We're Celebrating 10 Days of SHRM! Today's Gift: $15 to Starbucks w/ a SHRM professional membership. Promo code 10DAYSBUCKS.
Training, policies and tools to help HR prevent and respond to harassment claims.
Is your employee handbook keeping up with the changing world of work? With SHRM's Employee Handbook Builder get peace of mind that your handbook is up-to-date.
Develop your HR competencies and knowledge in-person in 12 U.S. cities or virtually.
#SHRM18 will expand your perspective – on your organization, on your career, and on the way you approach HR. Join us in Chicago June 17-20, 2018
Indeed’s parent company is the buyer for SimplyHired, which until last week was one of the job search engine’s significant competitors.
“The largest job site in the world just got a little bit bigger,” said Chris Russell, a recruiting technology consultant with RecTech Media, based in Trumbull, Conn. Russell, who broke the news here, described Recruit Holdings Co., a leading HR services firm based in Tokyo, as “currently the most active buyer of HR tech, staffing firms and other businesses in the space. Few others in the online recruiting space could’ve afforded to buy SimplyHired. … One wonders if other aggregators could be on Recruit’s radar.”
Indeed, based in Austin, Texas, declined to comment for this report.
Founded in 2004 and based in Sunnyvale, Calif., SimplyHired will be shutting down on June 26. It has 30 million monthly users active in 24 countries. Indeed says it has more than 180 million monthly active visitors.
Russell said that the news is minor for the average recruiter, but remaining job board aggregators will feel the pressure to perform.
“In the short term I expect sites like Jobs2Careers to benefit from one less option in the market,” he added. “For job boards, who were paying SimplyHired for traffic, they just lost a significant partner.”
“I suspect Indeed was willing to pay a premium to ward off the acquisition of SimplyHired by competitors,” said Jeff Dickey-Chasins, a job board and career site consultant at the Job Board Doctor, based in Des Moines, Iowa. “Does this mean a new round of consolidation with aggregators? I doubt it, but it does signal Indeed’s desire to continue dominating the market,” he said.
Search engine optimization is dominated by a few players and Indeed is the most dominant, “so this move protects against consolidation by the other players and potentially enhances their own organic traffic,” said Ethan Bloomfield, co-founder of ConversationDriver, a cloud-based service that connects technology vendors to clients. “Of course a single dominant player will cause costs to rise for employers and recruiters. Just look at the cost of a click on Google which can be as much as $20 or $30 for some key words.”
Indeed reigns over external candidate sourcing for talent acquisition, providing more than six times as many interviews as the next largest external source—and nearly two and half times as many hires as all the other top-branded job sites combined, according to the 2016 Top Sources of Hire report released by talent management software company SilkRoad.
“SimplyHired will most likely become backfill for Indeed’s listings, adding a few more percentage points to their already large market share when it comes to source of hire,” Russell said.
Russell also wrote that the decision to sell apparently came from the SimplyHired board. “Sounds like the investors wanted their money back and couldn’t resist an offer from the biggest player in the industry.”
Roy Maurer is an online editor/manager for SHRM.
Follow him @SHRMRoy
You have successfully saved this page as a bookmark.
Please confirm that you want to proceed with deleting bookmark.
You have successfully removed bookmark.
Please log in as a SHRM member before saving bookmarks.
Your session has expired. Please log in again before saving bookmarks.
Please purchase a SHRM membership before saving bookmarks.
An error has occurred
Recommended for you
SHRM Member Discounts Program
SHRM’s HR Vendor Directory contains over 3,200 companies