Retiring baby boomers, job hopping millennials and the millions of people who’ve resigned during the pandemic have combined to create the worst labour shortage in decades. In a market where employers sit with open positions for months, whoever cracks the code to make hiring easier is set to win big.
“The tech industry isn’t that different either. Just take a look at the current job offers across Inovia’s portfolio companies — over 3,557 opened positions, as of this publishing!” — Chris Arsenault, Partner, Inovia Capital
That’s what drove us to Talent.com, a company with very little funding that has quietly grown into one of the world’s largest online recruiting platforms. Thanks to its technology and a vast network of publishing partners, Talent.com has managed to attract over 35 million unique visitors per month and display more than 30 million jobs, repeatedly clinching contracts from global brands.
We can’t wait to see how far Talent.com will go with fresh financing. Today, we’re thrilled to share that we’re leading a US$120-million Series B investment to help turn the company into the go-to destination for anyone looking for work and a better life.
There’s plenty of room to expand. Online recruiting budgets account for just 6% of the US$445 billion companies globally devote to finding candidates. As a comparison, e-commerce makes for 20% of retail spending. Online recruiting is gaining prominence in a post-COVID world with enduring work-from-home habits, and Talent.com is ideally placed to benefit.
Huge Needs, Confusing Market
The hiring headache has spared almost no industry. According to the Manpower 2021 Talent Shortage Survey, 69% of employers globally struggle to find workers with the right blend of skills. That’s the most in 15 years and twice the 2013 levels. In the U.S., the ratio of job openings to employment has hit an all-time high in December.
The reasons are well known. Workers have been quitting in droves during the crisis, a widespread phenomenon dubbed “The Great Resignation”. But even if the trend tapers off, deeper currents are at play. Not only are aging baby boomers exiting the labour force, but millennials are holding onto jobs for shorter periods.
That’s the big picture. On the ground, the recruitment process remains, in many cases, frustrating for both sides. Job seekers must navigate a multitude of job boards, career websites and social networks, wasting time sifting through thousands of opportunities, going through tedious application processes and often missing out on the right opportunities. Employers are juggling with an array of recruitment solutions, ending up in a “post and pray” strategy that’s costly and inefficient.
Clients Keep Returning
Talent.com has taken on the industry’s incumbents and made a name for itself by delivering a high return on investment for its clients. A major draw for us was to see their big-name customers increasing their budget year after year; a sign Talent.com has been getting through to the right applicants.
The platform is now available in 78 countries and 29 languages. It features more job postings than most of its competitors, helping candidates save time. It has also gained users through partners, such as newspapers, that carry a Talent.com-powered career portal on their website.
Co-founders Benjamin Philion, Lucas Martinez and Maxime Droux, friends who met in Switzerland and opened their first office in Montreal more than a decade ago, have impressed us with their ability to execute a grand vision on a limited budget. We’re excited to accompany them to the next stage of the plan.
Building a User-Centric Platform
Inovia’s limited partners Caisse de dépôt et placement du Québec (CDPQ), Investissement Québec, BDC Capital, Fondaction and HarbourVest Partners are joining as co-investors, in addition to our new European partner Climb Ventures. The fresh funds will help the management team add seasoned professionals, beef up analytics capabilities, and go after small- and medium-sized employers.
More importantly, the company focuses on building a user-centric platform by improving personalization and the job seeking experience. Initially called Neuvoo, it changed its name to Talent.com in 2020, the fi
rst milestone in its journey towards building a strong brand.
Talent.com has already generated a lot of traffic and helped millions of job seekers, and has a dense network of partners. Ultimately, the goal is to make it the first stop for any job search. As more people sign up, it will send them even more relevant offers. From there on, there’s no stopping it.
And that’s why we’re taking on the labour shortage with Talent.com.