Enriching the concept of employer branding: investigating its impact in the service sector

Abstract

Purpose

The purpose of this paper is to extend the research on employer branding (EB) by identifying elements of EB according to the perceptions of employees working in the service sector and investigating the impact of EB on employer of choice and organizational performance.

Design/methodology/approach

Around544 respondents helped to test the model. The research considers development, growth opportunities, equality and justice as new elements of EB, along with organizational culture, salary, incentives and work–life balance.

Findings

EB significantly influences employer of choice through organizational commitment and employer brand advocacy. Organizational performance is influenced by EB through job satisfaction and employee performance. Nevertheless, no significant relation was observed between EB and employer of choice through person–organization fit. The EB’s impact on employee performance through employee retention was not significant.

Originality/value

The study suggests reflecting on the importance of the role played by new elements of EB and on the existence of a direct relationship between employee performance and EB. Despite the widespread belief that EB primarily serves as a recruitment tactic to attract candidates, this paper shows that the positive impacts on company performance stem more from outcomes related to current employees than from prospective applicants.

Citation

Jaffari, A.A., Foroudi, P., Palazzo, M. and Akbari, M. (2024), "Enriching the concept of employer branding: investigating its impact in the service sector", Employee Relations, Vol. 46 No. 7, pp. 1446-1482. https://doi.org/10.1108/ER-02-2024-0076