How Does Employer Branding Differ From Corporate Branding?

For many years, companies have invested heavily in building a solid corporate brand that resonates with their target audience. However, employer branding has gained traction more recently and for good reason. 

In today's highly competitive job market, it's not enough for a company to have a recognizable corporate brand. They must also attract and retain top talent by crafting a compelling employer brand. For example, in 2021, if an employer actively manages its employer brand, 75% of active job seekers are more likely to apply for a job at this employer.

This indicates that an employer branding strategy can benefit employers seeking and retaining talent. But what exactly is the difference between corporate and employer branding? How do they intersect, and how do they differ? 

In this blog, we'll dive into the nuances of each and explore why it's essential to understand how corporate branding vs employer branding differs to effectively communicate a company's values to both customers and potential employees.

What Is Corporate Branding?

Corporate branding is creating and managing a company's brand image and products or services. It involves defining the organization's core values, mission and vision and communicating them to the public through various marketing channels, such as advertising, social media and public relations.

A strong corporate brand can significantly impact an organization's success. It can differentiate the organization from its competitors, build customer loyalty and increase sales. On the other hand, a weak or negative corporate brand can damage the organization's reputation, reduce customer trust and decrease sales.

It's essential to note that employer branding is a sub-category or component of corporate branding, but it's distinctly different. While corporate branding focuses on creating a brand image for the company and its products or services, employer branding is all about creating a positive perception of the organization as an employer.

In other words, employer branding is a crucial component of corporate branding that focuses on attracting and retaining top talent by highlighting the organization's values, culture and work environment. This is how corporate and employer branding differs — understanding the difference is crucial for creating a successful employer brand strategy that aligns with the organization's overall branding efforts.

What Is Employer Branding?

Employer branding is a sub-category of corporate branding that focuses specifically on creating a positive image of an organization as an employer. It involves defining the organization's employee value proposition (EVP) and communicating that EVP to potential candidates and current employees.

An organization's employer brand includes various elements, including its company culture, employee benefits, work-life balance, diversity and inclusion efforts, career development opportunities and overall employee experience. Employer branding aims to attract and retain top talent by showcasing the organization as a great workplace.

A strong employer brand can significantly impact an organization's success. It can help attract and retain top talent, reduce employee turnover and increase employee engagement and productivity. On the other hand, a weak or negative employer brand can make it challenging to attract and retain top talent and harm the organization's overall reputation.

Corporate vs Employer Branding

While corporate and employer branding are both essential components of an organization's branding strategy, they serve different purposes and target different audiences. In this section, we'll explore the significant employer brand and corporate brand differences and how they impact an organization's overall branding efforts.

Target Audience

One of the most notable differences between a corporate and employer brand is the target audience. Corporate branding focuses on creating a brand image for the organization and its products or services to attract customers and investors. On the other hand, employer branding focuses on attracting and retaining top talent by creating a positive image of the organization as an employer.

Communication Channels

Another key difference between corporate and employer branding is the communication channels used to reach the target audience. Corporate branding typically relies on traditional marketing channels, such as advertising, public relations and social media, to communicate its message. In contrast, employer branding often leverages job boards, social media and recruitment marketing strategies to reach potential candidates.

Competition

Corporate branding and employer branding also differ in terms of competition. Corporate branding competes with other organizations in the same industry, while employer branding competes with other employers for top talent. As such, employer branding must focus on creating a positive perception of the organization as an employer, highlighting the unique aspects of the employee experience and company culture that set the organization apart from competitors.

Audience Experience and Engagement

The audience experience and engagement are also critical factors that distinguish corporate branding from employer branding. Corporate branding aims to create a positive experience and engagement with customers and investors, highlighting the organization's products or services' benefits and unique selling points. In contrast, employer branding focuses on creating a positive experience and engagement with current and potential employees, highlighting the organization's values, culture and employee experience.

Incentives

Regarding incentives, corporate branding often focuses on pricing incentives or promotional offers to attract customers. In contrast, employer branding offers incentives that attract and retain top talent, such as competitive salaries, career development opportunities and employee benefits.

Value Proposition

Corporate branding focuses on the organization's overall value proposition, highlighting the unique selling points of its products or services. In contrast, employer branding focuses on the employee value proposition, highlighting the unique aspects of the employee experience, company culture, career growth and development opportunities.

Goals

Finally, employer and corporate brand differences can also be seen in their respective goals. Corporate branding aims to build a positive image of the organization and its products or services, driving customer loyalty and increasing sales. On the other hand, employer branding seeks to create a positive image of the organization as an employer, attracting and retaining top talent, reducing employee turnover and increasing employee engagement and productivity.

In conclusion, while employer and corporate branding share some similarities, such as branding elements and the importance of a strong brand reputation, they serve different purposes and target different audiences. By understanding the employer and corporate brand differences, organizations can develop a comprehensive branding strategy that aligns with their overall business goals and helps them stand out in a competitive market.

Take Action and Improve Your Employer Brand With Ph.Creative

A strong strategy incorporates both employer and corporate brand that builds on one another. Need help building a strong employer brand? Ph.Creative is an industry-leading employer brand consulting company, working with organizations to foster a strong employer brand, boost employee engagement and attract and retain top talent. 

Contact us to learn more, or sign up for an upcoming employer branding sprint course to further your career and knowledge!