Back in the olden days when I started hiring into FMCG – 2006 to be exact – the most sought-after brands to work for and poach from were very much the blue chips….. L’Oreal, Mars, P&G, Unilever, Diageo all had exceptional graduate talent that coursed throughout their businesses and moving between those top tier brands was commonplace and the liked of Innocent or Gu, did brilliantly by enticing that talent with a challenger opportunity.
Fast forward 20 years and that talent is less in demand – why?
For today’s challenger brands, it makes sense on paper. They’ve worked with elite leadership teams. They’ve got the training. They know what “good” looks like. Surely, they’ll bring all that magic to your business?
However, I speak with SME leaders in FMCG every week who are wrestling with this exact question. And while bringing in Blue Chip talent can work wonderfully in the right circumstances, it can also go spectacularly wrong. Let me share what I’ve learned from countless conversations with both sides of this equation.
The need for grit
Whether it’s a generational thing or its simply the nature of how FMCG / Grocery has evolved, there is challenge around every corner for commercial teams but the challenges Unilever and Mars face are intrinsically different to challengers – when you’re the 4th, 5th, or even 7th brand in your category, you’re fighting for every scrap of attention. You don’t get the same airtime with buyers that the market leaders enjoy and the budgets are dwarfed by the category leaders – in short, the path to winning is very, very different and therefore the talent needs to have the grit, even sheer bloody mindedness to keep going despite the knocks.
Its more salesy, more creative and far broader – in a challenger the founder may know less than the NAM about a JBP. You won’t have an NAE, Trade & Category, a field sales team……. So, the role is broader, the need to do the admin, the selling & the numbers is all encompassing – it’s A LOT! Those who can’t multi- task and where 20 different hats on a given day may struggle and unfortunately, the longer an individual remains within the blue-chip circuit the more indoctrinated into structure they become.
Interview focus
So, whilst every interview can be different, my advice is to focus that first stage on identifying the following traits – by creating a scorecard for each, a founder can assess these criteria objectively……. Avoidance of hiring on pure gut feel or having worked for the “right” brands for sales roles something to avoid.
Resilience: The ability to hear “no” repeatedly and keep going with genuine enthusiasm
Sales hunger: A real drive to win new business, not just manage existing accounts
Adaptability: Comfort with ambiguity and changing priorities
Self-sufficiency: The ability to work without extensive support structures
Commercial awareness: Understanding that every penny matters
Someone who’s built their career at a challenger brand or another SME often has these qualities in abundance. Whilst its not to say a blue-chip trained candidate won’t have these skills but any strong founder or commercial leader will need to deep dive into potential candidates psyches to make that final assessment.
The Bottom Line
The best hire for your growing business might have a CV that looks very different from what you imagined. Someone who’s succeeded at another challenger brand, who’s had to fight for every win, who understands that resilience and hustle matter as much as process and polish, could be exactly what you need.
Blue Chip experience isn’t a guarantee of success in an SME environment. And SME experience isn’t a consolation prize.
The current hiring market is moving faster than ever, especially within Supply Chain. When top candidates become available, multiple businesses are often competing for the same talent.
For hiring managers, the recruitment process itself has become a reflection of their leadership and planning capabilities. Candidates are increasingly drawn to businesses that demonstrate structure, clear communication, and decisiveness. Your hiring process is the first giveaway!
The companies consistently securing the best talent tend to approach hiring the same way they approach supply chain operations: with a clear, well-planned strategy from the very beginning.
What Does a Clear Hiring Plan Look Like?
Define the Role Properly
Before you advertise, take time to genuinely understand what success looks like in this position. Ask yourself:
What will this person be responsible for day-to-day?
What does the role look like in 6 months? 12 months? 24 months?
Is there a clear progression path?
Identify Essential Skills vs. Nice-to-Haves
I often encourage clients to separate what’s truly essential from what’s preferred. Being too rigid with your requirements can unnecessarily shrink your talent pool.
Consider:
Essential skills: What does someone absolutely need to perform well from the start?
Desirable skills: What could be learned on the job or developed over time?
Broadening your criteria, even slightly, can open doors to excellent candidates you might otherwise overlook.
Is FMCG experience essential, and what skills are transferable?
Are you missing out on good talent in a broader consumer goods market?
Plan Around Team Availability
This might seem obvious, but it’s surprising how often it gets missed. Before you kick off a hiring process, check:
Is anyone involved in interviewing about to go on leave?
Are there upcoming holidays or busy periods that could cause delays?
Delays can sometimes be unavoidable, but delays can dissuade candidates while also leaving them open to entering new processes. It could be useful to understand who could substitute into interviews and how to mitigate bumps in the road.
Agree on Your Hiring Strategy
Think about how you want to approach the search:
Will you use a recruitment partner, advertise directly, or both?
How many interview stages will there be, and who needs to be involved?
How many stages are realistically needed? Interview processes above 2-3 stages prolong the process and can lead to difficulty maintaining a candidate’s attention.
What’s your timeline for making a decision?
Using a recruitment agency for hiring can come at an extra cost but it creates greater capability for candidate management. Understanding the candidates’ priorities, expectations and managing them to relay back to hiring managers/HR is one of the greatest benefits of a recruitment agency and it can prevent unexpected actions from a candidate.
The Benefit of Being Prepared
When you approach hiring with a clear plan, you:
Move quickly when the right person appears
Communicate confidently with candidates about next steps
Make better decisions because you know exactly what you’re looking for
Stand out as an employer who has their act together
In a competitive talent market, these things genuinely matter.
A Final Thought
I know hiring can feel like one more thing on an already full plate. But taking the time to map out your plan before you begin can save you weeks of wasted time and, more importantly, help you secure the person you actually want.
If you’re about to start a hiring process and would like a second pair of eyes on your plan, or simply want to talk through your approach, I’d be happy to help. Drop me a message or give me a call; I’m always glad to chat.
I’ll admit it. A while back, if I saw an AE with two moves in three years, my first instinct was to flag it as a red flag. Someone who’d left a role within 12-18 months? I’d question their commitment. Their reliability. Their staying power. Why didn’t they hit quota?
But then I dug deeper into why they moved. And a lot of the time, the reasoning made complete sense.
The Problem with Surface-Level CV Scanning?
Here’s what I was getting wrong: I was looking at how long someone stayed rather than why they decided to move.
For AE’s specifically, this approach misses crucial context.
What’s often happening? Here’s the things to address:
Company changes and pivots?
Startups evolve constantly. A product an AE was hired to sell might look completely different 12 months later. The role they signed up for can transform into something that no longer aligns with their skills or career goals.
Funding issues?
Startups run out of runway. Series A doesn’t materialise. Redundancies happen. None of this reflects poorly on the individual employee.
Quota and target changes?
I’ve spoken to talented sales professionals who’ve had their quotas doubled mid-year with no additional support. When targets become genuinely unachievable, leaving isn’t weakness; it’s pragmatism.
Cultural shifts?
Leadership changes, acquisitions, or rapid scaling can completely alter a company’s culture. What was once a collaborative environment might become something unrecognisable.
Ultimately, it can just be the case that a person wasn’t up to scratch for what a business needed. But if you’re digging into the above, are you really going to know?
What To Do Before Making Any Judgements?
Research the company they came from
What’s happened to that business since they left? Did it downsize? Pivot? Get acquired? A quick search often reveals context that explains everything.
Look into funding and stability
A 10-minute review of recent funding news, LinkedIn employee counts over time, or even Glassdoor reviews can paint a clear picture of what was happening internally.
Examine the product trajectory
Did the product succeed? Did it change direction? Sometimes entire teams are let go when a product line gets discontinued. That’s not a reflection of individual performance.
What did they do? Did they do anything different to try turning things around that set them apart?
What’s the Bottom Line for Hiring Managers?
I’m not suggesting you ignore patterns entirely. Someone with five moves in four years across stable, well-funded companies might warrant closer questioning. But here’s what I’ve learned:
Advice before writing off a ‘job-hopper’.
Before writing off an AE who’s had a few moves, ask yourself: do I actually know why they left? Have I looked into what was happening at those companies? Am I making assumptions based on tenure alone?
Some of the strongest candidates I’ve placed have CVs that initially raised eyebrows. They turned out to be people who’d handled difficult situations with integrity, learned from diverse environments, and brought valuable perspective to their new roles. And in their next challenge, they did brilliantly.
Let’s Talk
If you’re a senior commercial leader struggling to find the right talent, or you’re filtering out candidates based purely on tenure, I’d love to have a conversation. Sometimes the best hire is the one you almost overlooked.
Get in touch, and let’s discuss how to approach your next search with fresh eyes.
I often speak with founders and hiring managers who worry they will lose out on great people because their company is not yet well known. It is a common concern, but you do not need a global brand to hire the best people in the market. In my experience, candidates are often more interested in the specific work they will do and the people they will work with than the logo on their Linked-In Profile.
If you want to compete with the big firms, you can do so by creating a hiring process that is personal, transparent, and efficient. Here is how I help my clients stand out to high-quality candidates.
1. Create a comprehensive briefing pack
A standard job description is rarely enough to get someone excited. I recommend creating a detailed briefing pack specific to the business and the team. This should go beyond a list of tasks. Include information on:
The specific projects the person will lead in their first six months.
The team structure and who they will report to.
The tools and technology they will use daily.
A clear map of the interview process so they know exactly what to expect.
When I share a pack like this with a candidate, it shows them that you are organised and serious about this hire.
2. Give your recruiter the full story
When you give me a brief for a new role, I need to feel the excitement behind the project. If you can, send me a short, one-minute video or a direct quote from the line manager. Hearing a founder or manager talk about why the role exists and what they hope the new hire will achieve is a powerful tool. It allows me to represent your business with genuine enthusiasm and helps candidates visualise working for you.
3. Design an inclusive and efficient interview process
Long, drawn-out hiring processes are the quickest way to lose talent. I suggest a process with two or three stages at most. This is enough time to assess skills while keeping the momentum high.
During these stages, let the candidate meet multiple people from the business. This gives them a better sense of the culture than any brochure could. I also suggest asking every candidate if they have any specific requirements for the interview. Whether they need a quiet space or have specific accessibility needs, asking this question early shows that you are an inclusive employer.
4. Honesty is the best policy
Transparency builds trust. If there are aspects of the role that might be seen as a challenge, explain them early in the process. For example, if the role requires five days a week in the office, state this in the briefing pack and explain why. You might require everyone in the office to help with hands-on training or to foster faster collaboration during a growth phase.
When you explain the reasoning behind your policies, candidates are much more likely to respect them. It is better to find someone who is happy with your specific way of working than to have someone join and leave three months later because they felt misled.
5. Focus on the candidate experience
Every interaction a candidate has with you is a reflection of what it is like to work at your company. Signpost every step of the way. If you say you will give feedback by Thursday, make sure you do. Small details, like providing a clear agenda for an interview or introducing them to the team they will sit with, make a lasting impression.
By being specific, honest, and organised, you can build a team that is just as talented as any large firm.
I spend my days talking to hiring managers and supply chain leaders across the FMCG sector. Recently the topic of sponsorship has been coming up more often within businesses who a few years ago wouldn’t entertain the idea of sponsorship but more recently the tide seems to be turning on this.
More startups, SMEs, and businesses that are scaling are applying for sponsor licenses to open up the talent pool in a market where top talent is becoming more difficult to come by and attract.
This shift reminds me of the market trends we saw before 2016 – prior to Brexit over 50% of the talent we hired before then were EU nationals where we had freedom of movement. Since Brexit, the talent pool in the UK has changed significantly with fewer candidates being able to move to the UK to work without sponsorship creating longer time to fill rates especially in specialised role or where language skills are required.
The return to global hiring
I have noticed that more FMCG companies are now viewing a sponsor license as a necessary tool rather than a last resort. While the process involves paperwork and specific costs, the return on investment is clear for a lot of businesses. By looking beyond the UK borders, my clients can access a much larger group of professionals who bring fresh perspectives to supply chain challenges – of course there is a bit of work up front and lead times can be a little longer than a normal notice period but if access to talent that will make an impact is key, it’s worth the wait in a world where recruitment cycles have become longer and longer.
Below I touch upon a couple of reasons why more businesses are open to sponsoring supply chain talent.
Stronger experience and better education
The quality of candidates available through visa sponsorship is often higher than what is available in the UK. I regularly speak with applicants who have strong education in Logistics/Supply Chain or specialised certifications as well as technical training.
Beyond their qualifications, these candidates often bring a unique set of skills:
Multilingual abilities: Many candidates I represent speak two or three languages fluently. For an FMCG business dealing with international suppliers or European distributors, this is a practical advantage that improves daily communication.
Global experience: Professionals who have worked in different regulatory environments often bring better problem-solving skills to a UK team and are mobile around the UK.
Commitment: Candidates seeking sponsorship usually stay with a business for the term of their sponsorship (typically 3-5 years), which helps reduce staff turnover
Quite often Supply Chain candidates particularly at a junior level have ‘fallen into’ Supply Chain/Operations roles and whilst that is a perfectly acceptable way to start a career, it doesn’t necessarily bring progressive thought and leadership in all situations that may come from candidates who have chosen supply chain or logistics to be their chosen vocation.
Solving the “tricky to fill” roles
We all know that some roles are harder to fill than others – whether it is a niche IBP Implementation role, a Continuous Improvement role with specific lean six sigma experience or an Operations Director for a scaling business with end to end exposure the local candidate pool can at times be quite small with the candidates who have such experience being in high demand/not necessarily open to a move..
I find that offering sponsorship allows my clients to stop compromising. Instead of hiring the “best available” person locally, they can hire the “best person for the job” from a global pool. It removes the geographical barriers that often slow down the hiring process for critical positions.
Understanding the costs and salaries
I often get asked about the financial side of sponsorship. It is important to be specific here. To sponsor a worker under the Skilled Worker route, businesses must now meet higher salary thresholds. For many roles, this means a minimum salary of £38,700, or the specific “going rate” for that job role, whichever is higher.
While this is an increase from previous years, many of my clients find that the cost is justified by the high calibre of the talent they receive. I help hiring managers look at these figures early in the process so they can plan their budgets accurately – for the first time sponsoring, expect costs in excess of 10k but as with everything it gets easier after the first sponsor and the return on investment often outweighs the cost of sponsoring.
A practical solution for growth
The trend is clear: FMCG businesses are becoming more open to sponsorship to drive their growth. It is a practical solution to the talent shortages that have persisted since 2016.
By expanding the search, I can help my clients find the exact skills they need to keep their supply chains moving…… and who doesn’t want that?!
Manchester United’s recent departures show just how much environment and culture impact performance. Players like Marcus Rashford and Scott McTominay have found new life at clubs that see them differently. Rashford, who struggled for form at United, is thriving at Aston Villa, while McTominay, once pigeonholed as a no-nonsense holding midfielder, has flourished at Napoli, playing a more expansive role and elevating the team’s performance. The same principles apply to hiring in business, culture isn’t just about the skills on paper; it’s about creating an environment where people can perform at their best. If you get it wrong, you risk losing top talent. If you get it right, you unlock their full potential.
Culture Fit vs. Culture Add
A major misconception is that culture fit means hiring people who are the same. In reality, strong cultures embrace diversity. The best teams align on values but benefit from different perspectives that drive innovation.
Look at McTominay’s move to Napoli. At United, he was boxed in as a defensive midfielder. At Napoli, with a new system and fresh ideas, he’s thriving. His ability didn’t change, his environment allowed him to contribute differently. Businesses that focus on genuine culture fit, rather than hiring clones, unlock their teams full potential. Employer Brand – Recruitment Shapes Perception
Your hiring process is a direct reflection of your company. If it’s slow, disorganised and overly complex, it sends a message that your company operates the same way. Long interview processes, delayed feedback, and poor communication deter top talent. Just like a player left on the bench , candidates will lose interest if they’re left waiting with no clarity on their future.
To ensure a successful hiring process:
Define and integrate core values into job descriptions.
Assess candidates for cultural alignment, not just skills.
Have a well-thought out & structure interview process from the start
And most importantly, have a thorough briefing call with your recruiter. Briefing Calls – Setting Candidates Up for Success A well-structured briefing call between hiring managers and recruiters is crucial. It should outline: – What successful hires have looked like in the past – The current team culture – What they are looking to add to the culture – What qualities will help someone excel. Without this, recruiters are forced to focus solely on experience rather than potential.
At Man United this has happened countless times; Rashford, Mctominay, Antony, Wan-Bissaka, there was no clear plan for any of these players – where they fit, how they could contribute, or how to maximise their strengths. They have all gone on to excel at the clubs they have moved too, they have had a strategy, an understanding of their abilities, and a team structure that allowed them to succeed. This is exactly what a thorough briefing call should achieve in hiring.
Final Thoughts
Man United’s transfer exits prove that culture is everything. When people are in the right environment, they thrive. Businesses that prioritise culture-first hiring build teams that perform, retain talent, and create workplaces where people want to be. Get the culture right, and success follows.
At Vertical Advantage, we’ve been hiring digital talent for consumer brands and agencies for over a decade, and in that time, the landscape has evolved dramatically.
We’ve helped numerous brands build digital, marketplace, and eCommerce teams from scratch as they bring capabilities in-house. But timing this transition isn’t always straightforward.
On one hand, the benefits of an internal team are clear -greater ownership, (potentially) lower costs, increased digital expertise, and the ability to move faster.
However, digital skills evolve rapidly, and agency support remains essential. In fact, between 32-39% of UK employees believe their skillset will be obsolete within five years – a sign of just how quickly the space is shifting. Agencies, by nature, keep pace with these changes, especially as AI reshapes the industry.
So, what should businesses consider when deciding whether to build an internal digital team or continue leveraging agency support?
Key Considerations
1. Assessing Your Current Digital Capability
Bringing in junior talent without an experienced leader to guide them often sets them up for failure. We frequently hear candidates frustrated that they report to someone with less expertise than them, which drives them to look elsewhere. Hiring a senior leader – ideally someone with experience on both the agency and brand side – is crucial to building a successful team.
2. Training & Development
According to Capgemini, 55% of digital professionals say learning & development is their biggest motivator for a job change. Without strong leadership and access to ongoing training, retention becomes a challenge. Ensuring your team has opportunities to grow- both internally and through external training- should be a priority.
3. Strategy & Leadership Buy-in
Your decision to expand your in-house digital team should be driven by your broader business strategy.
If D2C is still in a “test & learn” phase for your brand, agency support may be the better option.
If your Amazon/marketplace presence is growing, an agency with dedicated expertise in logistics, SEO, content, paid media, and technology integrations might be more cost effective than hiring multiple specialists internally.
At Vertical Advantage, we take a consultative approach, helping brands assess whether a permanent hire is the right move or if agency support would be more effective at their current stage.
We also have a network of trusted agency partners, so if an external team is the best fit for now, we’re happy to connect you with the right experts.
And if you need a permanent hire later down the line? We’re here when you need us.
Last year, we compared 2023 to Ronan Keating’s ‘Life is a Rollercoaster’.
For 2024, Billy Ocean’s ‘When the Going Gets Tough (The Tough Get Going)’ perfectly captures the spirit of the year. Against a backdrop of global socio-economic challenges—elections, high inflation, and political conflicts—the recruitment market has felt like David Bowie’s ‘Changes’ on repeat.
As we turn the page to 2025, let’s explore what lies ahead for our key markets: FMCG, Agencies, and SaaS.
FMCG’s Changing Tide
The FMCG space has seen its workforce adopt a cautious stance these past couple of years. With inflation, price increases, and retailer pressure looming large, many chose job security over career moves—proving Journey’s ‘Don’t Stop Believin’’ remains an anthem for career resilience. However, the latter part of 2024 saw an uptick in passive job seekers, combined with employer NI changes, creating a prime opportunity for businesses ready to hire in Q1 2025.
Market dynamics have evolved significantly. Three days in the office is now standard amongst most blue-chip businesses, with some pushing towards four. While DEI remains important, it rarely features explicitly in briefs. Interestingly, there’s greater acceptance of shorter tenures and industry returners—these candidates have truly embodied our theme song’s spirit, putting their dreams in motion and letting nothing stand in their way… I know, I know.
A shift is coming in FMCG. Major players are reviving graduate programmes, acknowledging the sector’s recent drought in entry-level hiring post-COVID, which has led to a dearth of talent with 2–5 years of industry exposure under their belt. While international talent remains limited, the migrating Australian and New Zealand talent pool continues to provide an interesting alternative. Despite Q4 2024’s reduced demand in job numbers, we didn’t see a drop-off in actual roles hired (those who had roles were desperate to fill them!), and my view is there’s cautious optimism for the first half of 2025, backed by significant merger and acquisition activity and renewed budgets. Companies will show renewed interest in innovation, new channels, and diversifying their media spend.
Agencies & Consulting: The Talent Battleground
In the retail media, data/insight, performance marketing, and marketplace agency space, growth aspirations and a lack of client-side knowledge continue to drive hiring needs, albeit margins are being constantly squeezed.
Brand-side hiring challenges often create opportunities in agencies. However, top talent rarely reaches the open market—they’re either headhunted or quickly snapped up when available, hiring managers find new meaning to Queen’s “Under Pressure” as they race to secure top candidates. This competition will intensify in 2025, making quick decision-making and flexible benefits crucial for securing the best candidates.
The market remains predominantly entrepreneurial, with agile mindsets prevailing. Hiring success in 2025 won’t just be about reading career history—it’s about identifying the right behaviours and investing in learning and development.
While diverse recruitment options like offshore talent, AI, and fractional employment exist, each comes with trade-offs. Agencies need to buy that one-way ticket and commit to their chosen strategy.
SaaS: Signs of Recovery
Like Gloria Gaynor’s “I Will Survive,” the SaaS sector has shown remarkable resilience. Few sectors have had to be as tough in recent years, but a glimmer of hope is emerging. Surviving 2025 has been an achievement, with many companies looking very different from their post-COVID boom days.
In the AdTech/MarTech space, companies have been playing the long game and extending runways while keeping their eyes on the prize. Previous challenges have left their mark: reduced graduate hiring, C-level downsizing, and increased workloads for remaining staff. Those who’ve weathered the storm are battle-worn, with resilience becoming the most valuable trait to have in your employees’ locker.
Growth prospects vary significantly by business and sector. The investment will likely be more selective and strategic. Experienced talent may be easier to find, provided hiring managers don’t narrow their pool with too many “must-haves.” In this market, prolonged decision-making could mean missing out on key talent.
Looking Ahead
2025 promises increased hiring activity, which will intensify talent competition. Businesses need to plan their approach and partner with specialists who understand their market’s nuances. Whether working with in-house teams or agencies, success will come from finding partners with deep expertise in specific skill sets, not just those ranking highest on Google.
As we step into 2025, remember: when the going gets tough, the tough get going. Here’s to a year of growth and success!
What are some noteworthy hiring trends observed in 2023?
We conducted an analysis based on data from 85 hires made by our team between January and June 2023, spanning various fields including eCommerce, Performance Marketing, Brand Management, National Accounts, Analytics, and Supply Chain. Here are the key highlights:
Average Base Salary Increase: 6.7% Pay Cuts: Surprisingly, 21 out of the 85 individuals took a pay cut, with an average decrease of 8.2%. Salary Increases: 48 out of the 85 individuals enjoyed a salary increase, averaging at 14.5%. Consistency in Salary: Interestingly, 16 people changed roles without any change in their base salary.
A striking observation here is that nearly one in four individuals experienced a pay cut. This phenomenon can be attributed to a combination of factors, including redundancy, market corrections in sectors that had witnessed substantial wage growth in 2021/22, and individuals prioritizing work-life balance over financial compensation.
Most frequently cited reasons for changing roles include:
Career Advancement/New Challenges: 29% Redundancy: 20% Desire for Remote Work Flexibility: 10% Relocation: 10%
While the “career progression” category lacks specific details, a recurring theme is companies freezing internal promotions or being unable to provide assurances regarding the timing of internal transfers, prompting individuals to explore external opportunities. Although redundancies have not impacted the consumer sector as profoundly as the tech sector, they have played a significant role in shaping the talent market this year.
Turning our attention to broader trends and observations:
Undoubtedly, the talent market in 2023 has not been as dynamic as it was in the preceding years of 2022 and 2021. However, this shift was anticipated, as the unprecedented growth and activity of those years were unsustainable. Factors such as reduced venture capital funding, decreased consumer spending, ongoing challenges related to iOS14, and rising input costs have collectively contributed to a more cautious approach toward expanding headcounts across industries.
As the balance of power in hiring has tilted away from job seekers towards employers, we’ve witnessed a trend of more rigorous interview processes and heightened expectations from hiring entities. Gone are the days when candidates could entertain multiple job offers after interviewing for several roles within a short period.
In terms of the types of businesses that have been actively hiring, there seems to be a lack of consistency in terms of size or industry. Whether it’s established blue-chip companies, venture capital-backed startups, self-sustaining direct-to-consumer (D2C) startups, Software as a Service (SaaS) firms, or agencies, businesses in all these categories have seen both growth and reduction in their headcounts. However, a common thread among successful hirers is their proactive approach to understanding unit economics, streamlining operations, and optimising their cost structures in 2022, positioning them favorably for the challenges and opportunities of 2023.
The potential rewards of hiring an apprentice applies to businesses of all sizes across most industries, so if apprenticeships are unknown territory for your organisation you might want to read on to discover the many benefits they can have on your business and people (we’ve listed 7 of the main benefits below).
Considering the impact the pandemic has had on the unemployment rate in the UK and the increase in people claiming Universal Credit, the potential to finding outstanding apprentices has never been bigger. Sadly. And for the same reason apprenticeships are more important than ever.
In short, hiring an apprentice could be an effective way to add manpower to your team and develop a motivated, skilled and qualified workforce, while getting financial support from the government. It’s a brilliant way to open up your talent pool to individuals of all backgrounds and ages and therefore increases diversity, but also a clever way to upskill and develop current employees, which will have a positive impact on staff retention and overall moral.
We at Vertical Advantage have first hand experience of hiring apprentices, and we’ve outlined one particular success story below that might inspire.
First thing’s first – who can apply for an apprenticeship?
Taking England as an example, anyone over the age of 16 (although some workplaces may impose a minimum age of 18 due to health and safety regulations) can apply for an apprenticeship. This means you can employ apprentices at different levels, from school leavers and university graduates, to people who want to further their careers or change career direction completely.
A common factor as to why many young people choose the apprenticeship route is because they are looking for an alternative to going to university and consequently avoiding debt. In 2020, students graduating from English universities will have incurred an average of 40.28 thousand British pounds of student loan debt.
Average student loan debt on entry to repayment in the UK from 2000-2020, by repayment cohort by country.
What are the benefits for the apprentice?
Short answer – many.
Long answer – keep reading.
Apprenticeships…
…opens doors to people of all backgrounds.
…don’t make people choose between furthering their education and getting a job.
…don’t get people into an eye-watering amount of debt that usually follows a university degree.
…can help people accelerate and futureproof their career.
…allows people to earn while they learn in a sector they’ve chosen themselves.
…could mean the apprentice starts on a lower starting salary than a graduate, but they start earning much earlier, and don’t have student debt hanging over them.
…can give people an edge over a graduate applying for the same role, as they already have solid experience and understanding of work culture.
…gives people invaluable industry experience – while getting paid.
7 benefits of apprenticeships
1. Government funded training. As an employer, you can get funding from the government to help pay for apprenticeship training. An apprentice must spend at least 20% of their time completing off-the-job training, but the style, location and timing varies.
It’s important to note here that you can adapt their training according to your business needs, so the government is essentially paying for some – if not all – of the cost of you moulding your next star employee.
2. Existing staff can be freed up to work on other projects. Although it completely depends on the situation, the apprentice is likely to take on more junior tasks to begin with, which frees up time for other more senior team members. There’s an extra pair of hands in the room.
3. Expand your workforce in a cost effective way. Let’s not beat around the bush – hiring an apprentice is cheaper than hiring a permanent employee.
Salaries are decided by the business, but you’ll need to pay a National Minimum Wage rate that specifically applies to apprentices, and there are different rates of pay depending on age and what year of the apprenticeship the individual is in. Find out more about the rates here.
4. Improve staff retention. Apprentices feel valued in the workplace, they are loyal employees and this improves your staff retention and helps to build and sustain a strong team ethic within your company. On successful completion of the apprenticeship, many firms choose to keep on their young recruits (employers retain around 90% of their apprentices) and help them to progress further.
This promotion from within eases the burden on your future recruitment needs and also means your staff know exactly what is required of them.
5. Upskill and fill skills gaps in your business. Apprenticeships aren’t only suitable for bringing in new employees, they’re also ideal for upskilling or retraining existing employees – of any age, and at any level.
Investing time and effort into developing existing employees creates loyalty and they are far more likely to a) stay with the business and b) become a brand ambassador and speak well about your company to others. Word of mouth might be the oldest marketing tactic in the book, but positive feedback and referrals are still king.
6. Young people can offer a fresh perspective and a new dynamic. Diversity in the workplace isn’t only about cultural, racial, religious, gender, sexual orientation, disability etc. Age is also a key differentiator for businesses that value diversity.
7. In a time of need, do your bit. Attitudes towards apprenticeships are undoubtedly changing and they are increasingly seen as a dynamic addition to recruitment options for employers. Not only are you doing your bit as a business to help the unemployed, you get access to a huge pool of talent that are generally devoted, committed and extremely willing to learn. Who wouldn’t want their brand to reflect this?
According to a recent government study:
86% of employers said apprenticeships helped them develop skills relevant to their organisation
78% of employers said apprenticeships helped them improve productivity
74% of employers said apprenticeships helped them improve the quality of their product or service
One thing to bear in mind is that many of the difficulties faced with apprentices are due to them being picked up early in their development cycle. Bear in mind that this rawness and ability to be moulded is also one of their biggest strengths.
Our own apprenticeship success story
We couldn’t write this article without highlighting one of our own success stories – Selina.
Selina joined Vertical Advantage as an Associate Consultant at the end of 2019 as a 180 recruiter with candidate management being her main focus. She started off by making a placement in month two, and ended up being our top performer for several months the following summer, in the midst of a global pandemic and serious economic downturn.
Offering her a permanent position in July, a few months before her apprenticeship was supposed to finish, was a no-brainer. To mark the occasion our team surprised her with a virtual graduation party (pink gown and cap for her – ‘Selina’ themed fancy dress for the rest of us…) via Zoom.
We can’t stress enough how valuable it can be to open up your potential talent pool to young individuals and add someone to your business who’s consciously made the decision they want to work, learn, are committed, and ready to prove themselves.
The business that helped us find Selina was LDN Apprenticeships, so we can definitely vouch for the quality of candidates they have access to. If you’re keen to find out how they might be able to help your business visit their website or get in touch with our founder David Jenkins and he’ll make the introduction (david@vertical-advantage.com).
As the owner of a recruitment consultancy that specialises in the FMCG and related consumer goods markets, I wanted to share some of the recent trends we are seeking in these sectors, thoughts and reflections on the quarter that’s passed, and what businesses can expect going into Q4.
It’s worth mentioning that our view is based on our core areas of Supply Chain & Procurement, eCommerce & Digital and Sales & Marketing, so the commentary here is broadly reflective of those skill sets.
Bouncing back & adapting
April was a month none of us in the recruitment industry want to experience again, but by the time we got to June, the market was showing signs of genuine recovery. By that point we were coming towards the end of lockdown in the UK and businesses had transitioned to fully remote working models. It was recognised that hiring needed to continue to augment momentum gained as the market started to normalise following the early lockdown days of panic buying.
‘Zooming’ replaced F2F meetings and larger, more established businesses seemed to be the quickest to adapt. In truth, our blue chip clients were those who remained most resilient to adapting to the new virtual working model. Some SMEs acted borderline bullish during this period when it came to hiring, but as we entered Q3 we saw more SMEs starting to strategically hire and look for opportunities to fill pre-existing gaps; essentially hiring as a bi-product of greater confidence.
A space in which hiring demand dramatically increased was our consultancy client base that works closely with Amazon (Seller) and other key marketplaces. The need for Amazon skilled candidates has never been higher.
The holiday within the holiday
The result of June’s re-emergence continuing into July meant that the first half of the quarter was positive. Whilst volumes of roles were still c.50% down on early March at Vertical Advantage, the engagement and commitment from the market was resolute (as nerves subsided we saw far less clients changing their mind on signing off requirements than in Q2).
The end of the full time furlough period on July 31st was a potential concern and whilst the run up to this had seen some high profile administrations for businesses, particularly aligned to hospitality (e.g. Adelie Foods / Café Rouge), companies that were aligned to grocery powered on with their hiring.
The early part of August was more buoyant than normal for that time of year, however, as the month progressed, the traditional Summer holiday slowdown took grip. This resulted in many processes slowing down or grinding to a halt during this period, as the UK seemed to copy our European counterparts in taking extended mid-summer breaks (fully deserved might I add!).
Super September
Coming out of the August bank holiday weekend, vacancy volumes were lower than they had been for the previous 3 months, which gave some cause for concern. However, the market has taken a significant turn for the better in September with live vacancies jumping c.70% and confidence is a lot higher and more resilient to changes in macro socio-economic policies.
What we are seeing now is that challenge is creeping back into the market, as a result of greater buoyancy – competition is ramping up. There is no longer an abundance of candidates that clients can have their pick from, and they are no longer alone in making offers. Approximately 40% of our candidates that were offered roles in September have had more than one offer on the table.
Overall, candidates are seemingly more financially motivated post-lockdown than previously, which is understandable if they may have been through a few months of financial hardship.
In addition, we have seen more people leave their new jobs within the first few months than we normally would. The reasons for this vary from having taken a role in desperation, struggling with a combination of work and mental health challenges when starting a new role, or poor remote on-boarding resulting in low levels of engagement. If your business intends to remain working remotely going into 2021, this needs to be a serious consideration and a priority for businesses.
“Approximately 40% of our candidates that were offered roles in September have had more than one offer on the table.”
Less than 90 days to Christmas
So, what’s coming next?
The Christmas countdown will certainly benefit trading in the broader FMCG space, but similarly to the August holiday period, it’s tough to predict the consumer outlook and as a consequence predicting the trends of the hiring market will not be easy (I will try to get off the fence shortly…).
The furlough scheme ending could bring a new wave of redundancies – My suspicion is that the complete end of the furlough scheme will result in some more redundancies in isolated pockets and sadly, there will be more retail / hospitality led businesses suffering hardship. Undoubtedly the result will bring more candidates onto the market, however with many other businesses now getting hiring into full swing, I expect to see this talent being snapped up quicker than we saw in Q3.
Increased competition – Businesses that have been using direct channels to hire (advertising / referrals / talent pipelining) will find the market more competitive and speed is going to be one of the most important factors when looking to deliver on time to hire. This is particularly true with more fixed term contract roles in the market than normal, as businesses look to try before they buy.
Changing candidate expectations – Candidate expectations on work have evolved and they will very much be looking at a potential employers for positive work / life balance in 2021 and beyond, so nebulous answers around this topic will not be enough when it comes to decision time.
Niche skills are now being snapped up – Experts on customs / export around Brexit are very much in demand as the year is coming to an end. As are digital skills related to various marketplaces and for anyone that can navigate the complexities of Amazon from a supplier perspective, can command a premium in this market…….. There’s no sign that this will change in 2021.
…and that’s all from me! Finally I’d like to wish you all a healthy and prosperous final quarter. As always, if you feel Vertical Advantage can help at all, please don’t hesitate to get in touch.
The pandemic has rocked the consumer goods sector and has been a wake-up call on agility and staying relevant to customers. Consumer behaviours are changing (potentially forever), channels of consumption are shifting, and the importance of a flexible supply chain has never been more evident. But what industries are thriving in the midst of the chaos?
As the consumer goods specialist at Vertical Advantage I have been speaking with Supply Chain professionals across the sector to understand not only the impact of COVID-19, but also what trends they are seeing coming out of it.
Beauty & Cosmetics
Beauty is one of the sectors in the UK that has really felt the impact of lockdown. With the vast majority of retail stores closed nationwide, many of our clients saw an alarming drop in sales as shoppers were stuck at home and being more conscious of their spending. The luxury goods category has been impacted considerably as a result.
On the upside, there’s been an interesting positive trend in the day-to-day beauty categories including skincare products, cosmetics and nail polish. Is it because we’ve had more time on our hands (no pun intended)? Boredom? Or have we felt the urge to treat ourselves because of the money we’ve saved on commuting and crazily overpriced lunches?
Personal Hygiene
Let’s be honest, we’re all hand sanitiser crazy at the moment and armed to the teeth with hygiene and cleaning products at home. The demand for this sector has gone through the roof as hand soap, sanitiser, anti-bac wipes and sprays have become staples for many households.
The increased demand for hygiene products coupled with the fact that consumers are becoming more conscious of the environment, sustainability, ethical sourcing and chemical-free products, will inevitably shake up the industry and open up the door for some exciting brands.
Health & Fitness
I think we all played with the thought of using lockdown to “get in shape” or try new fitness regimes to keep active. The result of this shift in mindset has seen a positive impact on health and fitness products, with items like golf gear, footballs and nets, dumbbells and weights, and even protein bars sold out. Although most fitness items are unlikely to be repeat purchases, the overall interest in home exercising most definitely had an impact on sales.
Gifts
It seems that in the absence of being able to physically see friends and family, consumers turned to online gift brands to send their love from afar. Flowers, birthday presents and care packages have all seen an increase in demand compared to the same period last year.
Home & Garden
As we have spent the majority of our time at home, our homes and garden frequently come up in conversation. This in turn has led to more product recommendations, as people buy plants, baking equipment, and other products to liven up quarantine. If you say you didn’t bake banana bread during lockdown, you’re a liar…
“If you say you didn’t bake banana bread during lockdown, you’re a liar…”
What’s the one thing we can take away from all this?
Overall, the current climate has made one thing clear; eCommerce and digital presence is essential. Businesses that have invested in a strong eCommerce platform and presence across multiple consumption channels have been able to ensure some stability and maximise their revenue in these challenging times.
One thing I’m curious to see is how consumer goods brands will adapt their supply chains to ensure quality (and price) is maintained whilst they explore risk mitigation strategies to future-proof their success. To be continued.
Sagar is a Manager on our Supply Chain & Procurement team, specialising in the consumer goods sector. Contact him on sagar@vertical-advantage.com if you’d like to gain more insights on the current market, or to discuss your next career move.
