But how can companies tap into this valuable talent pool? By broadening the reach of referrals, companies can access a diverse range of high-quality candidates, save on recruitment costs, and gain a competitive edge in sourcing top talent.

Why External Networks Matter in Recruiting

Expanding beyond employee networks offers several key advantages:

Access to a Broader Talent Pool: Employee networks are powerful, but they’re also limited. External networks open up a much larger and more diverse pool of potential candidates, which can be especially valuable for specialized or hard-to-fill roles.

Increased Diversity: By engaging people from different backgrounds and industries, companies can improve diversity and inclusion in hiring. External referrals are more likely to bring in individuals with unique perspectives and skill sets.

Enhanced Employer Brand: When a company’s network extends outward to partners and customers, its brand gains visibility and credibility. Individuals from external networks who refer candidates essentially serve as brand advocates, enhancing the company’s reputation as an employer of choice.

Higher Quality Referrals: People are more likely to recommend individuals they genuinely believe would be a good fit for the company, even when they aren’t direct employees. These external referrals often bring a high level of quality and suitability for the role.

Building an External Network Referral Program

Setting up a successful external referral program requires a few strategic steps:

Identify Key External Networks: Companies should map out potential external networks, which may include vendors, clients, former employees, and industry partners. Each of these groups can offer valuable referrals, especially if they understand the company’s hiring needs.

Develop Flexible Incentives: External participants often respond well to creative incentives, such as charitable donations or shared rewards between referrers and candidates.

Simplify the Process for External Referrals: Unlike employees, external referrers may not be familiar with the company’s internal systems. A referral program should offer a straightforward process with easy-to-access links and minimal steps to complete the referral.

Communicate Regularly with Referrers: Keep external networks engaged by sharing updates about open positions and success stories. A periodic newsletter or update email can keep the company top of mind for external referrers.

How Vouch Simplifies External Network Engagement

Vouch’s referral platform is designed to accommodate and encourage referrals from both internal and external networks, giving companies a powerful tool to expand their reach:

• Simple, Shareable Referral Links: Vouch provides users with customizable referral links, making it easy for external networks to refer candidates without needing access to the company’s systems.
• Flexible Rewards: Vouch’s platform enables companies to set different reward structures for different roles or audiences, which is particularly useful for incentivizing clients, partners, headhunters and other external participants.
• Engagement Tools: Vouch offers tools to keep external networks engaged, including notifications and updates on the referral process, automatic nudging to help activate the referred candidate, helping maintain a positive relationship and encouraging future referrals.
• GDPR Compliance: Managing data privacy across external networks can be complex. Vouch’s platform ensures GDPR compliance, reducing risk for companies engaging a wide variety of referrers.

Go beyond

Expanding referral programs to include external networks is a powerful strategy for sourcing quality candidates and increasing brand visibility. With tools like Vouch, companies can easily extend their reach, streamline the referral process, and offer tailored incentives to encourage participation from a broad range of referrers.

If your company is ready to scale its referral program beyond internal networks, Vouch’s platform can help you build an effective external referral system that increases hiring success and strengthens your employer brand. By engaging partners, clients, alumni, and more, you can tap into a vast network of talent that’s already connected to your company.