What Is Employee Branding? Tips & Benefits
Fostering a positive brand reputation is critical for attracting and retaining the right talent.
More than 75% of job seekersOpens in a new tab apply for a job based on the reputation of an employer, with over 50% visiting social media and company review platforms to evaluate the company’s employee brand. Research has also shown that an employee’s voice is more than twice as credible as the CEO’s.
The data highlights the impact your current and past employees' voices have on your brand and makes it clear that companies need to invest in employee branding efforts.
But you might be wondering: what is employee branding? Read on to learn more and how your company can take action.
What is employee branding?
Employee branding is a marketing strategy that focuses on the company’s reputation among its workforce. It involves aligning employees with the company's values, mission, and vision to improve its internal engagement.
A strong employee brand helps attract top talent, as potential candidates are more likely to apply and stay with a company known to treat their employees well.
With social media and job review platforms like Glassdoor, it’s easier than ever to share employee experiences about an employer with a wide audience. Positive reviews on such platforms can further bolster a company’s employee brand, while negative feedback can have the opposite effect.
Understanding the difference between employee branding and employer branding
While employee branding is relatively new, employer branding has been a longstanding practice in human resources and marketing. Employer branding is a marketing strategy that focuses on the employer’s reputation among the workforce. It goes hand in hand with employee branding, which focuses on the employees’ perception of the company as a whole.
The chart below highlights the major differences between the two.
| Employee Branding | Employer Branding |
| Internal engagement | External engagement |
| Driven by the company’s employees | Driven by the company’s human resources team and company executives |
| Focuses on the experiences and communications employees have with their work | Focuses on career advancement opportunities, work culture, and company perks |
| Utilizes social media, employee-generated content, internal communications and networking events to amplify employee voices and experiences | Utilizes marketing, advertising, social media, and external communications to reach external audiences |
| Works on educating employees “the way of the brand” so they can be brand advocates | Works on securing an employee’s contract of employment |
| Looks inward to how employees represent the brand and live its core values | Manages outward appearances |
Why is employee branding important?
Employee branding is more than an effective recruitment strategy – it also plays a part in how your current employees feel and work.
Let's talk through the benefits of employee branding.
Enhances employee engagement
Employee branding ensures that your employees are happy, loyal, and engaged, which translates to a better business overall. It’s undeniable that employees who love their jobs are more motivated and productive and do better work.
Additionally, employees with a strong connection to the company are more likely to have high morale and enthusiasm, positively impacting team dynamics, innovation, and company culture.
Here are six more ways to increase employee engagement, regardless of the external challenges an organization may be facing.
Reduces employee turnover
Employee branding creates a work environment that employees are proud to be a part of. Happy employees are less likely to leave for another company, saving the organization the costs associated with recruitment and training.
Attracts top talent
Good employee branding gives you a competitive edge in the job market and helps you attract the best candidates for your organization. In fact, a LinkedIn studyOpens in a new tab showed that as many as 80% of recruitment managers believe that employee branding has a substantial influence on attracting top talent.
Expands customer base
According to a study published in the Journal of Service Research, employee satisfaction is directly associated with customer satisfaction. Happy employees are more likely to assist customers with a higher level of customer service, creating a more satisfying customer experience.
Customers often view a company with engaged and happy employees more favorably, which leads to new business opportunities and higher profitability.
Improves online visibility
Employees who share their positive work experiences online, whether through social media or company review platforms, increase the company’s online visibility.
Improved and positive online visibility allows people to come across your products and services more easily, makes candidates want to work for the company, and solidifies your value proposition, which is essential for building brand awareness and recognition.
Ways to build a great employee brand
Unsure of how to build effective employee branding? Here’s a list of key points to consider when developing and implementing a marketing strategy that will boost your brand image:
Live your company values
Don’t let your company values gather dust on a rarely-visited page of the company website. Integrate the company values into your daily operations and decision-making as much as possible. Your actions should serve as a constant reinforcement of your company values, shaping the workplace culture and gilding people towards a common vision.
In other words, practice what you preach. If your employees don’t know what the organization stands for, they won’t connect to the company’s culture or leadership.
Enhance the candidate experience
A positive candidate experience can leave a lasting impression. It can lead to more referrals from the candidate’s friends and colleagues and even become the deciding factor for candidates who are considering multiple job offers.
On the other hand, when a candidate is treated poorly, there's a chance they'll talk about it their negative experience on a job review platform or social media.
Establish consistent employee communications
You won’t be able to effectively communicate your company values and goals if your employee communication strategy is lacking. Your employees should always be in the loop about company news, initiatives, and goals.
Leverage multiple channels, such as newsletters, emails, and company platforms, to foster a stronger sense of connection between your employees and the organization.
Focus on your current employees
Replacing an employee can cost a company between cost a company between 50% to 60%Opens in a new tab that employee’s annual salary. Knowing this, it’s clear that retaining and investing in your current talent is a cost-effective strategy. Existing employees are already familiar with your company’s culture, processes, and expectations, so you don’t have to constantly get them up to speed with company rules and values.
Long-term employees have also accumulated valuable knowledge about your company, industry, and customers. This expertise is unique and difficult to replicate elsewhere.
Harness the power of social media
Social media can be your greatest weapon. Use it wisely and strategically to build a strong and engaging online presence. It can help you share stories, achievements, and insights that showcase your culture and values.
For example, Google’s Instagram account, lifeatgoogleOpens in a new tab, is a prime example of how to effectively use social media for employee branding. The page regularly features employees from different backgrounds and departments, highlighting their experiences and contributions. This humanizes the company and provides an authentic insider look into what it’s like to work at Google.
Educate your employees about your brand
You can do this through company workshops, weekly meetings, and informal discussions. By educating your employees about your brand, you employ them to become brand ambassadors. It’ll make it easier for them to tell others what the company is about and what makes it so good.
Maintain consistency
As with most marketing strategies, consistency is key to building an effective and impactful employee brand. Consistency builds trust and credibility. When you stay true to your company values, employees will begin to trust in the authenticity of your brand.
It also ensures everyone knows what to expect from the organization. From the first contact to the final interview, a consistent approach helps potential employees see what it’s like to work with you.
How to assess your company's employee brand
Assessing your company’s employee brand involves evaluating how your company is seen by employees. Here’s how to get started:
Gather input from employees
Conduct a survey to understand how your employees understand the company’s purpose, ambitions, and values and what the company can do to better align goals with reality. We suggest adopting a "strongly disagree" to "strongly agree" scoring system so you can gain answers and not just agreement. Here are some sample questions to get you started:
- I understand our company’s purpose or mission.
- My daily work aligns with the purpose, ambitions, and values of the company.
- The company effectively communicates its purpose, ambitions, and values.
- I have access to training or resources that helped me better understand the company’s purpose and values.
- I feel valued for my contributions to the company.
- I am well-informed about the company’s missions, goals, and values.
- I feel respected and included regardless of gender, background, or ethnicity.
- The company prioritizes work-life balance.
- I am compensated fairly for the work I do.
- I would recommend the company to my friends or peers in the industry.
Keep in mind that collecting responses is just the beginning. Let employees know that you're aware of any misalignments and take action to make positive changes.
Keep an eye on key performance indicators
There are three primary metrics to look at when evaluating the effectiveness of your employee branding strategy.
Employee retention rate
Poor employee retention rate is a tell-tale sign that your employee branding is lacking. Ideally, you should aim for a retention rate of 90% or higher. If your retention rate sits below 90%, take proactive steps to address the underlying issues in your employee branding strategy.
Referral rate from current employees
A high referral rate indicates that your employees aren’t only content with their roles but also enthusiastic about recommending your company to others. Referrals are a solid recruitment tool – they make up to 40% of a company’s total hires.Opens in a new tab The advantages are two-fold: referrals allow you to find top talent and reinforce a positive employee brand.
To determine your company’s referral rate divide the number of new hires who come through employee referrals by the total number of new hires within a specific period. Is the referral rate increasing, decreasing, or stable? This number will help your business evaluate if you should invest more or less effort into attracting referrals.
Employee satisfaction rates during onboarding and after one year on the job
Assessing employee satisfaction during onboarding and after a year on the job allows you to identify areas for improvement in the employee experience. It gives you a first-hand look at whether employees’ initial expectations have been met and whether they continue to find their roles fulfilling.
Real-world employee branding examples
Here are some notable examples of companies with strong employee branding:
Zappos
Zappos, an American shoe brand based in Los Angeles, made its company culture synonymous with the brand. The company empowers employees to take ownership of their roles and understand how to deliver the brand message.
Salesforce
According to surveys, more than 80% of employees at Salesforce are proud to be a part of the company. Using the hashtag “dreamjob,” the company leverages social media to show off the exciting lives of its employees – both inside and outside work. Salesforce focuses on its employees’ well-being, investing in a diverse workplace, promoting equal opportunities, and creating meaningful relationships across all channels.
Google is one of the most sought-after workplaces because of its culture of innovation and experimentation. Competitive salary aside, Google offers numerous learning and development resources to its employees, including courses, workshops, and access to cutting-edge technology. The company prioritizes employee well-being and career growth, which results in strong employee loyalty and a positive employee brand.
FAQ
Who is responsible for employee branding?
Although employee branding comes from the voices of employees, the responsibility falls on companies to create a workplace that people feel excited and proud to talk positively about. Specifically, HR and talent acquisition can focus on creating and supporting the candidate and employee experience, while leadership can set the tone for culture and values. Satisfied employees will then promote the employee brand through their daily actions, interactions, and commitment to the organization.
Conclusion
Employee branding is a powerful tool for attracting and retaining talent and improving the company’s image overall. Now that you understand what is employee branding vs. employer branding use these strategies to help you build employee advocacy.
When employees are happy and respected in the workplace, they share it with their networks. It promotes a positive workplace culture and increases productivity, which results in a higher retention rate and a more successful business.