Why is Employer Branding crucial for SMEs (Small and Medium scale Enterprises)?

Employer Branding is important for all kinds of businesses irrespective of their size. It has gained new levels of importance, more so for businesses belonging to small and medium scale because of its multiple benefits.

Let us look at a few reasons why it is so crucial for SMEs in this day and time.

  • You need to attract the best talent in town: Employer branding is a concept that came to be focused upon massively to attract prospective employees about two decades ago. Brands like Google and Microsoft have invested both time and money to attract the right kind of talent and create clear paths of progression for their employers. We all have seen this paying off in terms of employee loyalty, haven’t we? So, if you are an SME and dream of making it big then you need to have the right kind of people on board with you, hence the need for employer branding. Also, LinkedIn suggests that employer branding ensures that you save some 43 per cent on cost per hire by not spending on platforms that might not gel with your search goals.


  • A strong employer brand means lasting impression: If you equate branding with only marketing your products and services then it is time for you to wake up and take note of the winds. As an SME, you need to brand yourself as a chosen employer as well with the understanding that your employers are as important (if not more) as your customers. Your employer brand image should be able to communicate to people what it is to work with you, what is the company’s work culture, what can a candidate expect from working there and so on.


  • Gives your employees a sense of direction: Defining your employer brand not only helps prospective employees understand the company better and know what it stands for, it also gradually and repeatedly helps your current employees feel proud and stay motivated to work in alignment with the bigger picture beyond their immediate roles.