In an action that could have broad implications for the classifieds industry, Yahoo! HotJobs has added a “Pay Per Candidate” model that guarantees that recruiters aren’t paying for untouched “ghost” listings. Pay Per Candidate only charges recruiters when candidates view a listing and act on it.
The HotJobs model, similar to efforts launched by niche recruitment sites such as Indeed, allows recruiters to put a ceiling on the number of applications received. Recruiters can also screen candidate credentials so they aren’t paying for unqualified applicants.
HotJobs’ move suggests continued evolution up the search ladder, and the industry’s growing efficiency (and complexity). It is easy to see how Pay Per Candidate could similarly be applied across the board for car sites, real estate sites and other classified segments.
Theoretically, a next step for HotJobs would be to add more searchable elements, matching searches to candidates, and charging a premium for conversions, a la some of the installations of Vast.com’s service.
Interesting article about Pay for preformance sites from The Wall Street Journal, hotjobs was not mentioned.
http://online.wsj.com/article/SB10001424052970204475004574126832685403014.html
Good link from Dorothy — though it looks like the WSJ article predates the Yahoo! HotJobs product launch.