GRID 2023 report: what's shaping the recruitment and staffing industry?

Key insights from Bullhorn's Global Recruitment Insights & Data 2023

by Gordy Robinson,
Head of Product Management and Innovation at Kyloe Partners

As we navigate the twists and turns of today's recruitment market, Bullhorn's latest GRID report reveals what's shaping the recruitment and staffing industry—trends, challenges, and all the bits that redefine how we look for talent.

Technology is the catalyst for growth

Top recruitment companies have incredible tools and platforms that make the entire recruitment cycle slick. Think turbocharged processes and efficiencies, and candidates getting VIP treatment. But here's the game-changer: these companies are not just tech-savvy; they are fully embracing digital transformations, staying miles ahead of the competition.

Digital transformation evolution
For years, the recruitment industry has been undergoing a digital revolution, but what sets the high-performing firms apart is their commitment to continuous innovation. As the Head of Product Management and Innovation at Kyloe, it is encouraging to witness the industry's enthusiasm for adopting cutting-edge solutions, paving the way for a more agile and responsive digitally enabled recruitment ecosystem.

Client development takes centre stage

According to this new report, winning new clients is the top priority for recruitment firms.

In contrast to last year's top priority, which was around candidate acquisition, this shift is a big nod to the value of growing client lists for business expansion.

Here are the full list of priorities:
Digital transformation evolution

Talent pools and the tight labour market

GRID is also spotlighting that seemingly never-ending struggle with a tight job market. Recruitment and staffing companies are investing significant time in talent pools: strategically curated reservoirs of potential candidates.

This emphasis on talent pools underscores another key challenge: the necessity for building and maintaining relationships with potential candidates over time. Did you know that 84% of candidates who hear from their recruiters more than once a week would keep working with the firm?

In this context, digital transformation will be essential to gain a competitive advantage in a tight labour market, where precision and speed are paramount when engaging with potential candidates.

Digital transformation evolution

Industry challenges: sourcing and screening in a candidate-short market

The recruitment landscape is buzzing with activity, as technology advances and industry priorities transform. However, there are also challenges and potential risks that lie ahead in the months to come.

GRID cautions about a minor deceleration in the market: the shortage of new business and candidates is making sourcing and screening our sector's top lifecycle challenges.

For Kyloe, these results reinforce our reason for being: the development of high-tech solutions that that address specific industry pain points, facilitating a more streamlined and effective recruitment process for our clients and their candidates.

Digital transformation evolution

The digital transformation journey

Despite the advancements made, most staffing companies are still in the early tech game which means there’s opportunity for serious growth and improvement within the industry.

Tech's moving at high speed, and recruitment? Companies must keep pace and lead the way in adopting innovative solutions that redefine industry standards.

Digital transformation evolution

AI in candidate outreach

One of the key takeaways from the report is the acknowledgement of AI's crucial role in candidate outreach. Top recruitment companies are all about personalised candidate outreach, and in a world where our conversations are primarily digital, AI offers huge potential.

Candidates keep calling out poor communication with recruiters. AI can make your communication processes frequent and personal. And candidates? They will feel the difference and you’ll notice increased engagement and loyalty.

Digital transformation evolution


High-performing firms are setting the pace by embracing technology, focusing on client development, and navigating the challenges posed by today’s market.

In my role as Head of Product Management and Innovation at Kyloe, one thing is clear: the future of the industry involves embracing digital transformation to empower top-tier talent, and making smart moves with AI.

By staying attuned to insights such as these, learning from them and proactively taking action to respond to challenges, recruitment firms can position themselves not merely as reactive to change, but as architects of the future of talent acquisition. The journey ahead is exciting, and with the right blend of innovation, adaptability, and strategic vision, you can set yourself up for success.

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