Headhunter vs. Recruitment Agency: Which One Do You Actually Need?

The terms "headhunter" and "recruitment agency" are used interchangeably, but they represent fundamentally different services, business models, and value propositions. Choosing the wrong one can cost you months and tens of thousands of dollars. Headhunters (Executive Search Firms): - Work on retained or exclusive engagements - Proactively identify and approach passive candidates who are NOT looking for jobs - Conduct deep candidate assessment (behavioral interviews, reference checks, psychometric testing) - Typically focus on senior/executive-level positions ($150K+ salary) - Charge 25-35% of first-year compensation as a flat fee - Average 2-3 active mandates per consultant - Timeline: 4-8 weeks for a shortlist Recruitment Agencies: - Work on contingency (only paid if they make a placement) - Primarily source from active candidate pools (job boards, applications, LinkedIn) - Focus on speed and volume rather than deep assessment - Handle roles across all levels, from junior to senior - Charge 15-25% of first-year compensation on success - Average 15-30 active mandates per consultant - Timeline: 1-4 weeks for initial candidates Neither model is inherently better. The right choice depends on the role level, urgency, and how important this hire is to your business.

Use a Headhunter when: - The role is VP level or above - The best candidates are currently employed and not actively looking - Confidentiality is important (you're replacing a current executive) - The role requires deep domain expertise that's hard to evaluate - Getting the hire wrong would cost more than $500K in impact - You need a true strategic partner, not just a candidate pipeline Use a Recruitment Agency when: - The role is junior to mid-level - Candidates are likely actively seeking new opportunities - Speed is the primary concern and you need candidates fast - The role requirements are well-defined and standardized - You're hiring for multiple similar positions simultaneously - Budget is a primary constraint Use HireHunter (Marketplace) when: - You want the depth of headhunter service at competitive prices - You want to compare multiple specialized headhunters before committing - You need industry-specific expertise but don't know which firm is best - You value transparency in headhunter credentials and track records - You want the benefits of executive search with the efficiency of a platform