Business development

A Recruiter’s Guide to Winning Retained and Contingent Job Orders

How third-party recruiters win job orders: when to pitch retained versus contingent, how to handle fee objections, and how to turn a first call into a signed search.

You win job orders by showing a hiring manager that you understand their problem better than the other recruiters calling them, then proposing the search model that fits the role. Retained searches suit senior, confidential or hard-to-fill roles where the client wants a committed partner. Contingent searches suit roles where the client is comfortable with several sources competing. Either way, the order is won on the first real conversation, not on the fee.

What's the difference between retained and contingent search?

  • Retained search. The client pays part of the fee up front, usually in installments tied to milestones, and the recruiter works the search exclusively. It fits executive roles, confidential replacements and searches where the client needs a deep, documented process.
  • Contingent search. The recruiter is paid only when a candidate is hired, usually as a percentage of first-year base salary. Clients often work with several firms at once, so speed matters more than depth.
  • Engaged or container search. A middle ground: a smaller up-front fee commits the client and the recruiter to the search, with the balance due on placement.

How do you know which model to propose?

Ask questions that reveal how much the search really matters: how long the role has been open, what it's costing them, who else is working on it, and whether it's confidential. A role that's been open for months, sits close to the top of the org chart or replaces someone who doesn't know they're leaving is a retained or engaged search. A role with plenty of qualified people in the market and an internal team already sourcing is usually contingent.

How do you get past "we don't pay agency fees"?

Don't argue with the policy. Ask what it's costing them to leave the seat empty, and what they've already tried. Many companies say no to agencies in general and yes to a specific recruiter who brings a specific candidate or a clear plan. If you can describe two or three people you'd approach and why, you're no longer an agency. You're the person who can fix their problem.

What should you do on the first call?

  1. Understand the business reason for the hire. Growth, a departure, a new location or a failed prior hire each lead to a different search.
  2. Get specific about the person. Must-haves, nice-to-haves, compensation and the companies they'd love to hire from.
  3. Learn the process. Who interviews, who decides and how fast they can move.
  4. Propose the model and the plan. Explain how you'll run the search, how often you'll report back and when they'll see candidates.
  5. Agree on next steps before you hang up. Send the agreement the same day while the conversation is fresh.

How do you keep job orders coming?

Treat every hiring manager you talk to as a long-term client, whether or not there's a search today. Keep them on a list, log every conversation, and check in when you see a new hiring signal. In identifyd, prospects move from first contact through JO Lead to Client, and each signed search becomes a job order tied to the hiring company and hiring manager, with the fee type and amount recorded on it.

Frequently asked questions

Is retained or contingent search better for recruiters?

Neither is better across the board. Retained search gives you commitment and exclusivity on hard roles. Contingent search lets you work more searches at once. Most third-party recruiters do both and match the model to the role.

How are retained search fees usually paid?

Typically in installments tied to milestones, such as signing the agreement, presenting a shortlist and the candidate's start date. Terms vary by firm, so put them in writing.

Should I lower my fee to win a job order?

Rarely. Discounting signals that your work is a commodity. Offer a clearer plan, a faster shortlist or an engaged model before you cut the fee.

When should I send the agreement?

The same day as the intake call, while the need and the conversation are fresh.