// Glossary · Measurement, Data and Channels
Cost per Hire
Cost per hire is total internal and external hiring cost divided by the number of hires: a core metric for the return on employer brand investment.
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External costs: ads, agency and platform fees, sponsored content, events. Internal costs: recruiter time, interviewer time, onboarding. Formula: (internal + external cost) ÷ number of hires. The breakdown by source (referral, career page, job board, agency) gives the most valuable view.
Link to the employer brand
A strong employer brand lowers external cost by increasing organic applications and referrals. That is why the drop in source-based cost per hire is the easiest justification for an employer brand budget.
How it is tracked
- Cost and quality comparison by source
- Quarterly trend; before/after campaigns
- Read together with first-year attrition (cheap but short-lived hires)
// Measurement, Data and Channels