George Foley argues recruitment agencies should combine recruitment with complementary services like marketing to build closer partnerships and recurring revenue. He recommends productizing your IP into a signature service, targeting a specific niche, and shifting to a done-with-you model to raise fees and outlast competitors.
Hello everyone. And in today's video I wanted to share why I believe a hybrid model is really important when you launch and scale your recruitment agency. So when I talk around a hybrid model, what I mean is you've got to give a different solution than just contingency recruitment. So a hybrid example could be bolting on marketing services to your recruitment agency, which is something that I do with my business Ronald James and that works really well as a blended approach in order to give more value to your clients. So having that more closer relationship, a partnership where you can charge retained monthly recurring revenue within your agency. Now that's something I've been working on in the background for the last good two years and it took a long time to refine and get right. And one thing that you want to move away from is the traditional agency model because there's too much competition in there and it's just a race to the bottom on rates and you're not given any service apart from sending CVs, arranging interviews. So it's very important to build your agency with a hybrid model. But and that's something to talk around and gonna be talking around in the future. Masterminds and the program that I'm currently piecing together around helping agency owners or people that are starting an agency to build a really unique, what I would call like signature service. So creating your own ip, unpacking all of your own IP of what you do as a service to deliver the customers within your targeted niche and actually productize those as service offerings. And that really separates you from the crowd because there's so many people saying same things, doing the same things. You need to really stand out in your niche and this works really, really well when you've got a real niche market and a niche location. And when you start productizing your services and having that hybrid model around, away from contingency recruitment into like a done with you model where you working in partnership with that client more, it gives you more freedom, more leverage and a better profitability as well. So that's what I wanted to talk around in today's video was around. Are you thinking around moving away from the traditional agency model into something that's got more longevity, more money, more profit and actually really separating you from all your competition because if you're not doing that, a lot of you will not survive in the next downturn. Now the economy is booming at the moment and I think it's looking really strong in the economy, which is great, but also the competition up. I think there's like two or three thousand agencies start up maybe wrong. I think it's even more start up every single year. And a lot of those are either one person or two person agencies. Now for those agencies to survive, you need to compete with the bigger agencies that have more spending power, more leverage. You need to really differentiate yourself by creating products within your service offerings. And actually that enables you to raise and increase prices as well and be really confident in the market that you can not only charge higher fees but really blow your competition out of the water with what you're actually doing as a service provider. So I'm really interested to see what people are doing now. So if you could comment below. If you're interested in hearing more around how to build like a signature service and really unpack your IP into building products for your recruitment agency, drop me a message, let me know. I'll tell you a little bit more about how that works and I might do actually another video on this in the near future if there's quite a bit of interest and I can show you how you can model that. So if you're interested, drop a comment below, let me know that you're interested and I'll forward on some further details. Thank you. Hi, thanks for watching today's video. If you like what you've seen, please like and subscribe the button with Entrepreneur Jim so you keep up to date with all of the updated videos. If you've got any questions or comment, I'd love to hear from you. So please drop a comment in Entrepreneur Gems below and we'll look to answer those on a weekly Q and A video. Keep an eye out for any future videos that we'll be posting. I'll be popping the video in here probably every one to two days. Thank you.
