How a Private Label ATS Helps Prevent Staffing Client Churn

Staffing professionals retain clients through their private label applicant tracking system.

Staffing Professionals Have Never Been More Crucial

American businesses need eleven million workers to fill the number of current job openings, yet the latest labor market data reports only 8.4 million people are actively seeking employment. The Manpower Group Talent Shortage Survey found 69% of companies reported talent shortages and difficulty hiring. 

There’s never been more of a need for the expertise of staffing agencies, and the industry’s growth shows that. Staffing is a 174 billion dollar industry that experts estimate will grow 16% this year.

This is good news for those in the staffing industry, but it also means increased competition in a growing field. Agencies and firms will want to ensure they’re performing at their peak level, which means proactively ironing out typical staffing industry challenges, chief among them, client churn. 

Client Churn is a Problem in the Staffing Industry

Adweek reports that there’s less and less incentive for businesses to stick with one staffing organization since the industry now offers such a selection. It’s not uncommon for firms to see upwards of 40% turnover year after year, which, pointing out the obvious, is not a good statistic, especially considering it costs up to 4 times as much for staffing organizations to land new clients as opposed to retaining existing clients.


It costs up to 4 times as much for staffing organizations to land new clients as opposed to retaining existing clients.

A Private Label Applicant Tracking System Can Help Staffing Organizations Reduce Client Churn

In a buyer’s market, it’s imperative staffing agencies are consistently solving their customer's problems and showing they add value. Adding an applicant tracking system (ATS) to a staffing agency’s suite of solutions will inevitably strengthen the hiring experience for both agencies and their clients (and ATS is hiring software that helps automate, streamline, and strengthen recruiting).

Private labeling an ATS—customizing the workflows, balancing multiple searches or clients from a single platform, and applying your organization’s branding—takes things a step further.

You may have also heard private labeling called “white labeling.” Though private label and white label applicant tracking system are often used interchangeably, there’s a crucial difference between the two: customizations.

White label applicant tracking systems are rebranded by clients, like staffing organizations, to be presented as a proprietary solution. In contrast, private labeling lets clients go beyond branding and work with the ATS developer to customize the platform to suit specific business needs. 

Private labeling strengthens the brand you’ve worked hard to build, opens up new revenue streams, and provides clients an unparalleled recruiting experience. Private labeling an ATS will help staffing agencies reduce client churn.

If you'd like to know more about the ins and outs of a private label ATS, check out our "What is a Private Label ATS?" post.

What is a Private Label ATS?

Three Ways a Private Label ATS Can Reduce Staffing Organization Churn

A Private Label ATS Gives Staffing Customers What They Want

Customer experience is integral to keeping customers and growing businesses—86% of customers are willing to pay more for a great customer experience. Part of that great customer experience is providing customers with solutions to their top challenges. 

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Opportunity in Staffing conducted a study to see how clients most want to benefit from working with staffing agencies. They found:

  • 38% of clients want to fill positions quicker
  • 41% of clients wish to access more job candidates
  • 32% of clients want the flexibility to scale their workforce up or down.

An applicant tracking system can solve all three of these challenges.

  • Data collected by GetApp found 86.1% of ATS users increased their hiring speed.
  • An ATS can improve applicant traffic by:
    • Providing a job distribution platform to customers through a robust network of integrated job boards, social posting capabilities, and the tools to build a referral program.  
    • Widening their talent pool and pipeline.
    • Ensuring vacancies get filled without wasting unnecessary time and money.
    • A private label ATS can help staffing professionals communicate more effectively, gain a competitive market advantage, improve a clients’ employer brand, scale-up, and increase applicant traffic. All of these value adds give clients the flexibility to change the size of their workforce with a staffing agency’s help. Staffing agencies with a private label ATS have the flexibility to change and customize workflows to meet clients’ changing needs. 

Additionally, 78.3% of hiring managers said an ATS improved the quality of candidates they hire.

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A Private Label ATS Extends the Bandwidth of Your Team

Staffing professionals are notoriously stretched to the limit. Online marketplace vendor Capterra found organizations using an ATS are 40% more productive than organizations without one. 

Expanding your team’s bandwidth as you grow is something staffing agencies must deal with as they scale. A private label partnership with a prebuilt ATS means your company is acquiring the skill sets, expertise, and time of an expertly trained team to help supplement the excellent work your team already does. 

When a staffing agency partners with an ATS, they not only get premium hiring software but can often utilize the ATS company’s customer service team to help with onboarding and customer service issues. Partner teams can also extend a company’s marketing, sales, and engineering efforts, freeing your employees to work on meaningful, company-building tasks. 

84% of customers say the experience a company provides is just as important as its products and services. Having an expert team to partner with not only strengthens your product and services but your customers’ experience. 

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A Private Label ATS Strengthens Your and Your Clients' Employer Brand

A unique aspect of a private label ATS, as opposed to an off-the-shelf ATS, is that it gives staffing agencies the ability to customize the applicant experience with separate branded career pages for the various clients they serve. When your ATS gives job candidates a positive experience through a career page and application page reflecting their brand, candidates will view that brand in a positive light, benefitting you and your clients.

A strong employer brand can reduce the cost per hire by 50%, a service staffing agency clients will have difficulty leaving. 

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Staffing Organizations Can Benefit From a Private Label ATS

There are numerous other reasons staffing professionals can benefit from a private label ATS, ranging from reducing client churn to driving revenue. Click below for a more in-depth look at why staffing can benefit from a private label ATS.

Benefits for Staffing 

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