-level jobs.‖ . ―LinkedIn is a necessary evil. It will remain the leader until the next radical thing comes along in staffing and recruiting. I look at LinkedIn daily.‖ . ―Part of what makes LinkedIn so attractive is the social connections. I can see who is connected to whom, which helps me with hiring and it I don‘t think LinkedIn is the helps people looking for work as well.‖ flavor of the month. There . ―I don‘t think LinkedIn is the flavor of the month. There aren‘t any other big names out there competing in this space that could threaten aren‘t any other big names out LinkedIn. LinkedIn has something special with the sheer number of there competing in this space people out there using, and the quality of those people. I can find that could threaten LinkedIn. senior managers, directors, and VP-level employees on up.‖ . ―As time goes on, the quality of individual on LinkedIn will travel down VP, Talent Management the food chain.‖ Education Consulting Business . ―Recruiting and finding a job are still all about who you know. That part is made so much easier by LinkedIn. The reactive job search is not effective anymore.‖ . ―I don‘t want to use Facebook to source candidates. It‘s more of playground for people. They came out with BranchOut a while ago, but I think that‘s faded a little. I don‘t see Facebook for serious job seekers.‖ . ―One new trend that‘s developing is companies using Twitter for job openings and promoting themselves.‖

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Online Job Recruitment

. ―I have not used [BranchOut] for recruiting purposes, only for personal network.‖ . ―I think [BranchOut] is pretty weak. I have not used it for months and only used it when it was first released.‖ . ―[BranchOut] may be [a better alternative than LinkedIn] amongst the Millennials because it is so tied into FB.‖ . ―[I prefer] LinkedIn. Our target audience for corporate recruits uses LinkedIn.‖ . ―LinkedIn has a huge head start and brand awareness.‖

 Human resources manager for a national diagnostic testing company This source reported seeing fewer candidates from Monster and said smaller job boards are gaining in popularity. She more often sees candidates from Indeed.com and her company‘s own link. She does not use social media sites like LinkedIn, largely because the candidates she recruits are not at a professional level. . ―I‘d say Monster [is losing popularity]. I don‘t see as many candidates from there as I used to. It used to be our main place for posting jobs and tracking candidates.‖ . ―I see a lot from Indeed. I‘m looking at one right now where 50% came from Indeed.com and the rest mostly from our [company career link].‖ I‘d say Monster [is losing . ―We‘re not using social media unless it‘s from an internal referral [employee acquaintance]. There‘s no way to track that. We use popularity]. I don‘t see as many [smaller] job boards but not Monster so much now.‖ candidates from there as I . ―We post through Monster, sometimes CareerBuilder, then Indeed.com used to. It used to be our main and other free sources like all the state unemployment boards.‖ place for posting jobs and . ―The vast majority of who we recruit and the jobs we fill wouldn‘t benefit from [LinkedIn]. We are recruiting for jobs that are not high- tracking candidates. paid … customer-service jobs, people who will not likely be on LinkedIn. Human Resources Manager That would be more for the executive recruiting world, people in sales.‖ National Diagnostic Testing Company . ―It‘s kind of behind the times to stick with one or two job boards. You get lost in the shuffle. Smaller job boards, more specific job boards [are better].‖ . ―We do track; corporate is very interested in the cost of every candidate. … They are definitely focused on telling our CEO where they‘re getting more bang for their buck.‖

 Regional sales manager of a large, international media company Although Monster is the only sanctioned online recruiting site allowed for this division of a Fortune 500 company, the West Coast region of the source‘s company is predominantly hiring athletes straight out of college by contacting the athletic departments. Posting jobs with athletic departments is free, and regional managers get direct access to committed, dedicated team players ideal for the sales environment. . ―For online applications, we run everything through Monster. They post the job, people fill everything out online— territory, region—then it gets forwarded to us.‖ . ―If we want to hire, we contact [our corporate office], they put it on Monster, and then I start getting truckloads of e-mails and resumes. There‘s a filter process, but they all fill the company requirements.‖ . ―I probably get 100 resumes per job that gets posted on Monster.‖ . ―As far as I know, we don‘t utilize LinkedIn in any way.‖ . ―Our company is on Facebook, and we have an account executive who posts updates but never jobs. Monster is the only [paid] route.‖ . ―We go through athletic departments at colleges. That‘s the type of attitude we want in an employee: team player, committed, dedicated, etc. That‘s the route they want us to take at the company. That‘s 100% what the West Coast is doing now. I go directly to the AD, we have them post it, and it‘s free.‖

 Human resources manager for a multifaceted retail company This company uses every tool available—including major job boards like Monster and CareerBuilder, industry-specific job boards, and social media like LinkedIn—for hiring sales associates to professionals. The source uses LinkedIn for industry-specific openings. . ―We still use Monster. They drive applicants to our online application site. … For us, Monster is still paying off.‖ . ―Monster offers two different types of candidates [sales associates and professionals]. I can still get qualified professionals on Monster, but if I‘m looking for something specific to our industry—a retail buyer, someone with a specific niche—I‘m more able to find them on LinkedIn.‖

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. ―We use CareerBuilder as well. Craigslist is still helpful for us. Seventy-five percent of the time it is free. Craigslist determines that based on city location.‖ . ―Jobs boards do still work … specific to the industry.‖ . ―Dice is good for IT, programmers.‖ . ―We also use NRF [National Retail Federation Inc.] SmartBrief, which is for professional retail companies.‖

3) JOB SEEKERS Three of our four sources used either Facebook or LinkedIn in their job search or said LinkedIn was popular in their personal and professional networks. None of these four job seekers primarily relied on Monster.

 Motion graphics designer, New York City Social networking sites tend to be better recruiting outlets than traditional job posting sites because of the interconnectivity specifically within job seekers‘ industries. This source values LinkedIn over Monster because it allows him to review colleagues‘ work histories to better select his networking contacts. . ―I know of at least one to two people who have gotten a job through Monster in the past year, but also know a lot a more who have not.‖ . ―I know quite a few who have gotten jobs through LinkedIn and a few I know of at least one to two who have not. The reason LinkedIn has been more successful, from my people who have gotten a job experience, is the fact that‘s more a networking site rather than a through Monster in the past direct job application site. This gives the ability to directly see who and year, but also know a lot a with whom, people have worked with.‖ more who have not. . ―I find social networking sites a lot more effective than the blanket job posting sites [in terms of recruiting]. Like with everything else, it‘s all Job Seeker about who you know and, especially with technology savvy industries, New York City your involvement in these type of [sites] reflect that about your personality. And in most cases, the same people you might have worked with at one place know companies looking for employees in another.‖ . ―For my industry, blog-type sites that specialize in industry specific job postings gain more attention.‖ . ―The most effective resource I‘ve always found is word of mouth. Having a second- or thirdhand ability to know more about a person beyond their resume is a lot more beneficial.‖

 Recent hire, Portland, OR After a 14-month search, this source found his youth outreach position on a local job board and knew the director from in-person networking that connected the two on LinkedIn. He said LinkedIn was a major part of his job-search tactics. He knew of no one had obtained a job directly through Monster or LinkedIn. . ―I used Monster, Craigslist, Indeed.com and LinkedIn for my job search.‖ . ―I got my current job through a job board and friend. I saw a job posting for an organization that I recognized, and it turns out one of my contacts was the executive director.‖ . ―I had met the ED through a small network of businessmen in my area. We were friends on LinkedIn. And I will say that LinkedIn was a big part of my job search: networking, creating a professional profile, etc.‖ . ―I posted my resume on job boards and e-mailed my resume. Both had minimal success in terms of getting interviews.‖ . ―I have never used Facebook [in my job search], and I don‘t know anyone else who has.‖

 Veterinary technician in her 20s, eastern Pennsylvania This source does not use Monster and LinkedIn as a job hunting and recruitment tools because of a fear of identity theft during this poor economy. She prefers retaining control over who reviews her personal information and places more value and energy in job hunting via word of mouth, CareerBuilder and newspapers. She considers Facebook a more enticing option than LinkedIn and Monster, again because of her ability to control her information. She does not know anyone who has landed a job through either Monster or LinkedIn.

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. ―I do not know anyone who has gotten a job through Monster or anyone who has tried. I also do not know anyone who has tried or gotten a job through LinkedIn. I use the newspaper, Craigslist, word of mouth and CareerBuilder.com to try to find jobs.‖ . ―I have found that I received more responses from Craigslist.com because you are able to e-mail them your resume. They normally do not offer phone numbers, so they do not get hounded by large amounts of people looking for a job. . ―Craigslist isn‘t as reputable as it was six months ago since people are afraid to post any personal information over the Internet, especially in this economy. I also noticed that many employers do not use Careerbuilder.com as often as they used to. It costs money to post ads in the newspaper, and CareerBuilder does go through [the local newspaper].‖ . ―I have never tried to use Facebook for looking for a job unless someone needed a babysitter. Now that I know that you are able to search for jobs on there, I might use it. However, the problem with the Internet period is people are afraid to put their personal information on there and they have good reason to.‖

 Nurse in her 30s, Baltimore area This source recently decided to return to her profession after about seven years of being a stay-at-home mother. She does not know anyone who has landed a Monster is losing ground with job through Monster and said the company is losing ground among younger job the younger population simply seekers. Monster is more of a job seeker‘s resource tool. She is less familiar with LinkedIn, but said more people in her personal and professional networks because Facebook is easier appear to be using LinkedIn quite regularly. and can reach more people at . ―Monster is losing ground with the younger population simply because a faster rate. Facebook is easier and can reach more people at a faster rate.‖ . ―I do not know anyone that has ever gotten a job via Monster, actually. I Job Seeker Baltimore-area looked there briefly for jobs, but looked more at their advice area and sample resumes. . ―I don‘t know much about LinkedIn. I just get e-mails from people asking me to sign up or join their networks or whatever. I was able to ‗Google‘ someone and confirm it was them because of their LinkedIn info.‖

4) INDUSTRY SPECIALISTS One source said social media is the trend in recruiting and LinkedIn is leading the way. Our second source said social media site LinkedIn and niche Websites are the most popular tools for job recruitment. Monster is less effective for recruiters because of its broad focus, but is trying to adapt to the social media trend by having Facebook apps. The future of recruiting will be in mobile technology.

 Jobs board manager of an aggregate e-newsletter LinkedIn and niche Web sites are the most popular tools for job seekers and employers. Job boards are relevant still as long as they narrow their focus and people are not lost among the masses, as has occurred with Monster and CareerBuilder. This source‘s company has not joined job aggregate Web sites. She is contacted regularly by headhunters via her online profile, but she would frown upon someone contacting her via her Facebook account. . ―Since we do go to recruiter industry events, I have friends at Monster, LinkedIn and many of the other companies. As far as Monster and CareerBuilder go, candidates use them a lot, but recruiters say they are not the most effective tool for job seekers and employers.‖ . ―The trend is more niche Web sites.‖ . ―There‘s a focus back on picking up the phone [and networking], not There‘s a focus back on picking waiting for people to come to you.‖ . ―LinkedIn is a really effective tool. There is so much information about up the phone [and networking], the companies available to the candidates. There‘s just more not waiting for people to come information available in general.‖ to you. . ―LinkedIn is continuing to be popular and successful because it‘s a unique offering, a preset resume available to see.‖ Jobs Board Manager . ―LinkedIn is a strong runner-up. I see a lot more Twitter job postings via Aggregate E-Newsletter

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[Career Arc Group LLC‘s] TweetMyJobs. There are a lot using those tools.‖ . ―It‘s been an interesting few years in recruiting; 2008–09 were rough years. I was constantly hearing from employers/recruiters that they didn‘t want to post jobs online because they‘d get 1,000 candidates applying per job.‖ . ―[Business] is definitely picking up in the last year, year and a half—for our company‘s business, for our clients‘ businesses. When I go to the job fairs and tradeshows, you see the people are happier.‖ . ―There are no signs of things going down again. I can easily tell how things are going by how many companies are placing jobs with us.‖ . ―A few years ago, people were saying posting jobs online was dying … but we keep our standards high and continue to raise them by preselecting from [our already industry-specific] pool. We get higher-level, industry- specific candidates.‖ . ―Some of the feedback we get is that recruiters would like a way to contact candidates directly, maybe a resume posting service. People want to be visible … but the higher-level professionals don‘t want to be too public, don‘t want their employers to know they are looking.‖ . ―Our job seekers are passive, people who are already subscribed to our newsletter. [Our clients] don‘t want to hear that; they‘re worried about poaching. [At the same time] they love to see competitor employees clicking on their jobs. They get real-time reports about how many people are clicking on their jobs and it includes the company name and title [of the person clicking]. It helps recruiters to see what type of person is applying—if they are too senior, too junior or not remotely suitable.‖ . ―Companies can‘t—or don‘t—track the results they get [from their recruiting channels]. They pay a lot of money, then don‘t utilize the tools properly.‖ . ―I get contacted from headhunters, and I don‘t mind. I have no duty to respond. I would not be pleased if someone contacted me via Facebook.‖

 Industry publication and Web site editor Social media is the trend, and LinkedIn is leading the way. Job boards like Monster are not dead and are adapting to the times with technology such as Facebook apps. Monster remains relevant because of this, and many sales and managerial-level professionals know of no other option. Niche boards are also ―the right way to go for most professional people.‖ However, most companies fail to track the ROI of these recruiting channels. Recruiting eventually will move away from computers and into mobile phones, including in regions like China and Africa that cannot count on access to broadband service. . ―In 2007, there was a cry that job boards would die. They didn‘t. The IAEWS is so big, thousands of members. Just ask them.‖ . ―The average Joe doesn‘t know. Even if you are an engineer and should belong to associations, you might not know what‘s going on in a different state or abroad. They only know Monster and CareerBuilder. It‘s a Pepsi and Coke syndrome.‖ . ―It‘s the major reason big job boards didn‘t die, why Indeed does well. How do you get your message to the more than 200 million people in The average Joe doesn‘t know. the U.S.?‖ Even if you are an engineer and . ―Facebook, LinkedIn, Twitter are enormous for recruiters, but still not should belong to associations, all recruiters. … Fortune 1000 companies are not really active although they are starting to be. But you have to take into account brand you might not know what‘s identification that doesn‘t require [these big companies] to Twitter their going on in a different state or lives away. They‘re big, well-known, represent job security—people abroad. They only know come to them. If a company is in this category, why would they go on a Monster and CareerBuilder. It‘s fad?‖ . ―What we know is that recruitment marketing is a $6 billion business, a Pepsi and Coke syndrome. but most companies are not, or not very effectively tracking their return Industry Publication & Web Site Editor on their annual recruitment marketing spending.‖ . ―I know a lot of Fortune 100 companies are on LinkedIn. How much they use it other than just being there, I don‘t know. But I do know that recruiters from companies like Sprint, Coke, Starbucks are there because they are consumer brands and their marketing department knows that this generation is online all the time.‖

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. ―LinkedIn is more a candidate reference tool. Recruiters had been ‗hacking in‘ before, but now it‘s a fully functional tool. You can leverage your own network.‖ . ―Every day you hear about new companies forming alliances with LinkedIn.‖ . ―Monster is best to look at how things are. They have totally embraced the social media craze. They are walking the walk and talking the talk.‖ . ―CareerBuilder is certainly still very large and competitive.‖ . ―Indeed [is] poised to go beyond the U.S., into the UK and take the rest of Europe by storm.‖ . ―TheLadders.com were Super Bowl sponsors. They were a $100,000-plus job board and now have regrouped and now start at $40,000. They‘ve broadened the pool, the candidates, and gone from a niche platform to most the rest of us.‖ . ―Niche boards are definitely the right way to go for most professional people—those who read blogs, are members of associations.‖ Industries are going to text . ―Any Webinar that talks about social media gets four times as many people registering for those events. The curiosity is enormous.‖ systems, and that‘s where it‘s . ―A good and fashionable trend now is outreach to get the military back going. to work. … Every recruiter conference has this theme as an industry Industry Publication & Web Site Editor standard. It‘s something you just do. Period. It‘s more prevalent than just five years ago. … It‘s a nice, human side of recruiting and there‘s a lot of education about it and them, how to transition, translate their experience.‖ . ―Industries are going to text systems, and that‘s where it‘s going. Apply for jobs via texting, you are reaching everyone. I was in Egypt and the Bedouins had cell phones. … The Chinese are building phone towers like crazy. The apps and technology are developed, but once that really takes hold and they don‘t need broadband it‘s limitless.‖

Secondary Sources Our first secondary source showcased an industry study in which 56% of 541 surveyed HR professionals were using social networking sites for recruiting and that LinkedIn was used by 95% of those surveyed. Our other three secondary sources discussed LinkedIn‘s threat to traditional job boards and the decline in active BeKnown users since the peak in July.

 August 2011 Society for Human Resource Management (SHRM) study Of the 541 HR professionals interviewed, 95% use LinkedIn for recruiting, followed by 58% who use Facebook and 42% who use Twitter. The study also Among organizations that used found a significant increase in the percentage of HR professionals who believe social networking sites for social networking Web sites are an efficient way to recruit candidates at multiple recruiting, the most utilized job levels. SHRM survey—Social Networking Web sites and Staffing. social networking Web site in . ―More than one-half (56%) of the organizations currently use social 2011 was LinkedIn (95%). This networking Web sites when recruiting potential job candidates. This is a significant increase since 2008, when a little over one-third (34%) of was followed by Facebook organizations were using these sites as a recruiting tool.‖ (58%) and Twitter (42%). . ―Among organizations that used social networking sites for recruiting, Society for Human Resource the most utilized social networking Web site in 2011 was LinkedIn Management (95%). This was followed by Facebook (58%) and Twitter (42%).‖

 July 25 Staffing Talk blog post LinkedIn‘s threat to traditional job boards continues to grow through its latest plug-in called ―Apply with LinkedIn.‖ LinkedIn cut off access to its network to Monster in response to Monster‘s BeKnown app. http://staffingtalk.com/latest-threat-job-boards-apply-linkedin . ―The icy relationship between LinkedIn and job boards took another sour turn today when the professional networking site launched a plug-in called ‗Apply with LinkedIn.‘‖ . ―Companies both big and small can now add the plug-in alongside their own ‗apply now‘ button on corporate career sites, enabling candidates to throw their hat in the ring using their LinkedIn profile.‖

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. ―Job boards can add the button if they so choose, but don‘t count on a warm reception, especially since they get a big chunk of revenue from resume searching.‖ . ―Companies pay big bucks to have access to the profiles of job seekers on job boards. It‘s safe to say that job boards won‘t take kindly to LinkedIn‘s latest offering, just one of many products the social site has introduced that encroaches upon job board territory.‖ . ―LinkedIn appears to be evolving from contained professional networking ecosystem to a full-blown, 21st century job board with social sharing capabilities, something most of the job boards haven‘t been able to nail down.‖ . ―In fact, when Monster announced its first big foray into social media earlier this month, LinkedIn quickly stepped in to rain on their parade by cutting off access to its network. The app Monster built, called BeKnown, culled information from LinkedIn to build members‘ profiles.‖ . ―LinkedIn‘s 100+ million membership base may be very persuasive for those who are on the fence.‖

 Aug. 9 TechnoBuffalo article This article highlighted the latest trends in hiring, social recruiting and LinkedIn‘s role. LinkedIn grew 170% year to year in the second quarter, far exceeding Monster‘s 25% growth. Although less than 1% of employers are using Facebook recruiting, recruiters may tempted by Facebook‘s user base. http://www.technobuffalo.com/internet/social-networking/facebook/hey-howd-you-get-that-gig . ―Monster‘s hugeness not only spawned plenty of copycats and niche sites, but there are other alternative (read: little or no-cost) online resources now too. And leading the pack is today‘s latest trend in hiring: social recruiting.‖ . ―The leader in professional online networking is indisputably LinkedIn, whose hiring solutions segment has ballooned up to $58.6 million in Q2. Although that pales in comparison to Monster.com, which has $270 million, look at it this way: This big Kahuna grew 25 percent from the same quarter last year. LinkedIn grew 170 percent. That, friends, is what you call a trend.‖ . ―Where this trend might be going next, however, is what‘s making people uncomfortable. Apparently, more companies are beginning to look to Facebook to find job candidates.‖ . ―So far, few employers are engaging in Facebook recruiting (at under 1 percent), but the site‘s 750 million+ userbase, zero cost, and qualified leads could prove too tempting for them to resist. Already Monster has a Facebook application for recruiting and professional networking, as does BranchOut. And VMWare is about to be a beta tester for BranchOut's RecruiterConnect product. [Updated: VMWare will be a beta tester for BranchOut‘s RecruiterConnect product.]‖ . ―According to Will Stanley, VMware‘s talent acquisition Web strategy manager, candidates are twice as likely to apply for jobs found on Facebook compared to other ways.‖

 Aug. 24 Reuters article Monster faces multiple threats from the likes of LinkedIn, Dice.com, CareerBuilder, Indeed.com and TheLadders.com. The number of active users for Monster‘s BeKnown has fallen by one-third from July‘s peak. http://www.reuters.com/article/2011/08/24/us-monster-socialmedia-idUSTRE77N6QW20110824 . ―Monster [stock] has fallen harder than peers because it faces a second threat besides a possible double-dip recession: increased competition from social media.‖ . ―LinkedIn‘s Hiring Solutions business, roughly half of its sales, is forecast to reach $384 million in revenue next year from 2011‘s estimated $243 million, according to JPMorgan.‖ . ―Companies are building their own career sites and are savvier about using search engines to attract applicants.‖ . ―‗LinkedIn is probably the best positioned and probably going to cause BeKnown has won praise for Monster and Dice the most problems moving forward,‘ said separating personal from Morningstar analyst Vishnu Lekraj.‖ . ―Apart from LinkedIn, Monster‘s competitors include specialty jobs site professional profiles, but daily operator Dice Holdings Inc. as well as CareerBuilder.com, which is active users are down by a third owned by several newspapers, Indeed.com and The Ladders.com for from July peaks, according to high-income earners.‖ analytics tracker AppData. . ―Monster, too, is looking to capitalize on social networks. In June it launched an application, ‗BeKnown,‘ that encourages Facebook users Reuters Article to refer friends for jobs, or see what contacts are connected to a

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Online Job Recruitment

company where they‘re seeking work.‖ . ―BeKnown has won praise for separating personal from professional profiles, but daily active users are down by a third from July peaks, according to analytics tracker AppData.‖ . ―An example of an employer shifting its strategy is Eaton Corp. The industrial giant with 70,000 employees is shifting investment away from job boards and expects to reallocate more than 15 per cent of its U.S. professional recruitment budget to social media.‖ . ―Eaton is actively recruiting through LinkedIn and passively marketing the company, its products and job openings via Facebook, Twitter, YouTube, [Google‘s] Orkut and Xing [AG:ETR:O1BC], said Jeff Scolnick, Eaton‘s vice president of talent acquisition.‖

Next Steps Blueshift will monitor LinkedIn‘s role in job recruitment, its sharing of information with other social networks, and its success rate in connecting job seekers with employers. We will investigate the leaders in mobile recruiting. We also will assess the roles of BranchOut and Google+ in the recruiting industry. Finally, we will monitor Monster and its efforts to regain lost market share.

Additional research by Lindsay Gadsby, Reverdy Johnson and Melissa Yaremich

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