Have you ever lost a top candidate to a counter-offer at the last minute? You’re not alone. In today’s fiercely competitive job market, counter-offers have become a common recruitment challenge for employers striving to secure top talent. With 52% of companies struggling to hire the best candidates before their competitors and 74% of CEOs worried about skill shortages, it’s clear the fight for exceptional candidates is tougher than ever.
This growing competition is reflected in the experience of 69% of professionals who have seen demand for top talent increase over the past year. As a result, counter-offers, where an existing employer tries to retain a resigning employee with improved terms, are becoming more frequent. But while counter-offers will always be a part of the recruitment landscape, they don’t have to be a barrier to your hiring success.
We’ve identified five practical strategies you can implement to minimise the impact of counter-offers on your business and ensure you secure the best talent for your team.
Understand what’s really driving candidates to leave their roles
It can be tough to get candid insights from sales professionals still in their current roles, particularly when it comes to understanding their motivations for seeking a new opportunity. Are they dissatisfied with their current compensation, frustrated by limited flexibility, or disillusioned with the company culture? Or is it a lack of core sales activities that bothers them, considering that sales reps spend 70% of their time on non-sales related tasks?
It’s important to address these concerns directly during the scoping and interview process. Identify their pain points and determine which aspect of their current role they want to leave behind. This insight will help you understand how your opportunity stands apart and whether a counter-offer from their current employer could sway them.
Remember, motivations vary. A salesperson primarily unhappy with their salary may be easily tempted by a higher offer, while someone frustrated by company culture or rigid policies may be less likely to be convinced by a counter-offer. Understanding this difference is key to making your role more appealing.
Stand out with a winning compensation package
To keep candidates genuinely interested, you must present them with an attractive compensation package. For sales professionals, whose motivation and efforts are often closely tied with their earning potential, this is especially critical. Alongside a positive company culture and clear progression opportunities, financial rewards remain a top priority.
Begin with thorough market research to understand the standard base salary for the role you’re advertising, particularly in comparison to competitors. Be transparent about your offer from the outset. If your initial offer is significantly lower than expected and you later try to increase it, you risk damaging trust and losing the candidate’s interest altogether.
Paint a clear picture of your company culture
Never underestimate the power of a strong company culture in shaping your market reputation. Research shows that 61% of employees would leave their current job for a company with a better culture. This means your cultural strengths, whether they include supportive leadership, clear paths for career progression, open communication, social activities, or flexible working conditions, are not just perks; they are key differentiators.
Make sure these cultural values are consistently communicated to potential candidates. Your employer branding is your platform to showcase your culture. Highlight your company’s charitable initiatives, team-building events, and employee success stories. Use your career page, social media channels, and employee testimonials to bring your culture to life. Videos featuring your team members can offer a genuine perspective and help candidates visualise themselves as part of your organisation.
Online reputation also plays a critical role. With 75% of job seekers researching an employer’s reputation, including online reviews and ratings, before applying, maintaining a positive presence on review sites is essential. Monitor your ratings, engage with feedback, and actively work to maintain a strong employer brand that appeals to top talent.
Get ahead of counter-offers with honest conversations
As you approach the final stages of the recruitment process or reach the crucial offer stage, consider directly addressing the possibility of a counter-offer with your top candidates. Have an open conversation about whether they anticipate their current employer making a counter-offer and how they would respond if one is presented. Their answer can provide valuable insights into their true commitment to a new opportunity and reveal any lingering attachment to their current role.
While skilled sales professionals are often practiced at presenting themselves convincingly, watch for subtle signs of hesitation or conflicting emotions when you bring up the counter-offer topic. These cues can help you gauge their genuine intentions.
This conversation is most effective when saved for candidates you are seriously considering, as it can be seen as a strong buying signal. Conduct it with care, ensuring that you position it as part of your commitment to making a mutually beneficial decision.
Keep candidates engaged at every step of the process
Effective communication is the backbone of a positive candidate experience. Research shows that while 78% of candidates expect regular updates during the hiring process, only 37% actually receive them. This gap can leave sales professionals feeling overlooked, damaging your employer brand and reducing their interest in your current and future roles.
To prevent this, maintain consistent communication with candidates throughout the process. Regular updates not only keep them engaged but also allow you to gauge whether they are exploring other offers. This is especially critical once you’ve made an offer, as the period between offer acceptance and the start date is a prime window for counter-offers to emerge.
Take your engagement efforts a step further by inviting new sales hires to connect with the team or visit the office before their official start date. This helps them build early relationships, experience your company culture firsthand, and strengthens their commitment to joining your team.
Your partner in securing top sales talent
Recruiting for you next sales superstar can be challenging, especially when counter-offers come into play. Partnering with a specialist recruitment agency can make all the difference, helping you secure top sales talent with confidence.
Don’t let counter-offers derail your recruitment success. Contact us today to explore how we can support you in securing your next top-performing sales rep.
