New Zealand Marketing magazine

Talent magnet

Originally published in NZ Marketing November-December 2009, page 28

DOL turns migration into recruitment

Before the recession New Zealand had one of the lowest unemployment rates and faced a critical skills shortage. We were also losing more Kiwis overseas than the numbers gained in return.

To address the problem, Immigration New Zealand, a division of the Department of Labour (DoL), embarked on a novel, Internet-based marketing programme seeking skilled migrants. The trial was so successful it became the primary marketing programme for Immigration NZ and one of the most celebrated immigration campaigns in international PR, online and advertising awards.

Background

To date, New Zealand has advertised in traditional markets (the UK and Europe) using traditional media, with diminishing returns.

Recognising the need for a different approach, Immigration NZ began trialling Magnet, an Internet-based programme. Its aim was to attract potential skilled migrants to a website via advertising, encourage them to complete a registration form and follow up with direct and targeted communications.

Job shortages are monitored and if deemed critical by the DoL are placed on the Intermediate or Long Term Skill Shortage List (ISSL or LTSSL). For example, ICT shortages in 2008 were at their highest level in New Zealand since 2000 and all ICT job titles are now on the LTSSL. New jobs are regularly added to New Zealand’s total job stock (122,480 added year on year from 2004 to 2007) in categories critical to the country’s economic sustainability.

There is global competition for these same skills and talent, with Canada, Australia, the US and Western Europe all offering far bigger pay packets than New Zealand.

The severity of the ICT shortages prompted ministerial intervention, and a $300,000 budget was set to trial Magnet’s innovative approach.

Magnet’s priorities were as follows:

• determine the cost and viability of finding skilled migrants through online media
• win each registration for $1,000 or less (the average recruitment cost of a middle to senior manager exceeds $20,000)
• focus on the skills needed, particularly in the key sectors of ICT, health, education and engineering
• focus on the US and the UK
• develop email communications with selected prospects.

As Magnet was a government-mandated initiative, it was imperative that results be measured and analysed—a first for an Immigration NZ marketing campaign.

What’s new

The test programme began in October 2007 and results of the first phase were delivered in November 2008.

Tactics were simple: test, refine, test, refine.

“New Zealand wants you” was the key communication and the strategy was to create cost-effective advertising to drive interested prospects to a website, convert online traffic into completed registrations of interest, and develop a registration form that captured enough demographic data to make communications meaningful and relevant.

Phase two included facilitating introductions between prospective candidates and employers, and providing communications to encourage a move to New Zealand. Quarterly newsletters customised by interest, age, nationality and experience were sent to all registrants (80 versions are now produced) and quarterly industry-specific emails were sent to hot prospects.

After testing print versus online media, online became the primary means of attracting registrations. Immigration NZ tested search engine optimisation, banner ads, buttons, pay-per-click advertising and sub-site ads. More than 13,000 search terms and 300 pay-per-click ads were tested over a three-month period, and compared with the number of completed registration forms.

Immigration NZ also created an online advertising technique, ‘triage’, which directed the online searcher to an appropriate landing page. A dietician searching ‘dietician jobs abroad’ would be delivered to a page about dieticians in New Zealand. This is now the main and lowest cost-per-registrant form of advertising.

By March 2009, Magnet had delivered 49,371 registrants at an average cost of $21 each (compared with the $1,000 goal) and cost has dropped to $13 per registrant for specific campaigns.

Did Magnet find the right people? Ninety-eight percent are aged between 18 and 55 years; 30 percent are from the US and 44 percent from the UK; 60 percent work in occupations on the ISSLhor the LTSSL; and 50 percent are from the five key sectors targeted. The educational backgrounds are impressive, with 63 percent having a four-year degree or higher.

Over 50,000 emails were sent to introduce relevant candidates to interested employers. The readership rate was 50 percent, and 25 percent of these submitted résumés or applied for jobs. Thousands of migrants are now in job consultations with New Zealand employers.

Magnet’s new approach to sourcing the talent New Zealand needs is now considered the primary source of immigration marketing activity worldwide.

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