WhatsApp Group Chat – Impact to the Naukri Monopoly due to Randstad buying Monster

There has been a gradual trend of buying businesses which makes it obvious to think of the impact such evolvements in the Recruitment Sphere will bring about.  In an attempt to understand what the impact will be we’ve taken a scenario and have had a discussion on it.

At Sourcing ADDA (@SourcingAdda) we conduct Wednesday discussions where a topic is picked mainly from the Members suggestions and a discussion is held. The topic for the discussion was conducted in reference to the article – Randstad buys Monster for $429M as recruitment consolidation continues.You can view it here http://goo.gl/ox1xQO  or https://techcrunch/2016/08/08/randstad-buys-monster-for-429m-as-recruitment-consolidation-continues. So the topic was on, “Randstad buying Monster; will this development impact the Naukri Monopoly; How & Why?” upon the suggestion of our Pune Group Member Manish. And here’s what we came across…

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The discussion above is proof of the out pour of responses we’ve received and we can say that it was truly one heck of a discussion. How great is that? We’ve even got interesting tool to boost Sourcing such as Dice which is very good as it has a huge database and popularity and efinancial is great if you’re into domain based hiring. Moreover, IIM jobs is good for specialised positions but into H.R. Finance especially for management positions. Its database is less but the Talent quality is good and it won’t support small positions.

Well if you’re a loyal follower of @SourcingAdda then you’re waiting eagerly for the key pointers to take away, aren’t you? We’ll let’s not disappoint you; seeing as you’ve read this far. So here you go…

Commonalities with Job Portals

  • In current based job market job seekers hardly rely on portal based jobs as there are much better networks that provide instant reach
  • With times changing and the availability of better referral models the future portals will provide much more value added services in existence

Naukri – Indeed

  • The number of hits to Naukri will definitely decrease since Indeed is directing traffic away due to their algorithm

Naukri

  • Naukri is unbeatable and irreplaceable in India
  • Depending on how they rank a posting when the same posting is found on 2 portals that will matter due to their algorithm
  • There’s always room for negotiations based on what products one subscribes for on Naukri
  • Naukri has its monopoly currently and will continue to do so as every single individual looking for an opportunity visit’s Naukri first and then comes to other portals like Monster etc.
  • Naukri is a tool for mass hiring in every sphere and space besides it may come up with additional features to counter the churn
  • Although it has a good database but the availability of Talent Sourcing requires Recruiters to update themselves and acquire skills to catch the desired Talent
  • Consolidation may happen but to find out how it appeals to the Job Searchers or Recruiters we’ll just have to wait and watch
  • Naukri needs to focus on the merger as India will have very little effect but it does have a unique database and reach but has lost its relevance
  • Naukri in India may not have much of an impact as it depends on the model which Randstad may come up with for its Clients and the alterations they make
  • Naukri was good for mid & senior level and IT profiles but since it’s up – gradation it isn’t that good now but may be good for mass hiring and non IT profiles
  • Due to its up-gradation it is not user friendly and there’s a lot of duplicity in its database
  • It should be more relevant in terms of its outreach & flexible in commercial offering
  • Naukri will have to cut their database cost after some time to keep pace with competitors
  • Naukri follows the concept of allotting Recruiters with individual accounts to showcase that they have many Recruiters posting a wide variety of opportunities

Indeed

  • Indeed aggregates jobs from different portals so there is a possibility for it to end up being the one stop; shop for candidates
  • Indeed may remain as an aggregator but if Naukri decides to stop indeed from Crawling its site then indeed will be in trouble
  • You can stop indeed from crawling only when you password protect your entire website

Monster- Randstad

  • Monster- Randstad presence will have a lot of impact globally
  • In order to get a quick turnaround one needs to focus on developing a long term strategy and execute it efficiently
  • Monster- Randstad is jointly designing better products for corporate houses and they cannot rule the market overnight
  • There strategies need to be specific to the loopholes of Naukri to come up the curve
  • Randstad’s strong strategizing and its market know how the Industry works hence it is definitely a force to reckon with
  • Randstad as a giant in the staffing industry will definitely work on the improvement of Monster
  • Randstad’s US division needs to integrate their database on their ATS tool i.e. BULLHORN with Monster
  • Once completed it will help in getting a good amount of profiles and have started to work on uploading CV’S from several job boards in to their ATS based on the freshness of the profile
  • As an owner of Monster they need to focus on penetrating Monster to the people so they check for various positions in Monster and if they succeed this can increase the traffic

Randstad

  • Randstad intends to build the world’s most comprehensive portfolio for HR services which will make Monster a Big Talent Poll
  • The plan will help Randstad to pitch in more effectively to strengthen their RPO model to their clients with a dedicated job board backup
  • Randstad may look at revamping the Monster portal in case they want to continue Monster in the longer run besides they have a greater international presence
  • Ranstad might be a big name in the international market however even they are struggling in the Indian market
  • To win the market share Randstad has to come up with a different approach and a very good database for employers and jobseekers
  • There is a lot of potential for Ranstad to utilise this acquisition provided they offer better services. The possibility to succeed looks dim unless they concentrate on a long term strategy and focus on developing client relationships

Monster

  • Monster would come up with an updated product related to RPO with first – hand experience of how the recruitment process / business works
  • Change of ownership won’t change Monsters standing as it’s just a backward integration strategy or perhaps a priority view of fresh profiles for Ranstad
  • Monster’s acquisition was to gain market share and fuel the availability of global resources but for now Monster continues as a separate BU
  • Monster is good for mid and senior level and even for IT profiles but it has to compete with new successful players like indeed, iimjobs, hirist and it will take a lot of time to rise up

Monster- Naukri

  • Monster was a better product but lost its race with Naukri due to its consistent, better service and their ability to penetrate deep in the Indian market with a wide domestic reach

CareerBuilder etc.

  • CareerBuilder has risen a lot in the US market and it will be interesting to see what strategies will be used against other risen job boards at home and abroad

Well this sums up everything that we found to be important and we can say that the discussion was worth our while as well as yours. If you’re not part of these discussions and would like to become a part of them then leave us a request to be added in to the WhatsApp groups in the comments section. And we’ll add you at the earliest else follow us @SourcingADDA and Tweet to us your request to be added into the WhatsApp groups and we’ll surely add you to them. You’ll also receive updates to our upcoming events and activities upon follow so be sure to follow us.

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