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Costs and results

How do you calculate the cost per qualified candidate?

Conceptual illustration: How do you calculate the cost per qualified candidate?
AI illustration for Red Rocket

The short answer

Add up all relevant recruitment costs for the same vacancy and period: media spend, services and internal time. Divide by the number of unique candidates meeting the qualification criteria agreed in advance. Use the same criteria when comparing channels and state which costs are not yet final.

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Why your current number is too optimistic

Responses and qualified candidates are different denominators. Agree what qualification means and count each candidate once. Include all relevant costs, including assessment and follow-up time. Otherwise, a channel requiring substantial manual work may appear cheaper than it is.

Compare the same period and comparable vacancies. Also record how many candidates proceed to an interview or hire; a low cost per qualified profile does not tell the whole outcome.

Fictitious calculation example: the formula in practice

Assume (fictitious example): you pay €2,000 in media budget. Your HR employee spends ten hours on assessment, at an internal rate of €50 per hour. Total costs: €2,500. You receive sixty responses. Eight candidates meet the bar. Cost per qualified candidate: €312.50.

If a placement fee arises later, update the total costs. Comparing a per-hire fee directly with advertising spend per candidate gives a distorted picture. If there are no qualified candidates, report the costs and zero candidates; the ratio cannot be calculated.

How Red Rocket's Cockpit makes this transparent

Red Rocket recruits through social campaigns. Candidates go through an AI conversation via WhatsApp: their answers are assessed against the hard requirements you set. If someone does not qualify, that candidate automatically receives no invitation.

In the Cockpit you see each candidate's profile, answers, score, optionally a CV, and any follow-up questions. You handle the personal follow-up and the final hiring decision. Red Rocket works on a no cure no pay basis: on placement you pay a fee from 11% of the gross annual salary. The media budget falls under separate terms; ask about these before your campaign starts. Required certificates you verify yourself. Red Rocket gives no legal guarantees.

From explanation to your practice

Discuss how this approach fits your vacancy and team.

Source and editorial note

This article offers practical considerations. Examples are fictional, not client results or forecasts. The source below provides broader context, not evidence for a particular Red Rocket outcome.

LinkedIn · Future of Recruiting

Frequently asked questions

Should I also include my own assessment time in the calculation?

Yes. The time you or your colleagues spend reading CVs, conducting conversations, and giving feedback are direct recruitment costs. If you recruit through an agency, you pay for the selection. If you do it yourself, you pay with time. Leave this out of the equation and you will underestimate what recruitment actually costs you.

Does Red Rocket guarantee a certain number of qualified candidates?

No. Nobody guarantees volume. Red Rocket works on no cure no pay: you pay a fee from 11% of the gross annual salary on placement. No placement, no fee.

From reading to your practice

Which recruitment approach fits your budget?

In 30 minutes, discuss your vacancy, the costs you want to compare, and what working together involves. That way you can weigh up your next step with more confidence.

No placement, no recruitment fee · from 11% of annual salary

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Teka Kranen
“The quality of the communication, the drive, and the return on costs incurred.”
Dielan Vlaar · Teka Kranen · Read the client story ↗

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