home iresearch - 2015 china online recruitment report7 7 status quo of china online recruitment...

2015 China Online Recruitment Report (Brief Edition)

www.iresearchchina.com

2 2

Development Environment of China Online

Recruitment Industry

Status Quo of China Online Recruitment Industry

Analysis of China Online Recruitment Users

1

2

3

Typical Online Recruitment Models in China 4

Trends of China Online Recruitment Industry 5

3 3



Development of the Internet Lays a Foundation for Online Recruitment

Source: CNNIC. The data from 2015 to 2018 is estimated with iResearch’s model.

According to CNNIC data, China Internet users totaled 650 million in 2014, accounting for 47.9% of China’s total population.

iResearch forecasts that the penetration rate will exceed 52% in 2018. In the future, the expansion of Internet users will be mainly

driven by increase of mobile Internet users and Internet users in lower-tier cities. The continuous expansion of Internet users is the

basis for development of online recruitment.

513 564

618 649

675 700 720

730

38.3% 42.1% 45.8% 47.9% 49.1% 50.7% 51.8% 52.3%

0

200

400

600

800

1,000

1,200

2011 2012 2013 2014 2015e 2016e 2017e 2018e

Number of China Internet Users 2011 - 2018

Number of Internet users (mn) % Penetration rate

4 4



Mobile Internet Serves as New Growth Engine of the Industry

Source: CNNIC. The data from 2015 to 2018 is estimated with iResearch’s model.

CNNIC data reveals that there were 560 million mobile Internet users in 2014, equaling to 85.9% of the total Internet users.

iResearch forecasts that this proportion will surpass 90% by 2018. The boom of mobile Internet will be a good support for the

business expansion of online recruitment and development of mobile recruitment, which will be both opportunity and challenge

for core players.

356

420

500 557

604 630 650

664

69.3% 74.5% 81.0% 85.9% 89.5% 90.0% 90.3% 91.0%

0

200

400

600

800

1,000

1,200

2011 2012 2013 2014 2015e 2016e 2017e 2018e

Number of China Mobile Internet Users 2011-2018

Number of mobile Internet user (mn) % Proportion in all Internet users

5 5



Substantial Increase of Internet Penetration in Midwest

CNNIC data shows that the top3 provinces/municipalities by penetration of Internet users were Beijing, Shanghai and Guangdong

in 2014. Fujian, Zhejiang and Tianjin also had more than 60% penetration of Internet users. Zhejiang, Shanxi, Shandong, Inner

Mongolia, Hubei and Jilin all witnessed some rise in their rankings.

Top20 Provinces/Municipalities by Penetration of Internet Users in 2014

Ranking City Internet

Users (mn)

Penetration

(%) Ranking City

Internet

Users (mn)

Penetration

(%)

1 Beijing 15.93 75.3% 11 Qinghai 2.89 50.0%

2 Shanghai 17.16 71.1% 12 Hebei 36.03 49.1%

3 Guangdong 69.92 66.0% 13 Shandong 46.34 47.6%

4 Fujian 24.71 65.5% 14 Hainan 4.21 47.0%

5 Zhejiang 34.58 62.9% 15 Shanxi 17.45 46.4%

6 Tianjin 9.04 61.4% 16 Inner

Mongolia 12.93 45.7%

7 Liaoning 25.80 58.8% 17 Chongqing 10.93 45.7%

8 Jiangsu 42.74 53.8% 18 Hubei 2.83 45.3%

9 Shanxi 18.38 50.6% 19 Jilin 24.91 45.2%

10 Xinjiang 11.39 50.3% 20 Ningxia 11.63 45.1%

6 6





1

2

3



7 7


Steady Increase of Employers Recruiting Online

Source: SAIC, financial results published by listed enterprises, interviews with experts, iResearch statistical forecast model and estimates.

In 2014, 2.52 million employers once recruited via the Internet, increasing by 28.2%.

According to iResearch, with the steady progress of China national economy, employers also have increasing demand for online

recruitment. Chinese enterprises, especially SMEs and microbusinesses, have strong demand for talents, but there is great difficulty

in match of talents supply and demand. Nevertheless, the rapid development of the Internet facilitates online recruitment to provide

more and better services.

0.81 1.05

1.34

1.62

1.97

2.52

2.94

3.40

3.88

4.38

35.0% 29.6% 27.6% 20.9% 21.6% 28.2% 16.3% 15.8% 14.0% 12.9%

0

1

2

3

4

5

2009 2010 2011 2012 2013 2014 2015e 2016e 2017e 2018e

Number of Employers Recruiting Online 2009-2018

Employers recruiting online (mn) % Growth

8 8


Over 115 Million Online Job Hunters in 2014 at Decelerated Growth

Source: SAIC, financial results published by listed enterprises, interviews with experts, iResearch statistical forecast model and estimates.

In 2014, the number of online job hunters hit 115.25 million, rising by 10.9%. Such rise was driven by the further popularization of

the Internet. However, due to the already large numbers of job hunters, the growth was decelerated, but the number is still projected

to exceed 160 million in 2018.

65.0

78.0

87.0 94.2

103.9

115.3 126.8

138.6

150.6

161.8

30.0% 20.0%

11.5% 8.3% 10.3% 10.9% 10.0% 9.3% 8.7% 7.4%

0

40

80

120

160

200

2009 2010 2011 2012 2013 2014 2015e 2016e 2017e 2018e

Number of China Online Job Hunters 2009 - 2018

Online job hunters (mn) % Growth

9 9


Mostly Well-educated Job Hunters

Note: Well-educated job hunters refer to those with college or above degree, while poorly-educated job hunters are those holding senior high school (technical secondary school) or

below diploma.

Source: 1. iUserTracker. Home Office Edition, May 2015. The data is based on the long-term measurement of online behavior of 400 thousand household and office (excluding

public Internet cafes) panelists; 2. iResearch’s data, interviews with experts, iResearch statistical forecast model and estimates.

iUserTracker data shows that among online job hunters, well-educated people made up 85.7% in 2014. In terms of tendency, the

proportion of well-educated people declined from 89.7% in 2009 to 85.7% in 2014, while poorly-educated group was gradually

expanding their share. With penetration of the Internet into lower-tier cities and rural market as well as the development of online life

services, the share of poorly-educated group in online job hunters will see further enlargement in the future.

89.7% 90.1% 87.5% 85.4% 85.8% 85.7%

10.3% 9.9% 12.5% 14.6% 14.2% 14.3%

0%

20%

40%

60%

80%

100%

2009 2010 2011 2012 2013 2014

Educational Structure of China Online Job Hunters 2009 - 2014

% Well-educated % Poorly-educated

10 10


140 Million MAU of PC Recruitment Websites

Source: iUserTracker. Home Office Edition, May 2015. The data is based on the long-term measurement of online behavior of 400 thousand household and office (excluding public

Internet cafes) panelists.

According to iUserTracker data, China recruitment websites attained smooth increase of MAU in 2014. Regarding QoQ growth, it

experienced substantial fluctuation in January and February because of the relatively less MAU during Spring Festival. As for YoY

growth, it had eye-catching performance, above 20%, in the second half of 2014. The overall growth tendency is optimistic.

101.6

131.6

149.9 140.5 140.7

146.6 148.9

153.6

149.5 147.6 145.3 148.6

-8.7%

29.5%

14.0%

-6.3% 0.1%

4.2% 1.5% 3.2% -2.7% -1.3% -1.5% 2.2%

-7.0% 30.3%

13.0%

19.3% 13.4% 17.6% 21.5%

37.7% 33.9% 32.6% 32.9% 33.6%

0

50

100

150

200

250

300

Jan-14 Feb-14 Mar-14 Apr-14 May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14

MAU of China Recruitment Websites in 2014

MAU (mn) % QoQ growth % YoY growth

11 11


Job Hunting Season After Spring Festival



iUserTracker data reveals that the average monthly viewing duration of recruitment websites was 37.2 million hours in 2014 and the

QoQ growth peaked in February at 137.7%. The maximum monthly viewing duration appeared in March which was 48.1 million

hours. Since the YoY growth and QoQ growth of this indicator didn’t show substantial variation in other months, it’s a job hunting

season after the Spring Festival.

19.2

45.7 48.1

35.0 34.1

35.9 37.4 36.4 37.9

41.9 39.0

35.4

-34.4%

137.7%

5.2%

-27.2% -2.6% 5.2% 4.2% -2.8% 4.3%

10.5% -7.0% -9.2%

-12.5%

84.0% 14.0% -0.4% -0.1% 9.5% 6.6%

17.4% 25.8% 7.5% 18.9% 20.8%

0

20

40

60

80


Monthly Viewing Duration of Recruitment Websites Jan. - Dec. 2014

Monthly viewing duration (mn hours) % QoQ growth % YoY growth

12 12


Rebound of Advertising Spending in Online Recruitment Market

Note: Only the advertising condition of enterprises which are monitored by iAdTracker are showed above.

Source: iAdTracker. May 2015. The data is based on the daily measurement of brand graphical ads on over 200 mainstream online media in China, excluding text link ads and

some targeted ads. Spending data is estimated.

According to iAdTracker data, the advertising spending in China online recruitment market was always more than 180 million Yuan

from 2008 to 2011 and even hit 265 million Yuan in 2011. Nevertheless, it suddenly dropped 66.7% to 88 million Yuan in 2012 and

then further declined 80.6% to 17 million Yuan in 2013. In 2014, it climbed up to 32 million Yuan again with growth rate of 86.0%.

190.3

215.9

185.8

265.2

88.3

17.2 31.9

87.2% 13.4% -13.9%

42.7%

-66.7% -80.6%

86.0%

0

100

200

300

400

2008 2009 2010 2011 2012 2013 2014

Advertising Spending in China Online Recruitment Market 2008-2014

Advertisement spending (mn Yuan) % Growth

13 13





1

2

3



14 14


Higher Proportion of Well-educated Job Hunters on 51job.com and

Zhaopin.com

Note: Well-educated job hunters refer to those with college or above degree, while poorly-educated job hunters are those holding senior high school (technical secondary school) or

below diploma.

Source: 1. iUserTracker. Home Office Edition, May 2015. The data is based on the long-term measurement of online behavior of 400 thousand household and office (excluding

public Internet cafes) panelists; 2. iResearch’s data, interviews with experts, iResearch statistical forecast model and estimates.

iUserTracker data shows that among online job hunters, well-educated people made up 85.7% in 2014. In terms of tendency, the

proportion of well-educated people declined from 89.7% in 2009 to 85.7% in 2014. On 51job.com and Zhaopin.com, well-educated

hob hunters both accounted for 86.2%, higher than the average level of the industry. As for Chinahr.com, 85.4% of the job hunters

were well-educated, lower than the average proportion.

Well-educated

85.7%

Poorly-educated

14.3%

Education Background of China Online Job Hunters in 2014

86.2% 86.2% 85.4%

13.8% 13.8% 14.6%

0%

20%

40%

60%

80%

100%

51job Zhaopin Chinahr

Education Status of Job Hunters on China Major Recruitment Websites

% Well-educated % Poorly-educated

15 15





1

2

3



16 16

Typical Online Recruitment Models in China

Five Typical Models

There are five typical online recruitment models in China, namely comprehensive online recruitment, mobile recruitment, SNS

recruitment, vertical online recruitment and recruitment on classified information site.

1. Comprehensive online recruitment: This model has been developing for many years and the representative enterprises, 51job

and Zhaopin, are already leaders of online recruitment market with over 60% of the market share.

2. Mobile recruitment: As a new online recruitment model corresponding to the trend of mobile Internet, the main players include

comprehensive recruitment websites such as 51job and Zhaopin and social networking recruitment websites such as Linkedin.

3. SNS recruitment: It’s a recruitment model based on social circle and professional contacts and the representatives include Dajie

and Linkedin.

4. Vertical online recruitment: It provides recruitment service for a certain industry, group or region and the main players are Lagou,

Liepin and job168.

5. Recruitment on classified information site: The representative websites are 58 and Ganji. The recruitment information on these

websites mainly targets blue-collar workers and recruitment is just a part of their business.

Comprehensive

Online Recruitment

Mobile

Recruitment SNS Recruitment

Vertical Online

Recruitment

Recruitment on

Classified

Information Site

17 17


Comprehensive Online Recruitment — 51job

Source: The data is based on the financial results published by listed enterprises, interviews with experts, iResearch statistical forecast model and estimates.

As the first Chinese online recruitment enterprise going public in the US, 51job (NYSE: JOBS) is still the No.1 in China online

recruitment market. Its core business includes headhunting, talent assessment, HR outsourcing and so on. In Q1 2015, it acquired

two companies, Yingjiesheng and Invest in People. The former focuses on job hunting of college graduates and now it is a wholly-

owned subsidiary of 51job. The latter specializes in talent assessment. This action reflects 51job’s strategic positioning of

comprehensive HR services.

The financial results of 51job indicates that online recruitment contributed 60.4% of its revenues in Q4 2014, and other HR services

and advertising revenue of publications contributed 39.4% and 0.3% respectively. The declining contribution of publication

advertising revenue and increasing contribution of other HR services both imply 51job’s future focus on comprehensive HR services.

65.2% 66.6% 66.2% 61.2% 69.0% 68.2% 66.6%

60.4%

28.3% 30.6% 31.6% 37.5%

29.1% 31.3% 33.0% 39.4%

6.5% 2.7% 2.2% 1.2% 1.9% 0.5% 0.4% 0.3%

0%

20%

40%

60%

80%

100%

2013Q1 2013Q2 2013Q3 2013Q4 2014Q1 2014Q2 2014Q3 2014Q4

Revenue Structure of 51job Q1 2013 – Q4 2014

网络招聘营收其他人力资源相关营收出版物广告营收

Q1-13 Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 Q4-14

Online recruitment Other HR services Publication advertising

18 18


Comprehensive Online Recruitment — Zhaopin

Note: The “others” is not split in Zhaopin’s Q4 2014 financial results, so it includes campus recruitment, career assessment and other HR services. The data in Q1 2014 is the

average value of the data in Q4 2013 and Q2 2014, since it is not mentioned in any financial results.

Source: The data is based on the financial results published by listed enterprises, interviews with experts, iResearch statistical forecast model and estimates.

Being the second Chinese online recruitment enterprise going public in the US, Zhaopin (NYSE: ZPIN) was listed on NYSE on

June 12, 2014.

Its financial results shows that in its revenues of Q4 2014, online recruitment revenue made up 77.2% and revenue of other services

accounted for 22.8%. The rapid increase of other service revenue was driven by its continuous development of new business,

launch of products targeting different groups such as top talents, overseas talents, college students, etc., as well as its effort in

campus recruitment, career assessment and so on.

82.3% 84.8% 84.9%

74.9% 80.0%

85.1% 86.1% 77.2%

9.5% 6.5% 5.4%

14.6% 10.2%

5.9% 5.0% 22.8%

4.3% 4.0% 4.4% 5.3% 5.2% 5.1% 4.7% 3.9% 4.7% 5.4% 5.3% 4.6% 3.9% 4.2%

0%

20%

40%

60%

80%

100%

Q1-13 Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 Q4-14

Revenue Structure of Zhaopin Q1 2013 - Q4 2014

Online recruitment Campus recruitment Career assessment Other HR services Others

19 19


MAU of Core Recruitment Apps

Source: mUserTracker, May 2015. The data is based on long-term measurement of user behavior of 100 thousand mobile Internet device panelists.

According to mUserTracker data, 51job’s app far outperformed that of Zhaopin in MAU in 2014 which even peaked in February and

July. The MAU of Zhaopin’s app was stabilized at 4.5 million or so from April to October and then dropped substantially since

November.

2.93

6.50 6.19

5.91

5.44

6.31

6.67 6.46

6.15

5.75

4.62 4.37

2.09

2.88

3.64

4.61 4.54 4.81 4.72 4.70

4.44 4.56

3.95

3.20

0

2

4

6

8


MAU of Core Recruitment Apps Jan. - Dec. 2014

51job (mn) Zhaopin (mn)

20 20


Monthly Startups of Core Recruitment Apps

Source: mUserTracker, May 2015. The data is based on long-term measurement of user behavior of 100 thousand mobile Internet device panelists.

mUserTracker data reveals that with average 40.60 million monthly startups in 2014 and two peaks in February and July, 51job’s

app had much better performance than Zhaopin’s app in terms of this indicator. With average 27.17 million monthly startups in

2014, Zhaopin’s app had less than 34 million monthly startups for the whole year and it peaked in June.

24.4

47.2 45.3

43.6 41.5

47.2 49.1

46.3

42.8

39.0

30.8 30.1

10.9

21.4

24.3

31.1 31.5 33.5 32.7 32.7

30.8 30.3

25.6

21.2

0

10

20

30

40

50

60


Monthly Startups of Core Recruitment Apps Jan. - Dec. 2014

51job (mn) Zhaopin (mn)

21 21


SNS Recruitment — Dajie

Established in 2008, Dajie is a leader in China SNS recruitment. Currently, it is reforming traditional recruitment industry with

Internet thinking and tries to transform traditional recruitment information platform into recruitment platform which connects online

employers and job hunters with symmetric information, precise matching and direct communication. Some traditional recruitment

services such as release of recruitment information and searching for resumes are already provided by it free of charge and its

revenues mainly come from value-added services including reverse invitation, recruitment via contacts, promotion of employer’

brand, talent pool and WeChat recruitment.

Employer Job

Hunter

Information Platform

Communication

Platform

Publish recruitment information

and browse resumes

View recruitment

information

Job hunter is interested in

the job posted by employer

Employer is interested in the viewer

Interaction Platform

Display employer’s brand

Reverse invitation: HR sends job information and interview invitation to job hunter directly

Decide solution to display

employer’s brand

Fre

e S

erv

ice

P

aid

Se

rvic

e Publish recruitment

information

Online communication

with HR

Online communication

with job hunter

Prize for post forwarding

Red packet for

recommendation

22 22


DAU of Major Social Networking Recruitment Websites

Note: User base refers to MAU in iUserTracker.



iUserTracker data shows that dajie.com was far ahead of other similar websites in DAU in 2014 with two peaks in March and

October. The maximum value appeared in October which was 839,000.

Unit: 1,000 0

100

200

300

400

500

600

700

800

900


Dajie 491 662 747 564 541 542 552 543 699 839 750 783

Tianji 76 76 93 74 124 120 138 160 145 158 145 273

Renhe 83 106 106 104 92 84 80 83 83 77 78 66

Ushi 44 57 47 51 37 22 59 55 37 35 34 99

DAU of Major Social Networking Recruitment Websites Jan. - Dec. 2014

23 23


Monthly Visits of Major Social Networking Recruitment Websites

Note: User base refers to MAU in iUserTracker.



According to iUserTracker data, dajie.com held absolute superiority among social networking recruitment websites in terms of

monthly visits in 2014. October saw 65.57 million visits which was the most in the year, while the minimum value appeared in

January which was 30.29 million.

Unit: mn 0

10

20

30

40

50

60

70


Dajie 30.29 39.12 51.83 33.23 36.19 35.77 36.18 34.44 55.15 65.57 53.30 45.99

Tianji 2.68 2.61 3.53 3.11 4.49 4.74 5.47 6.59 5.89 6.87 6.26 11.21

Renhe 2.82 3.29 3.81 3.48 3.53 3.11 3.02 2.69 2.65 2.62 2.95 2.15

Ushi 0.95 1.19 1.20 1.19 0.91 0.27 0.90 1.04 0.67 0.56 0.56 0.83

Monthly Visits of Major Social Networking Recruitment Websites Jan. - Dec. 2014

24 24


Recruitment on Classified Information Site — 58

Founded in 2005, 58 was listed on NYSE on October 31, 2013. On April 17, 2015, it merged with Ganji, another major classified

information website in China. Later on May 8, it acquired Chinahr whose former parent company then exited Chinese market.

The business model of 58 is suitable for recruitment of grass root or middle level staff. It mainly serves SMEs and revenues largely

come from the membership fee and advertising fee paid by enterprises. Additionally, through services for well-known enterprises

and job agency business, it tries to be more attractive to mid-level talents.

Employer

需求发布信息评级

58

Recruitment

Information

Mobile Job Hunting

Recruitment Business of 58

Recruitment of Well-

known Enterprise

Send Resume

Recruitment

of Well-known

Enterprise

Job Hunter

Mobile Job

Hunting

Pu

blis

h R

ecru

itme

nt

Info

rma

tion

Entry of CV

Traditional

Model

Classified

Information Model

Membership Fee, Advertising Fee

25 25





1

2

3



26 26

Trends of China Online Recruitment Industry

Three Trends of Online Recruitment

Mobile Recruitment Multi-Service Vertical Recruitment

Traditional online recruitment

companies focus on recruiting online.

In the future, the companies, which

can provide multi-service including

talent evaluation with integration of

online and offline business, online

recruitment, HR outsourcing,

education and training, will enjoy

better development. Core players

such as 51job and Zhaopin have

changed their development direction

to multi-service.

Nowadays vertical recruitment of IT

elites, sales talents, senior elites and

professional talents is drawing more

and more attention. Vertical online

recruitment websites like lagou.com

and liepin.com are booming. And

recruitment services targeting

subdivided groups will have a great

growth in the future.

Online recruitment enterprises make

great efforts in tapping into mobile

recruitment market along with the fast

development of mobile Internet. For

instance, 51job provided a recruitment

app as far back as 2011. Then,

companies with other typical models,

especially Dajie with SNS recruitment

model, followed to develop mobile

business in order to occupy a share in

this field. However, the number of job

hunters who have shifted from PC to

mobile is still small, indicating great

potential for development of mobile

recruitment market.

27 27

Concept & Definition

Concept Definition

Recruitment Service

It refers to the services provided by recruitment service operators to help employers

and job hunters to accomplish recruitment and job hunting. It has five forms, namely

online recruitment, newspaper and magazine recruitment, headhunting service, HR

outsourcing and job fair.

Online Recruitment It means that employers and job hunters accomplish recruitment and job hunting with

the Internet or related technology.

Online Recruitment Service

It refers to the online platforms and related technologies provided by recruitment

websites to help employers and job hunters to accomplish recruitment and job hunting.

It includes the services for employers and job hunters, such as posting recruitment

information, downloading resume, generating resume, searching for resume, etc.

Recruitment Website

In its narrow sense, recruitment website refers to recruitment information release

platforms and related HR service system with the Internet as the media, while in its

broad sense, it refers to the companies which have recruitment website and online

recruitment contributes a large proportion of their revenues. This two definitions are

both used in this report.

28 28

Legal Notice

The report is produced by iResearch Co., Ltd. All texts, figures and tables in this report are under the copyright protection of

relative laws and regulations on intellectual property rights in the Peoples’ Republic of China. No organization or individual is

allowed to use the information in this report for any business purpose without the written consent from iResearch. Some texts and

data in this report are collected from public information and their copyrights are held by the original authors. No organization or

individual is allowed to use the information in this report for any business purpose without written consent from original authors

and iResearch.

Data related to operators’ revenues and market forecasts are mainly obtained through interviews related to the industry, marketing

survey, secondary sources and other research methods, some of which have not been directly confirmed by the related operators.

Some data published in this report is based on sampling method and is therefore influenced by sample structure. Due to the

limitation of research method, sample size and scope of data collection, part of the data may not precisely reflect real market

situation. This report is for reference only and iResearch is not liable for the accuracy of the data in this report.

Introduction to iResearch’s Services：

iResearch Consulting Group ：http://www.iresearch.com.cn

Introduction to iResearch’s Products：

iResearch customer solutions: http://www.iresearch.com.cn/solution

iResearch continuous data research products: http://www.iresearch.com.cn/product

iResearch customized consulting services: http://www.iresearch.com.cn/consulting

iResearch views and reports: http://www.iresearch.com.cn/report

iResearch Institute training services: http://www.iresearch.com.cn/institute

iResearch media conference services: http://www.iresearch.com.cn/meeting

iResearch Information Websites：

iResearch.cn: http://www.iresearch.cn

iResearchAd: http://www.iresearchad.com

iWebChoice: http://www.iwebchoice.com

Contact Information:

Beijing Office: 010-51283899

Shanghai Office: 021-51082699

Guangzhou Office: 020-38010229

home iresearch - 2015 china online recruitment report7 7 status quo of china online recruitment...

Documents