Retained vs Contingent Search: Which One Fits Your Recruitment Needs?

In today’s competitive hiring landscape, companies are increasingly realizing the importance of partnering with the right recruitment company. Two of the most common methods used by professional headhunters are retained search and contingent search. While both aim to find the best candidates, their approaches and processes differ significantly. So, which one is best suited for your hiring needs?

What is a Retained Search?

A retained search is an exclusive recruitment approach where a recruitment company is specifically hired by a client to fill a particular role. Clients pay an upfront fee (usually in three stages: at the beginning, midpoint, and upon successful placement). In this model, the headhunter works closely to understand the company’s needs, culture, and vision to find candidates who are genuinely aligned.

This method is commonly used to recruit executive-level or strategic positions such as CEOs, directors, or senior managers. Because the responsibilities are high-level, the search process is in-depth—covering market research, talent mapping, and rigorous selection.

What is a Contingent Search?

Meanwhile, a contingent search is a method where headhunters only receive payment if they successfully place a candidate in the company. There are no upfront fees, so multiple outsourcing companies in Indonesia and recruitment agencies might work on the same role at the same time. This process tends to be faster and more efficient for mid-level or staff positions but may lack the thoroughness of a retained search.

This model is suitable for companies that need to fill roles quickly or have limited budgets. However, because there is no exclusive commitment, the selection quality may not be as comprehensive as in retained searches.

Retained vs Contingent: Which Should You Choose?

1. Type of Role:
If you’re hiring for a critical or executive position, retained search is the better option because of its focus on quality, confidentiality, and strategic approach.

2. Urgency:
For roles that need to be filled quickly, contingent search is ideal due to its speed and flexibility.

3. Budget and Risk:
Companies with tight budgets might prefer contingent search. However, for long-term results and high-quality candidates, investing in retained search is often more beneficial.

4. Level of Involvement:
Retained search allows headhunters to work closely with clients, from job description development to cultural fit assessments. Contingent search, on the other hand, tends to be more transactional.

Why Work with RecruitFirst Indonesia?

As one of the most trusted outsourcing companies in Indonesia, RecruitFirst Indonesia has extensive experience in handling recruitment through both retained and contingent search methods. We understand that every company has unique needs when it comes to finding the right talent.

With a professional headhunter team and a tailored approach, RecruitFirst Indonesia is ready to help you choose the best recruitment method—whether it’s a retained search for strategic executive hires or a contingent search to quickly meet daily staffing needs.

We also offer outsourcing services, allowing you to focus on growing your business while we manage your recruitment and HR administration processes.

Conclusion

Choosing between retained and contingent search shouldn’t be taken lightly. You need to consider the role type, urgency, budget, and the level of candidate quality you expect. Partnering with the right recruitment company, like RecruitFirst Indonesia, will ensure that your talent search is efficient and precisely targeted.

Whatever your recruitment needs are, we’re here to support you with strategic approaches and integrated solutions.

Contact us today for a consultation and discover the best recruitment solution for your business!