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APSCo have teamed up with Bullhorn to offer some additional insights to their 2025 GRID Industry Trends Report. This is for APSCo members to further explore key recruitment trends driving growth for 2025. The Industry Trends Report surveyed 1500+ recruitment agencies around the globe.
We couldn't begin delving into the data without acknowledging that 2024 was a tough year for recruiting and this rolls into 2025. The Bullhorn GRID stats show that 40% of agencies saw revenue growth – which is a decline from last year. But there was still growth in some areas – with a quarter of respondents stating they had growth of 10% or more despite these challenges.
The 2025 revenue outlook is ‘optimistic in spite of headwinds’ with 38% of respondents stating they expect their revenue to increase more than 10% this year.
We would, however, like to acknowledge that this survey was completed in late 2024 and does not include the recent economic volatility. There is a sentiment that we will, hopefully, not see a further decline in the staffing market and that we have not yet seen largescale impacts on the labour market as a result of recent macroeconomic events. There are still a lot of areas of opportunity even in the current climate, some that staffing is particularly well-positioned to take advantage of. The recruitment industry is known for its resilience and strength.
Lia Taniguchi, Senior Research Manager at Bullhorn, said:
The macroeconomic volatility of 2025 so far has delayed the economic recovery many in the recruitment industry had expected, with clients and candidates uncertain what the future holds,"
"But with the labor market largely stable and organisations looking for increased flexibility to respond to market changes, there remain significant pockets of opportunity for recruitment agencies to bring tremendous value."
This blog will now take a deep dive into the key findings from the report – you can access the slides where we provide a summary of the report here.
Prioritising candidate experience
In the evolving talent landscape, creating the best possible experience for candidates isn’t just a feel-good objective, it is directly tied to revenue growth.
As the recruitment industry adapts to shifting workforce expectations, tightening markets and digital transformation, one thing is clear – recruitment organisations that prioritise the talent journey and candidate experience are reaping the benefits.
GRID data also highlighted that our current talent pool needs to be supported in the current landscape we are in, where things can feel unstable. Many candidates are staying in roles longer due to not feeling 100% safe to move. It is therefore even more important for recruitment organisations to create an environment that offers trust.
Every stage of the recruitment journey matters – from nurturing candidate relationships to creating a seamless candidate experience. But don’t worry, AI done right is going to make it as pain-free as possible to achieve these objectives.
Driving revenue gains through AI & Automation
Recruitment firms are reporting real benefits from AI implementation, including faster response times and improved job matching. This trend spans organisations of all sizes, and the gains are expected to accelerate as general-purpose tools give way to recruitment-specific AI solutions. Some key data from the report shows:
- Agencies predict AI could save each recruiter 17 hours per week
- Agencies think AI searching agents will yield the biggest productivity gains (27%)
- Top-performing agencies were 50% more likely to be using AI for faster response times
What’s particularly interesting is how recruitment organisations are thinking about AI.
They're not just adopting off-the-shelf solutions — they want tools tailored to their own data. The goal is to let AI handle mundane, time-consuming daily tasks, so recruitment professionals can focus on what really matters — building relationships. The blend of automation and human touch, it seems, is where the future of recruitment lies. To give you an example, Bullhorn noted that recruiters, on average spend 14.6 hours per week searching for candidates, but that time can be significantly reduced with AI.
These powerful tools can free up time for business development, candidate engagement and strategic initiatives. Jason Heilman, SVP of Product Automation & AI at Bullhorn said:
"2025 is the year AI becomes mainstream for the staffing industry,"
"Our customers are using AI to handle sourcing, matching, screening, messaging and scheduling across their workflows and filling more jobs, faster. Recruiters are spending more time on building relationships with top candidates and working more jobs. Candidates are receiving feedback more quickly, hearing about more relevant jobs, and getting the opportunity to showcase their skills beyond their resume. It's a win-win-win."
Lia Taniguchi, Senior Research Manager at Bullhorn reinforces this:
"Upskilling around technology in general, and AI in particular, isn't limited to programmers and engineers. We are seeing more and more staffing leaders really digging into the potential of technology to understand their business, identify opportunities, direct investment, and support operations. This has become an essential part of any staffing leader's toolkit, especially in the current climate of economic uncertainty."
It is worthwhile noting that AI adoption should be phased – businesses should start small and scale up over time.
The report also highlights that data limitations are a barrier to AI success – 36% of agencies have cited that data issues are the biggest obstacle between them and widespread AI adoption. So, now might be the prime time to give your data a spring clean – and give yourself the highest chance of adopting AI successfully and unlocking its benefits.
Liam Ryan, Senior Product Marketing Manager at Bullhorn, reinforced the importance of the quality and accuracy of data to get AI implementation right. He also emphasised that 57% of businesses surveyed gained revenue if in advanced stages of digital transformation, due to a ‘new era of recruitment tech’.
Diversifying Business Lines
In light of the current market conditions, agencies are looking to add value through new solutions and shift to higher margin services. The data shows that project management and consulting top the list of new services that recruitment agencies are focusing on. It is key to remember that the most successful still stay focused on their areas of particular expertise.
How are they doing this?
The report emphasises that leading organisations are focusing on attracting and developing top-tier talent by investing in upskilling initiatives and leveraging executive search strategies. Additionally, they are exploring ways to serve as strategic advisors to their clients through consulting and board-level coaching.
Global Market Trends
Despite slower overall market growth, demand for highly skilled, specialised roles remains strong. In fact, temporary placements are outpacing permanent ones, signaling a shift towards flexible working. APSCo members, in particular, should expand flexible staffing options and consider developing regions like Latin America for expansion.
Meanwhile, healthcare continues to be a stable growth sector, unaffected by broader economic uncertainties. The increase in demand for RPO/MSP services and AI expertise present opportunities for growth and are gaining traction across the industry.
Summary: Priorities for 2025
Attracting new clients is still the main focus for recruitment organisations for 2025. The themes from the report highlight some winning strategies for APSCo members this year. We recommend:
- Focusing on automation for efficiency and revenue growth
- Prioritising talent engagement and retention
- Diversifying into high-value services
- Leveraging AI to optimise processes and enhance candidate experience
APSCo members can download the full slide deck report here to share with their board members.
We also have additional support available for members through our 25 Recruitment Strategies for 2025 offering exclusive insights and practical frameworks on how to navigate AI, economic shifts and boost your sales strategy.
