Ukrainian IT recruiting agencies in 2023 (the results of the survey)

Being in constant development and analyzing our workflow is about EvoTalents' attitude towards work. Therefore, we decided to conduct a survey among IT recruiting agencies to compare results and approaches in work. Of course, we share the obtained results because #sharingiscaring.

Why are we doing this? To understand the situation in the recruitment space. To learn from different experiences and test new hypotheses. To help the professional community become better, identify their strengths and weaknesses, and work on them.

In this article, we discuss the sizes of Ukrainian IT recruiting companies, revenues, the number of clients and their acquisition channels, leads, and much more. Enjoy reading!

About companies

20 IT recruiting companies participated in our survey. The majority of them - almost 67% - are small businesses with a staff of 5-10 employees. In 29% of cases, teams consist of 11-30 employees. Only one of the businesses that participated in our survey has more than 100 employees.

At the same time, the recruiting team [including sourcers and recruitment leads] consists of up to 5 people for 48% of respondents. The next category is 6-10 recruiting specialists for 38% of businesses. Three companies [14%] have 11-30 people in the recruiting team.

All our respondents operate in the European market, 90.5% also working with the Ukrainian market. 6 companies out of 20 have entered the U.S. market, and 7 have entered the Canadian market. Latin America and India are dealt with by 5 and 2 companies, respectively. One company operates in the Middle East. None of our respondents work with Africa and Australia.

Technical vacancies are handled by 19 companies, while C-level positions are covered by 18. Digital vacancies and non-technical job directions are also not overlooked: 15 and 13 businesses, respectively, are engaged in these areas.

Overall, we can observe a trend of Ukrainian companies expanding into European markets, broadening horizons, and working on challenging but promising higher-level job vacancies.

Recruiting metrics

Let's start with the fact that 60% of the respondents do not separate the functions of recruiters and sourcers in their companies. Accordingly, 40% have two distinct roles with their own specific tasks in their teams. Since the summer of 2023, EvoTalents | Recruitment Agency has also joined this list, as we have brought on board two new sourcers.

As for the number of vacancies worked on in 2023, here each respondent has unique numbers depending on the size of the business and the direction of work. As a result, surveyed companies worked with a minimum of 2 vacancies and a maximum of 238.

The average ratio of closed vacancies to the total number of vacancies worked on by our respondents is 63%. To better understand the percentages, let's examine each response individually (not all companies are included in the example, as the percentage indicators of some are the same or are nearly equal):

• 100 vacancies in progress, 26 closed vacancies - 26%
• 160 vacancies in progress, 68 closed vacancies - 42.5%
• 192 vacancies in progress, 98 closed vacancies - 51%
• 238 vacancies in progress, 152 closed vacancies - 63.8%
• 86 vacancies in progress, 65 closed vacancies - 75.5%
• 17 vacancies in progress, 14 closed vacancies - 82.3%
• 41 vacancies in progress, 41 closed vacancies - 100%

In total, four companies among the respondents managed to close 100% of the vacancies in progress.

As for average fees, here we have quite diverse numbers ranging from $1,100 to $8,000 on average. Other respondents provided the following figures: $12,500, $15,000, $19,550, and $25,000.

The average time to fill (up to the moment a candidate starts their job) for the 6 surveyed companies is 1.5 months. It is 2 months for 5 businesses. The 90-day metric is relevant for 3 respondents. Additionally, among the surveyed companies, there are those with time to fill in 28-30 days and those who do not track this metric.

Moving on to the average time to hire (up to the moment the offer is accepted), after calculating all the numbers, we found that the average is 38 days. Let's delve into the responses of the respondents: 1 company has a metric of 1 week. 3 businesses indicated 1.5-2 weeks, which goes towards finalizing the hiring process. The result of 20-30 days is the outcome for 6 respondents. At the same time, for 7 companies, the relevant average time to hire is 1.5-2 months. Other responses include 2.5 months, 4 months, and the absence of tracking this metric.

In conclusion, we can understand that recruiting metrics are a fairly unique aspect. They comprise many factors that are subjectively important to each individual company. Nevertheless, with the provided results, one can analyze your own activities and identify areas for improvement or directions to move forward. Personally, the EvoTalents team will use this approach to become even better and more productive.

Marketing and sales

We inquired whether our respondents have a Lead Generation Manager in their team. 57% gave a negative response, while 38% gave a positive one. Additionally, one company provided an elaborate explanation for the absence of a Lead Generation Manager: "We have 'warm' leads, no need for 'cold' leads."

The number of leads per month for companies using lead generation varies from 2 to 8.?

Regarding the conversion of leads into signed contracts, we have the following results: 10%, 20%, 30%, 60%, 80%. Some respondents currently do not have such conversion rates.

We also inquired about the presence of Sales Managers in IT recruiting agencies. 52% responded "yes," 43% responded "no." `The CEO fulfills this role for one of the businesses.

The average total number of leads per month (considering the last 3 months) varies from 1 to 8 for 9 companies. 2 businesses have 15-25 leads. The Sales Manager has just started their activities in 2 companies, so such data is currently unavailable.

As for the average number of new clients per month, the most popular responses are from 1 to 8 clients. 1 company explained their mark of 1-2 new clients: "We have a boutique agency approach; we work with existing clients month after month."?

One of the most interesting topics: where do clients come from for these agencies. 90.5% of our respondents indicated recommendations as one of the main sources. Networking comes in second, with 81% of companies finding new clients through this avenue. The third and fourth places are occupied by social networks (66.7%) and the website (38%) respectively. Less popular but still effective for businesses are lead generation (23.8%), conferences (19%), and advertising (9.5%).

Business metrics

Analyzing the annual revenue of our respondents, we obtained the following data:

• 43% of companies have an annual revenue in the range of $100-300k.
• 38% of businesses have revenue up to $100k.
• 14.2% crossed the $1 million mark per year.
• 4.8% fall within the range of $300-500k.

Now, let's move on to marginality. It is below 10% for 6 respondents, for another 6 - between 30-40%. 4 companies have a margin in the range of 10-20%, while the remaining 4 - 20-30%. Only one of the surveyed businesses crossed the 40% mark.

In conclusion

We are grateful to everyone who participated in our survey. Everyone can draw their own conclusions. We were glad to share such valuable and, in most cases, confidential information with you. We hope you gained new knowledge and insights to contemplate. Wishing all IT recruiting agencies to appreciate their uniqueness and move forward every day!

#recruitment in ukraine #business #recruitment #it recruitment agencies in ukraine