On paper, it might seem like we’re offering exactly the same recruitment service for an entirely different price.

We hear where you’re coming from, as the actual process is basically the same…

However, there are two key reasons why recruitment agencies base their fees on annual salary as opposed to a fixed recruitment fee.

The first is because of the volume of suitable candidates. The higher the salary, the smaller the talent pool. This means that agencies have to work harder to find the best candidates for your role and use more innovative tactics to grasp the attention of passive, senior candidates.

It’s very similar in this regard to the Estate Agency market. On face value, being instructed to sell a property worth £1,500,000 is awesome; the fee is of course going to be much bigger than a house worth £325,000. BUT as the value of the property goes up, the number of people who can afford it goes down, making it a smaller pool to fish in.

In a hierarchical job market the pyramid of talent decreases as the salary increases.

Secondly, it requires a different skill set to recruit senior level professionals. There’s a specific type of experience needed by recruiters to qualify and assess senior level candidates and engage them in a process. You’re essentially paying a premium for the recruiters’ expertise and ability to represent your brand credibly with prospective candidates.