Monster sells Chinahr to reduce operating expenses

Absrtact: A few days ago, Chinahr to be sold a matter to confirm. It is reported that at the end of last year, the online U.S. recruitment giant Monster Company seeking to sell its subsidiary Chinahr News, a stone stirred the waves. Unconfirmed reports of January 24

Recently, Chinahr to "will be sold" the matter was confirmed. It is reported that at the end of last year, the online U.S. recruitment giant Monster Company seeking to sell its subsidiary Chinahr News, a stone stirred the waves. According to unconfirmed reports of January 24, Chinahr has been acquired by "my work network" and the acquisition amount is 30 million dollars. Industry insiders said that the traditional online recruitment profit model is single, homogeneous and vicious circle of development, and social network recruitment is affecting the traditional network recruitment prospects.

Event

Monster sells Chinahr to reduce operating expenses

Chinahr a written reply to the rumours that "the sale will be sold", saying that "even in the face of a long global recession and a slow recovery and thus a significant blow to hiring, Monster has taken many steps to improve his profitability." Seeking to sell Chinahr does not mean that Chinahr has been sold, which simply means monster is proactively seeking opportunities to drive Chinahr's better development. During this period, Chinahr's business will continue to advance. Chinahr will continue to provide outstanding talent through online platform and campus recruiting platform.

According to public information, Monster invested $50 million in 2005 to acquire a Chinahr 40% stake, and subsequently made additional investments until 2008, when Monster bought the remaining equity of the network with 174 million US dollars to complete its wholly-owned acquisition of the company. The total investment of Monster to Chinahr is 243 million USD.

January 24 this year, China Human Resources Salon CEO Wang revealed on his personal microblog, Chinahr has been "my work Network" acquisition, the acquisition amount of 30 million U.S. dollars, not previously rumored less than 10 million U.S. dollars. However, the news was not officially confirmed. Earlier, Monster released a 2012-year third-quarter earnings, data show that monster third quarter revenue still not up to market expectations, down 10.5% to 222 million U.S. dollars, compared to the third quarter of 2011, 31.8 million U.S. dollars in 2012 net loss of 194.2 million U.S. dollars. Third-quarter earnings included 233 million of dollars in losses from Chinahr, including $225 million trillion in Non-cash asset impairment. In earnings, Monster said it was seeking to sell its wholly owned subsidiary, Chinahr, to reduce operating expenses and to set the deadline for completion of the transaction at the end of the fiscal year.

Analysis

Traditional recruiting websites blindly imitate difficult deus

One is the world's largest network recruitment company, the other is a Chinese network of three industry giants, Monster and Chinahr this was originally very optimistic about the marriage, but ultimately to reap the fruit of the end. Of course, Chinahr is not unchanged. Just last July, it announced a platform upgrade, introducing the technology of parent company Monster and gradually introducing the Chinese version of related products. But in terms of feedback from all sides, the effect is not good.

Chinahr, a senior person in the online recruiting industry, said that the deterioration of the market has its own strategic and management factors, such as the introduction of foreign new products ignored when the acclimatized, there are traditional network recruitment is suffering from the impact of social recruitment.

"But the emergence of this phenomenon has given us a lot of inspiration." Although the domestic has a huge talent market and job-seeking team, but the recruitment site competition is extremely fierce. Many traditional recruiting websites in China need to review: The profit model is homogeneous, develops under the single profit model, is difficult to satisfy the changeable market environment user demand, has maintained the high input, the high growth, the low input, the low growth vicious circle development, is difficult to Deus, blindly imitates, does not seek the innovation, ignores the user experience and so on. "It is understood that the current traditional recruitment site's profit model is to recruit units to collect service fees, but also a part of the membership fees for resident members." and middle and high income people because of their professionalism and privacy, not the General Assembly of traditional recruitment sites, recruitment units to recruit high-end talent, but also through the search or network channels. It is reported that the traditional recruitment site access to almost no threshold, vicious competition, coupled with a growing number of small and medium-sized enterprises in such sites to publish recruitment information, when the economic downturn, the number of enterprises to recruit fewer, the site revenue corresponding also significantly reduced.

Last year graduated university undergraduate Xiaoxi told reporters that the network recruitment deficiencies mainly lies in a lot of relatively vague recruitment information can also be linked to the site, individual sites for some of the company's reputation and so did not do the assessment, as long as the other party to pay the information can be published, will also mislead some job seekers. It is reported that under the strong competition pressure, some recruitment sites want to attract more users, have to relax the supervision of the user release information, audit efforts, and even the release of information as a platform for advertising, to all kinds of "false information" provides an opportunity.

Social networking recruitment grows

Impact on traditional network recruitment

The growing recruitment of social networks is affecting the prospects of traditional online recruiting, according to the data from Eric Consulting. The successful listing of LinkedIn, a well-known American career social platform, has provided a direction for product innovation in the online recruiting industry, and has encouraged China's online recruiting industry to emerge with career social platforms such as job hunting nets. A domestic FMCG foreign enterprise HR manager Chen told reporters, the company operates micro-blog recruitment and LinkedIn Social recruitment, a new job vacancies, the team will update the recruitment needs. "Now many foreign companies in the country have their own liknedin, Twitter, Facebook and social networking posts are more authentic, and can reach job seekers quickly, on the contrary, the information on the traditional recruitment site is not known when it was issued, it may expire." "However, some professionals believe that the social recruitment model can not be developed in China is still an unknown," There are cultural differences, but also with the maturity level of the development of the professional market. In fact, because of the sample effect of Lindedin, there are many imitators in China, but for many years, none of them stand out.

However, in fact, more and more people favor or try social network recruitment. For the, run job fairs too tired, in the traditional recruitment website wide net, the effect is not obvious. So, micro-blog Job search, networking referrals and other online recruitment methods gradually fashionable. And, indeed, there are many graduates of the job is through micro-blog, social networking platform to find, alumni, fellow, brother and sister of the recommendation to become the killer of the job. Wu classmate of Guangzhou University told reporter, her junior summer internship work is obtained through micro-blog, "I see the recruitment revelation on Weibo, direct letters each other, send oneself introduce." Wu said that initial interaction on Weibo could help her get in touch with the company in the first place and make a preliminary assessment of whether she was fit for the job and increased the efficiency of the job search.