5 Reasons Why Retail Competition for 2018 Holiday Hires is Intense
Retail companies seeking temporary hires for the 2018 holiday season are going to face a lot of competition this year.
Catch up on the changes going on in the retail industry this holiday season, and learn how to grab unemployed millennials by their off-brand parkas before the competition!
5 Reasons Why Holiday Retail Hiring in 2018 Will Be Harder Than You Think
- There is a desperate need for seasonal retail workers. According to a study done by leading business consulting organization Korn Ferry, nearly 70% of all retail stores will attempt to hire the same number of temporary workers for the holidays as they did last year. However…
- 23% of Retailers Won’t Be Able to Find the Temporary Hires They Need. According to the same report, 23% of retail businesses will not be able to find the amount or quality of hires that they need for the upcoming holiday season.
- There is more demand from employers seeking workers than there is from the unemployed seeking work. Unemployment in the US is now under 4%, according to the Bureau of Labor Statistics (the lowest it’s been in nearly 20 years). While this is great news for the economy, it spells trouble for retailers trying to hire people looking for temporary work during the holiday season – a need that stores have easily counted on for many years.
- Almost 30% of major retailers are planning to take on more seasonal hires in 2018 than they did last year. With consumer trust in the economy better than it’s been in years, holiday sales are projected to be nearly 5% higher than in 2017. To keep up with demand, many of the most successful retailers including Target and Walmart are seeking to hire hundreds of thousands of seasonal hires. This is increasing competition for temporary hires – especially among the small retail businesses that need seasonal workers the most.
- 63% of retail businesses plan to give longer hours to permanent employees: Of the retail businesses surveyed by Korn Ferry, over half plan on giving their permanent employees more hours to compensate for their expected lack of temporary hires.
Competition for 2018 Holiday Hires Increases In the Retail Industry
With most of the major retail corporations scrambling for holiday hires, competition for temporary hires this holiday season will be intense.
What’s more, with such a low unemployment rate, and such a high demand for jobs, unemployed people themselves have greater control over their terms of employment, as they can be more ‘choosy’ over which store they wish to be hired by.
This climate is forcing both small and large-scale retail businesses to come up with new and creative ways to beat out the competition by making employment seem more enticing than the competition.
4 Ways to Beat the Competition for Retail Seasonal Hires
- Raise Starting Wages. The three little words every retail business owner hates to hear. But to keep up with the competition this year (ie, Target), it may give your store the winning edge it needs to entice more customers. While employment among millennials may be different in nature than past generations, you can count on the timeless and universal motivation of earning more money for the same amount of work to attract more workers to your shop.
- Offer Flexible Scheduling. A little accommodation will go a long way during the hiring process in 2018. This may require adjusting your permanent employees’ work schedules to work around new hires. With unemployed workers in such high demand this season, the frustration of rescheduling to fit the needs of a new hire will prove to pay off handsomely.
- Provide Employee Discounts. What perks can you offer to your temporary hires? Discounts on store merchandise? Free lunch? The largest retail giants, from Target to Best Buy attract thousands upon thousands of applicants daily by offering these simple perks. Why wouldn’t small retail business owners try the same?
- Create a Positive and Enticing Culture. This may prove to be the most successful strategy this holiday season. The vast majority of millenials are fed up with overly-corporate cultures and operations. These days, people are more driven to work for a company that they trust and believe in. Create a fun and positive work environment for your hires, throw a bowl of avocados in the break room, and watch the unemployed few come running.
Need Help with Retail Staffing?
NBC isn’t a retail staffing company, but we do help hundreds of retailers staff their company every holiday season.
For help managing payroll, offering benefits and extra perks, and getting the cash flow you need for any additional expenses, our retail business loans give store owners the capital they need to cut costs, improve sales, and streamline operations by not having to pay out of pocket.
If you’re interested in seeing how we can help your retail business succeed this holiday season, call (877) 482-3008 and ask!
Or, apply for financing today to receive funding in as little as 24 hours, through our expedited funding process that eliminates time and paperwork.
National Business Capital & Services is the #1 FinTech marketplace offering small business financing and services. Harnessing the power of smart technology and even smarter people, we’ve streamlined the approval process to secure over $1 billion in financing for small business owners to date.
Our expert Business Financing Advisors work within our 75+ Lender Marketplace in real time to give you easy access to the best low-interest SBA loans, short and long-term loans and business lines of credit, as well as a full suite of revenue-driving business services.
We strengthen local communities one small business loan at a time.
For every deal we fund, we donate 10 meals to Feeding America!