icims

Businessmodel of iCIMS

Customer Segments

iCIMS has a mass market business model, with no significant differentiation between customer groups. The company targets its offerings at companies of all industries and sizes.

Value Proposition

iCIMS offers four primary value propositions: accessibility, convenience, performance, and brand/status.

The company creates accessibility by providing a wide variety of options. It is integrated with most of the major HR and enterprise applications on the market – almost 250 point solutions.

The company offers convenience by making life simpler for customers. It offers an end-to-end solution that handles every part of the recruitment process, from attracting candidates to managing workflow stages to onboarding talent. These activities are all conducted within a single web-based application that utilizes one set of source code. Lastly, free upgrades occur at regular intervals.

The company demonstrates strong performance through tangible results. Specific examples of positive outcomes for clients include the following:

  • DeVry used the iCIMS Talent Platform to integrate with its chosen pre-employment screening program, resulting in $100,000 in annual mail cost savings and reduced time to fill positions
  • Crunch used the iCIMS Talent Platform to automate the management of job requisitions, applications, resumes, and candidate files, resulting in the saving of hundreds of working hours
  • Gander Mountain used the iCIMS Talent Platform to standardize the hiring management process, resulting in uniform hiring management techniques across its 90+ locations

  • Kate Spade used the iCIMS Talent Platform to standardize its recruiting operations across different workflows within one system, enabling it to achieve significant time savings The company has established a strong brand due to its success. It bills itself as the largest SaaS-based provider of talent acquisition software and the second-largest provider in the industry overall. It generates annual recurring revenues of over $100 million and has achieved three straight years of 30% growth. It has over 4,500 clients,  including prominent companies such as Rite-Aid, Jamba Juice, Rackspace, and Enterprise Holdings. Lastly, it has won many honors, including the following:

  • Ranking as one of the Inc. 500 for eleven consecutive years
  • Recognition as one of the “Best Places to Work in New Jersey”
  • The Cloud Award for “Best HR/Payroll Solution“
  • The Brandon Hall Group Silver Award for excellence in talent acquisition
  • Two Stevie Awards for Outstanding Customer Service ### Channels

iCIMS’s main channels are its direct sales team and its website. The company promotes its offerings through its social media pages, search advertising, and participation in events such as trade shows, conferences, and speaking engagements.

It also hosts the iCIMS Lunch and Learn Series, a set of lunch meetings in major cities where it provides information about the company and its offerings.

Customer Relationships

iCIMS’s customer relationship is primarily of a personal assistance nature. The company assists customers in the following ways:

  • Support Services – iCIMS operates a helpdesk team that provides technical support 24 hours a day, five days a week.
  • Consulting Services – iCIMS assigns every client a personal account manager. The managers use regularly-scheduled account review calls to highlight upcoming product releases and industry trends. Despite this orientation, there is a self-service component. The company’s website offers training resources such as quick guides, e-Learning tutorials, live webinar training, and videos on every product, topic, and user type. The site also provides a glossary, a buyer’s guide for applicant tracking systems, and answers to frequently asked questions. Lastly, there is a community element in the form of a forum.

Key Activities

iCIMS’s business model entails designing and developing its talent acquisition software for customers.

Key Partners

iCIMS partners with software and service providers, promoting their offerings to its customers through its iCIMS Marketplace. Specific service providers include consulting and advertising firms.

The company also utilizes a network of partners to obtain leads on potential clients; these include consulting firms, HR technology providers, systems integrators, and regional services firms. It pays these firms a fee based on a percentage of subscription revenue. They also receive the following benefits:

  • Access to the company’s APIs, developer sites, and sandbox environments for easy integrations
  • The opportunity to participate in revenue-sharing activities
  • Access to the iCIMS Advisor Network ### Key Resources

iCIMS’s main resources are the engineers who design and develop its software for customers, the sales staff that promote it, and the customer service personnel who provide support.

Cost Structure

iCIMS has a value-driven cost structure, aiming to provide a premium proposition through significant personal service and frequent product/service enhancements. Its biggest cost driver is likely cost of services, a variable expense. Other major drivers are in the areas of customer support/operations and sales/marketing, both fixed costs.

Revenue Streams

iCIMS has three revenue streams:

  • Implementation Revenues – Revenues it generates from a one-time software implementation fee it charges to customers
  • Subscription Revenues – Revenues it generates from a monthly fee it charges customers for access to its SaaS software; pricing is determined by number of iCIMS products used, amount of integration with the company’s partners, and number of software users (recruiters and administrators)
Written on October 25, 2017