What are the most effective ways to evaluate the ROI of video interviewing tools?

1 Define your objectives and metrics

The first step to evaluate the ROI of video interviewing tools is to define your objectives and metrics. What are the goals and outcomes you want to achieve by using these tools? For example, you might want to reduce the time to hire, improve the quality of hire, increase the diversity of candidates, or enhance the employer brand. Then, you need to identify the metrics that will help you track and measure your progress towards these objectives. For example, you might use metrics such as the number of interviews conducted, the cost per hire, the hiring manager satisfaction, the candidate feedback, or the retention rate.

2 Collect and analyze data

The next step is to collect and analyze data from your video interviewing tools and compare them with your baseline or previous data. You can use various sources and methods to gather data, such as surveys, reports, analytics, or testimonials. You should also consider both quantitative and qualitative data to get a holistic view of the impact of video interviewing tools. For example, you might use quantitative data to show how much time and money you saved by using video interviewing tools, and qualitative data to show how they improved the candidate experience and the employer brand.

3 Calculate the ROI

The third step is to calculate the ROI of video interviewing tools by using a simple formula: ROI = (Benefit - Cost) / Cost. The benefit is the value or revenue generated by using video interviewing tools, and the cost is the expense or investment required to use them. You can estimate the benefit and cost by using your metrics and data. For example, you might calculate the benefit by multiplying the time saved by the average hourly rate of your recruiters, and the cost by adding the subscription fee of the video interviewing tool and the training costs. Then, you can divide the difference by the cost and multiply by 100 to get the percentage of ROI.

4 Communicate your results

The final step is to communicate your results and showcase the value of video interviewing tools to your stakeholders, such as your managers, clients, or candidates. You should use clear and compelling language, visuals, and stories to present your findings and recommendations. You should also highlight the benefits and challenges of video interviewing tools, and how they align with your organizational goals and values. For example, you might use a dashboard, a report, or a presentation to share your ROI calculation, metrics, data, and testimonials, and explain how video interviewing tools helped you achieve your objectives and improve your recruiting performance.

5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?