The Cost of Free Recruitment Software

DarwinBlog, Recruitment

The Cost of Free Recruitment Software

Let’s face it, we all love FREE. Free is great. Free feels like something for nothing, and in this tough life that’s really good news. BUT… did you know ‘Free’ may actually cost you more?
Only a Pound, Gov…. Honest.
Before I get into my rant, let me share with you some thoughts about an interesting TV program last night about the well-known PoundLand chain. PoundLand of course are famous for selling everything in their store for.. yes, you clever people, £1.

However PoundLand’s profits are through the roof, and they are now eating the other retailers’ lunch.

How is this possible? If everything is a pound, how possibly can they be making money??

The answer is that if you read the actual amount of product actually contained INSIDE the pack of [SHAMPOO] it’s actually LESS than you would typically buy in a high street store. That’s right, you’ve been short-changed without even realising it.

This follows onto products with a 40% FREE wrapper. By the time you’ve counted up how many [JAFFA CAKES] you’ve bought, you most likely would have got a better deal if you’d just gone to [ANY LEADING STORE]. Unbelievable – the poorest among us are being overcharged and taken advantage of, yet again. In the same way ‘PayDay loans’ vultures take advantage of people on low incomes, charging them a massive 1700% APR rather than the 28% APR the rest of us pay.

FREE Recruitment Software

You’ll be pleased to learn that I’m not just going to talk about jaffa cakes and shampoo (the last of which for me is just a distant memory…)

In this life nothing is free. This is especially so in software, which takes:

  • a long time to plan
  • tens of thousands (or often hundreds of thousands) of pounds to build
  • a massive amount of testing
  • a costly sales & marketing effort in a competitive market

So when you see the “Come on in, it’s free….” the alarm bells ‘should’ start ringing in your head. If they’re not, you need a check up from the neck up.

WHAT’S IN IT FOR THE PROVIDER?

An opportunity to up sell that customer at every single opportunity.

Just look at RyanAir. Fantastically cheap flights, but as soon as you want a meal, a cup of tea, a pair of headphones…. well you could end up paying more than if you’d gone with an airline that didn’t compete on price.

WHAT’S IN IT FOR THE CUSTOMER?

If you’re not paying for something, chances are there is not some mystery benefactor in the background paying for it either.

So you’re not getting:

  • investment into new research & development, ie. your product will be out of date soon
  • first class customer service, which you’ll expect
  • professional technical support (which if the product is cheap or free, you are going to need as you will be running your agency on a low quality, poorly maintained piece of software)

Things to Watch Out for

  • First licence free translates as “Once we’ve got your data in our system, it’ll be too painful to leave and go somewhere else.”
  • Pay as you go translates as “we’ll extract the money to pay for our software development from you some other way which you haven’t worked out yet… perhaps later when you realise it’s not a premier service and decide to leave!”
  • No contract, Cancel anytime translates as “this is short term arragement for us… we expect you to leave, which let’s face it is a regular event for us as our software is low-function low-cost so we don’t invest too much into looking after our customers.”

Food for thought? I hope so.

There’s some really great products and services out there in the recruitment space, make sure you get great value for money.

But don’t short-change yourself or your business, there’s too much at stake.