Podcast Episode 16 - Retained vs Contingency: Why the Best Recruiters Are Making the Switch

Rather than treating retained search as an exclusive or high-end specialism, the discussion challenges the myths around it and makes the case that for the right recruiter, retained is simply a better, more professional way of working.

The episode covers how to position it with clients, why contingency has a limited shelf life in an AI-driven market, and what recruiters should honestly ask themselves before making the move.

Key Takeaways
Retained is a mindset, not a pricing model.
The biggest barrier to retained recruitment is not the fee structure - it is how recruiters position themselves. Those who default to contingency often do so out of habit or assumption, not because retained would not work for their clients or market.

Contingency has a limited shelf life.
Recruiters who operate purely as fast-moving, CV-flicking salespeople are increasingly vulnerable. As AI tools allow clients to handle more of the transactional recruitment themselves, the value of a recruiter who cannot offer genuine insight or process depth will diminish.

Clients want guaranteed results - retained gives both sides certainty.
Clients want to know a role will be filled. Recruiters need guaranteed revenue to invest proper time and effort. Retained aligns those interests. An upfront payment - whatever the structure - signals a serious professional relationship on both sides.

Retained is not just exec search and it is not always third, third, third.
It can be a talent mapping project, a monthly retainer, a multi-hire campaign or a straightforward single assignment with an upfront component. The structure is flexible - what matters is that both parties are committed.

Build a reputation in your niche before pitching retained.
Having a voice in your market - through content, insight and genuine expertise - makes it significantly easier to win retained work. If clients already see you as an authority, the conversation about how you work becomes much more natural.

Key Moments
"I don't think most recruiters have a pricing problem with retained. I think they have a positioning problem."

"There is a difference between being a good biller and being a good recruiter. It took me a long time to understand that about myself."

"Ask yourself honestly - am I good at recruitment, or am I good at sales through the lens of recruitment?"

About the Recruitment Founders Podcast
The Recruitment Founders Podcast is the go-to resource for anyone building or growing a recruitment business. Hosted by Ed Nell, each episode brings together founders, operators and specialists to share the knowledge, lessons and real-world experience that actually move the needle.

From startup to scale, the podcast is part of the wider Recruitment Founders Club community - a network built on mentorship, collaboration and shared wins.

How to Get in Touch
To learn more or connect with the Recruitment Founders Club:
LinkedIn: Recruitment Founders Club
If you found this episode useful, subscribe on your favourite podcast platform and share it with a recruiter who is ready to level up.

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