US Online Recruitment Market by Application and End-user - Forecast and Analysis 2024-2028

US Online Recruitment Market Size 2024-2028

The US online recruitment market size is forecast to increase by USD 4.22 billion and is estimated to grow at a CAGR of 7.44% between 2023 and 2028. The market is flourishing due to several key factors. Innovations in the hiring process streamline recruitment efforts, while the increasing globalization expands the pool of talent accessible through online platforms. Additionally, the growing prevalence of social media facilitates seamless job dissemination, providing candidates with hassle-free access to job opportunities. These dynamics drive the robust growth of the market. It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2018 to 2022.

What will be the Size of the Market During the Forecast Period?

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Market Segmentation

The hospitality segment is estimated to witness significant growth during the forecast period. There is an increase in demand for jobs in the hospitality segment due to several macroeconomic factors along with the developments in the hospitality industry. Additionally, there is increasing investment by players in solutions in the hotel and hospitality industry that can automate mundane tasks, thereby enabling employees to focus on customer engagement and other value-added activities. As a result, it has led to a change in skillset requirements, thus resulting in demand for more employees in this industry.

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The hospitality segment was the largest segment and was valued at USD 2.45 billion in 2018. Additionally, the rise in meetings, incentives, conferences, and exhibitions (MICE) activities has resulted in higher demand for employees with the required soft skills and operational skills. Therefore, several players in the industry are increasingly availing the services of leading recruitment companies. Furthermore, as the number of passengers in North America is increasing steadily, the in-flight service market growth will significantly contribute to the growth of this segment. In addition, it can lead to an increase in the number of hotels in order to cater to the increasing number of passengers. Hence, such factors are expected to fuel the growth of this segment which in turn will drive the market growth during the forecast period.

Market Dynamics and Customer Landscape

The market is witnessing significant growth driven by the increasing adoption of digital transformation and cloud-based technologies in modern human resource management. Online recruiting platforms, equipped with advanced resume management, employee screening, and assessment tools, are revolutionizing recruitment procedures, enabling efficient talent acquisition across various job types, including part-time positions, catering to the evolving demands of the gig economy and flexible work arrangements. Additionally, the proliferation of social networking and mobile-based recruitment solutions, coupled with the rising demand for high-bandwidth internet infrastructure and smartphones, is fueling market expansion, offering extensive employment opportunities to job seekers in diverse industries, particularly IT professionals, through niche platforms tailored to specific job types and application segments. Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

Key Market Driver

One of the key factors driving the market growth is the rising globalization. The market is experiencing robust growth driven by the increasing adoption of digital transformation and cloud-based technologies in modern human resource management. Online recruiting platforms equipped with advanced resume management, employee screening, and assessment tools are revolutionizing recruitment procedures, offering extensive employment opportunities across various job types, including part-time positions, and catering to the evolving demands of the gig economy and flexible work arrangements.

Additionally, the proliferation of social networking and mobile-based recruitment solutions, coupled with the rising demand for high-bandwidth internet infrastructure and smartphones, is fueling market expansion. Moreover, there is a significant presence of multinational companies worldwide, with offices and manufacturing plants in several countries, leading to an increasing preference for online recruitment processes. This globalization of the recruitment process enables the professional growth of employees as they get opportunities to work and learn in various regions worldwide, contributing to the market's positive growth trajectory during the forecast period.

Significant Market Trends

A key factor shaping the market growth is the big data applications and the use of analytics. There is a growing popularity of big data and analytics among several enterprises in the recruitment industry. Additionally, with the emergence of social media, it is essential for recruiters to be more proactive in their approach by engaging talent across various social media platforms.  In addition, the significant penetration of the Internet has increased the number of social media hiring platforms. 

Moreover, the main advantage of an online hiring platform is that the organization can leverage the data to analyze the hiring pattern. Thus, by leveraging tools such as big data analytics, the organization is able to analyze the previous hiring process to monitor the applicant's behavior. Hence, such factors positively impact the market. Therefore, it is expected to drive the market growth during the forecast period.

Major Market Challenge

Difficulties in scalability are one of the key challenges hindering the market growth. It is important for online recruitment companies to invest in improving the performance of their websites continuously. Several factors such as capacity constraints and infrastructure changes, can impact performance and can result in website performance issues. As a result, it becomes a challenge for the companies to assess the actual issue within the stipulated time.

Moreover, such issues can significantly impact the subscription base and engagement levels. Another significant factor that can impact online recruitment is the disruption in services caused by interoperability issues with operating systems (OS) such as Android and iOS, which are beyond the control of market players. Hence, such factors can negatively impact the market. Therefore, it is expected to hinder the market growth during the forecast period. 

Customer Landscape

The market research report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.

Market Customer Landscape

Who are the Major Market Companies?

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

Adecco Group AG: The company offers online recruitment by tech hiring, talent acquisition solutions, and a personalized job-seeking platform through its subsidiary called Hired Inc.

The research report also includes detailed analyses of the competitive landscape of the market and information about 20 market companies, including:

• Barbachano International
• Betterteam Pty Ltd.
• CareerBuilder LLC
• College Recruiter Inc.
• CornerStone Search Group LLC
• DHI Group Inc.
• JobHat.com
• Jobing.com LLC
• Ladders Inc.
• Microsoft Corp.
• NationJob Inc.
• Nippon Telegraph And Telephone Corp.
• Ragns Inc.
• Randstad NV
• Recruit Holdings Co. Ltd.
• Self Management Group
• Snagajob.com Inc.
• ZipRecruiter Inc.
• The Select Group LLC

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Segment Overview

The market research report provides comprehensive data (region wise segment analysis), with forecasts and estimates in "USD Billion" for the period 2024 to 2028, as well as historical data from 2018 to 2022 for the following segments

• Application Outlook 
  • Hospitality
  • Manufacturing
  • Healthcare
  • BFSI
  • Others
• End-user Outlook 
  • Employers
  • Non-employers

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Market Analyst Overview 

The market is experiencing significant growth fueled by the rise of online recruiting platforms, providing abundant employment opportunities for job seekers. These platforms streamline recruitment procedures and offer efficient resume management and employee screening through innovative assessment tools. Amid the Fourth Industrial Revolution, digital transformation is reshaping traditional workplace employment practices, with the adoption of cloud-based technologies and high-bandwidth internet infrastructure. The market is experiencing unprecedented growth, fueled by the proliferation of digital tools and advanced technologies. E-recruitment platforms, web-based resources, and specialized recruitment software have revolutionized the hiring landscape, providing employers with a diverse array of avenues to connect with talent. Job boards, social media sites, and recruitment websites serve as essential channels for sourcing candidates, while AI and machine learning algorithms streamline the candidate-job matching process.

Social networking and mobile-based recruitment solutions cater to the increasing smartphone demand, facilitating market expansion. Internet recruitment and digital recruitment are prevalent, leveraging advanced technologies to match job vacancies with top talent. Modern human resource management emphasizes efficient hiring processes and strategies tailored to the digital environment, accommodating changing job search behaviors. Established players coexist with emerging startups and niche platforms, catering to diverse job types, including permanent, part-time, and gig economy positions. The Permanent Online Recruitment segment, particularly in the IT sector, has witnessed substantial growth, with a focus on hard skills and automated candidate screening. Remote hiring and diversity initiatives are gaining traction, facilitated by digital platforms and data-driven recruitment decisions. Freelancer and gig hiring opportunities are expanding, supported by cloud-based online recruitment software and mobile recruiting solutions.

The market continues to thrive, catering to a diverse range of organizations across various sectors. Amidst the dynamic landscape of the global market, the US stands out as a hub for human resources and employment innovation. Technological advancements drive efficiency and effectiveness in recruitment processes, enabling organizations to implement tailored human resource management strategies. The job type segment spans permanent and part-time roles, alongside flexible work arrangements suitable for students, retirees, and professionals from various fields. The application segment encompasses finance, sales, engineering, hotel and catering, and IT professionals, reflecting the breadth of opportunities available in the online recruitment ecosystem. Innovations such as AI-powered recruitment tools and chatbots are enhancing efficiency and improving candidate experiences. Video interviews and online education platforms are breaking down barriers, including language barriers, and providing career guidance to job seekers.However, the market faces challenges such as security issues and the need for skilled recruiters to navigate the complex landscape of online recruitment. Overall, the Market is poised for continued growth, driven by advancements in technology and a shift towards flexible, remote work arrangements.

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What are the Key Data Covered in this Market Research Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the market growth and forecasting between 2023 and 2028.
• Precise estimation of the market size and its contribution to the market in focus on the parent market
• Accurate predictions about upcoming trends and changes in consumer behavior
• Market growth analysis across the US
• A thorough market forecast analysis of the market’s competitive landscape and detailed information about companies
• Market forecasting of factors that will challenge the growth of market companies

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