What Is Cloud-Based Recruitment Software?

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Updated September 22, 2022

What Is Cloud Computing?

Before we dive into cloud-based recruitment software, let’s discuss cloud computing that makes it possible. A cloud in the sky is made up of tiny raindrops caught up in turbulent winds. These raindrops obscure our vision to form a cloud. The internet works similarly. The ‘droplets’ are called packets, and they appear to travel in chaotic fashion, swirling alongside billions of other packets in an electromagnetic wind.

Here’s where the analogy breaks down. You never know where a raindrop will land, but packets have assigned destinations. They rarely take the shortest route, but that doesn’t matter when they travel at the speed of light. Cloud computing uses resources more efficiently.

Instead of storing all of your data on your computer all of the time, cloud computing stores the data in a data center. When you want a specific thing – say, a document or a video – your computer retrieves it from the cloud. When you’re done using the resource, your computer doesn’t have to store it anymore and is free to use that memory on other things. For example, if you have a Google account, you might use Google Photos. Those pictures aren’t stored on your computer; Google stores them, and you can access them whenever and wherever you have internet access.

How Does Cloud Computing Relate to Software?

Cloud computing enabled a new industry called Software as a Service (SaaS). Essentially, SaaS providers offer their software over the internet. Instead of buying a CD or downloading software, users typically purchase a subscription. The software is accessed through the internet, so it doesn’t take up space on the computer and it can be used anywhere and on any device. SaaS is the next generation of software, and the explosive growth of the industry shows no signs of slowing.

The total spend on SaaS in 2021 was $152 billion. And it’s easy to see the appeal: SaaS companies help individuals and businesses meet various goals and only require a monthly subscription and an internet connection Mark Spera, “The Ultimate List of SaaS Statistics,” Growth Marketing Pro

What Is Cloud-Based Recruitment Software?

Cloud recruitment software like ApplicantStack is a tool used by hiring teams to streamline the recruitment process.

From posting jobs to reviewing resumes and interviewing candidates, recruiting software streamlines and automates the entire candidate search and hiring process. By eliminating paperwork and offering powerful resume and candidate search functions to hiring managers and the HR team, the software makes it easier for organizations to find and hire employees.

An applicant tracking system (ATS) is a specific type of recruiting software. ATS are available as on-premise systems as well as cloud-based software. Any ATS –regardless of the delivery model – saves time and money which reduces cost per hire. But a cloud-based applicant tracking system provides major advantages over on-premise recruiting software.

The Cost of Cloud-Based vs On-Premise Recruiting Software

On-premise (also called Legacy) software is not cheap. Businesses pay a large upfront fee and must purchase and maintain expensive hardware to house it. Enterprise recruitment software can cost tens of thousands of dollars. Furthermore, there can be additional costs based on the number of administrators and users.

Cloud-based recruiting software typically has minimal upfront costs. This is especially important for small businesses with tight budgets.

Cloud-based Recruiting Software is Quick to Deploy

Deployment of a premise-based hiring software often takes months to fully get going. If the business has multiple locations, the must install the software at each site. Each recruitment team must be trained and often in group settings. All of this takes planning and manpower. In addition, training usually interrupts other workflows, so there is an opportunity cost in lost productivity as well.

SaaS recruiting software can be set up in days or weeks as opposed to the months it takes to implement on-premise systems. Implementation involves migrating data, creating user accounts and customizing features and tools. Many cloud-based systems have user-guided training, chatbots and knowledge bases. These resources are often more effective in delivering training.

Technical Support

Technical support is typically included in the monthly premium for SaaS recruiting software. SaaS providers depend on the continued service of their software, instead of just a one-time purchase. In comparison, Legacy software requires in-house IT teams to maintain and support the system. IT is also responsible for software updates and data security, which we discuss in the next section.


With on-premise hiring software, don’t confuse control for security. Many organization assume that if they have a local server which houses all of their HR recruitment software data that it is more secure than if a cloud-based vendor houses it. That may or may not be an accurate assumption. Many SMBs simply do not allocate the resources to bring their local servers up to the same security that cloud-based software provides.


The best recruiting software integrates with each recruiting tool and outsourced service you use. Onboarding software, background check services, and job board applications are some examples. In the past few years, the HR tech integration marketplace has exploded. Hiring tools integrate with larger HR systems and project management software.

Bring Your Own Device (BYOD)

BYOD stands for Bring Your Own Device, and it’s becoming the new standard for business. Employees on the hiring team don’t want to have multiple computers and phones for work and personal use. Cloud recruiting software is available anywhere you have internet, so employees can access business software from their personal computers – without downloading it.

Mobile Access

Along the same lines, the flexibility to work from home is important to many employees, including HR teams and talent acquisition professionals. Working from home can actually boost productivity significantly, but if your recruiting software is tied to your cubicle, it’s an impossibility. Cloud-based recruitment software gives your recruiting team necessary data access from home, vacation, or anywhere else.

Pay as You Go

Most cloud-based recruiting software comes as a subscription, so you pay as you go. If your talent team no longer need its, you stop paying for it. It’s easy to use from the start, and updates happen automatically. Your vendor updates the software as needed. Moreover, many providers add features in response to user requests.

Candidate Experience

The benefits of cloud-based staffing software are not limited to talent teams. SaaS makes the hiring process easier for applicants as well. Candidates can see your job postings on multiple job boards, apply from their phone and communicate with the hiring manager via text.

Job seekers expect a hassle-free mobile recruiting process. If you are using outdated on-premise software, it doesn’t reflect well on your employer brand. When it comes to attracting the right candidate, recruitment marketing is as important as your customer marketing.

Most staffing agencies have moved from Legacy to cloud-based applicant tracking software and related recruiting tools as well. Consider that staffing firms’ ability to compete is highly dependent on the latest hiring technology.

Final Thoughts

There are many benefits to using cloud-based recruitment software. Get started today with a free trial of ApplicantStack, and see how easy it is.

Simplify HR management today.

Simplify HR management today.

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