INSUBCONTINENT EXCLUSIVE:
MeetFrank, aka a ‘secret& recruitment app that uses machine learning plus a chatbot wrapper to take the strain out of passive job hunting
and talent-to-vacancy matching, has closed a€1 million (~$1.1M)seed funding round to fuel market expansion in Europe.
Hummingbird VC,
Karma VC, and Change Ventures are the investors.
The Estonian startup was only founded last September but says it has ~125,000 active users
in its first markets: Estonia, Finland, Sweden, Latvia, Lithuania, plus its most recent market addition, Germany, an expansion this seed has
financed.
Around 2,000 companies are using the app to try to attract talent
In Germany employers on board with MeetFrank include Daimler, Eon, Delivery Hero, SumUp, Blinkist, High Mobility and MyTaxi.
&The average
company profile we have at the moment is a start-up/scale-up company that develops their product in-house,& says co-founder Kaarel Holm.
&At
the moment we are mainly focused on technology related companies — so positions you can find from average start-up or a scale-up,& he
&Around 50% of the position are engineering and other 50% is marketing, sales, customer support, legal, data science, product/project
management etc.&
He names TransferWise, Taxify, Testlio, Smartly and High-Mobility as other early customers.
Here how MeetFrank works on the
talent side: The person downloads the app and goes through a relatively quick onboarding chat with ‘Frank& (the emoji-loving chatbot)
where they are asked to specify their skills and experience — choosing from pre-set lists, rather than needing to type — plus to state
their current job title and salary.
So while MeetFrank target is passive job seekers, these people do still need to actively download the
app and input some data.
Hence the chatbot having a strong emoji + GIF game to convince talent that a little upfront effort will go a long
way…
The bot also asks what would convince them to switch jobs — offering options to choose from such as a higher salary, more
flexible or remote working, relocation, a startup culture and so on.
The anonymous aspect comes in because there no requirement for users to
provide their real name or any other identifying personal information in order to get matches with potential positions.
Talent is therefore
assessed on its merits, at least at this stage of the job hunt.
And while people are asked up front to specify their current salary, which
you might think puts them at a potential disadvantage during any pay negotiations, Holm says the aim of MeetFrank platform is also to
encourage greater openness from employers and steer away from traditional pay negotiation situations.
&We use salary as one datapoint for
matching and we try to make sure that offers we make to the user are match their preferences
In lot of cases the salary is the main deal breaker and we would like to present the information as early as possible,& he explains
&Companies on the other side of the marketplace disclose their salary for the users as well — in that case we can avoid the negotiating
disadvantage.&
&The policy of MeetFrank platform is that companies have to be extremely open about the position they are trying to fill —
this also includes the salary information,& he adds.
Employers are not at all anonymous on the platform
On the contrary, they have to write detailed job advertisements — including levels of pay for advertised roles.
And a pay range will be
disclosed to applicants that the app deems potentially suitable — i.e
after its matching process — by displaying a percentage of how much more they could earn above their current salary.
So employers need to
be comfortable showing their hand to people who may just be curious what out there.
For employers, MeetFrank takes over the ad placement
process — using its machine learning to algorithmically match potential candidates to positions
So its proposition is automatic pre-selection across &thousands& of potential job applicants.
And also the possibility of reaching talent
which might otherwise not realize that company is hiring
Or think about working for a certain brand.
The app is mainly focused on a &passive talent pool& — aka¤tly or recently employed
talent that is open for offers&, as Holm puts it
So it certainly cherrypicking easier types of jobs to match and fill
&Entry level jobs is bit out of reach for us at the moment but we will launch a beta project with couple of universities in the autumn this
year,& he adds when we ask if the app is open to matching people who don&t currently have a job or are looking for a first job.
Holm says
MeetFrank is currently showing 50% MRR growth
It already out of thepre-revenue phase — so is charging employers to advertise (the service remains free for the talent side).
The main
monetization model is a daily subscription, with employers beingcharged on a pay-as-you-go basis
Holm says the price per day for employers is €9, and MeetFrank lets them cancel at any time — with no minimum time commitment required
to sign up.
&We believe that the new-aged classifieds will only monetize on that kind of on-demand model and should only pay when they find
This also lowers the barrier of entry to most of the start-ups and allows them to vet the market and get visibility with low budgets,& he
