The UK recruitment industry is perhaps the most competitive in the UK. This is because the industry is an open market which features a large number of recruitment firms. In addition to the intense rivalry between firms, there always new entrants to the market.
Therefore, in many respects only those firms, which have a well-defined, specialized niche market can succeed. It must be said that the larger and more experienced UK recruitment firms tend to have the bulk share of the market in terms client base and overall service demand. Without a doubt, the UK recruitment industry and the job market as a whole can be a difficult sector for small firms and candidates alike. The intense competition within the UK recruitment industry has meant that some firms have had to evolve in a sense. This particularly applies to the new or smaller firms who have not yet established a substantial client base. These firms often find themselves having to resort wholly to 'cold' sales techniques in order to get a fraction of the market share.
This scenario seems to becoming more prominent as the number of new recruitment firms keep increasing each year. The large organizations will always tend to go for well-established UK recruitment firms partly because they know what they are getting, and partly because the many firms entering into the industry has translated into falling service standards. Never the less, it is possible for a small recruitment agency to succeed in the UK recruitment sector. Such businesses will have to understand that profitability goes hand in hand with having an excellent business plan. Furthermore, a substantial investment of working capital for advertising, marketing and administration is also required.
For a firm to survive in the UK recruitment industry, it will have to be fully dedicated to staying ahead of the competition. This is what Quanta strives to consistently achieve Just like other industries, there are times in the UK recruitment industry when overall demand for staff is low due to perhaps, economic decline. For a recruitment firm to survive in the long run, it will definitely need to have a plan for keeping their head above water during such periods. At this junction, it should be stated that intense competition within the UK recruitment industry is not necessarily a bad thing. This is because to a large degree, it is competition that has contributed to the growth of the industry in recent times.
Stephen Trigg is the CEO of Quanta Consultancy Services, the leader provider of Recruitment consultancy.