The retail industry is the largest private-sector employer in the U.S., supporting one in four U.S. jobs, according to the National Retail Federation, and 29% of retail employees are part-time workers.
Six in 10 Americans have worked a retail job, and about one third, 32%, of all first jobs for U.S. residents have been in retail — with the average age for that first job in retail taking place at the age of 16.
Big competition in retail hiring
But while there is clearly a huge pool of potential hires, hiring for a retail role, whether it's for a store associate, merchandiser or store manager, is not easy given the fact that every retail employee is now viewed as a brand ambassador.
Despite the fact that retail hiring is likely to be on the decline, at a rate of 2%, between now and 2032, today's retailers and brands are all competing to hire employees that will help promote the brand and the retailer's stature among the ever-demanding consumer.
The retail employee, after all, much more than a cashier at this point — they play a critical role in customer service and meeting customer expectations. There are 563,000 expected openings for retail sales workers each year, according to the U.S. Bureau of Labor Statistics. As RetailCustomerExperience.com has reported happy store associates are key to outstanding customer experience.
As in many other employment roles however, there are no formal education requirements for retail sales workers. Most receive on-the-job training, which usually lasts a few days to a few months.
Tips for making the best retail hire
That's why hiring the best candidate at the start plays a critical role, according to Sibyl McCarley, senior vice president of people success, at Hire Vue, a leader in human potential intelligence that provides hiring and recruitment services.
HireVue has a deep expertise in science, AI and data, which helps companies understand candidates' unique skills and potential to match them to jobs where they can excel. The firm serves over 1,150 customers worldwide and over 60% of the Fortune 100.
RetailCustomerExperience reached out to McCarley in an email interview to get her insight to help retailers and brands when it comes to hiring a high-quality retail employee.
Q. Can you share three tips to hiring retail workers?
McCarley: The first is to match skills, not titles and widen your recruiting funnel with smart, chat-based job matching. Conversational AI matches candidates to all the jobs they fit, not just the ones they search for. And when seasonal job titles vary greatly in name, it's important to have technology in place that recognizes the skills a candidate has that can be advantageous for major roles.
It may sound simple, but if your candidates are searching for "server" positions, and your company calls them "waiter" or "waitress," you could be missing out on qualified candidates.
Chatbots match candidates based on skills, so they can access all the roles available. The burden of responsibility is no longer on the candidates to ensure they're searching for specific titles correctly — enhancing your candidate experience in the process.
The second tip is to start texting. GenZ candidates, born between 1997-2012, are a digitally-native generation. They grew up with internet, smartphones and social media.
And when they prefer texting, it's important that you meet them there — because playing phone and email tag is not only outdated but inefficient.
- Invites and reminders: Send a text invitation to remind candidates to complete video interviews or assessments. This also includes the ability to reschedule or cancel video interviews.
- Text-to-apply: Advertise job openings with QR codes or text codes
- Direct messaging (text recruiting): 1:1 or mass text campaigns sent from within a dashboard (not your personal phone). Easily engage your past employees about new opportunities or touch base on last-minute details with new hires.
Texting allows you to engage or re-engage in seconds, so you and your candidates can move quickly.
The third tip is to offer skill assessments. Making quality hires is one thing but ensuring they stick with you is another.
Offering a skill assessment to candidates can give a glimpse into what their day-to-day would look like so they know if it's something they want to keep pursuing.
The right science-backed assessment can help teams understand if candidates are the right fit — helping them discover the potential in each of them.
For example, Walmart has incorporated a custom assessment into hiring for retail associates. It gives potential employees an idea of what they can expect in the role.
As a result, Walmart has seen:
- 400,000 new hires in four months.
- 100% of candidates would recommend applying.
- 95% completion rate.