How Much Does an Applicant Tracking System Cost in 2024

Are you struggling to manage your hiring process effectively? Wondering how much does an applicant tracking system cost? Investing in an applicant tracking system (ATS) can save you time, money, and effort during recruitment.

But understanding the cost can be tricky. Let’s explore the factors that affect ATS pricing, so you can find the best applicant tracking system that suits your budget.

What is an Applicant Tracking System (ATS)?

An ATS is a tool that helps you manage your hiring process. It organizes job applications, schedules interviews, and tracks applicants. It’s the recruiting system that makes hiring easier, and many businesses use it.

• Why Do You Need an ATS?
  • Helps you track job applicants effectively.
  • Reduces the time spent on manual screening.
  • Provides valuable analytics about your recruitment process.

The best ATS offers many helpful features like resume parsing, automated emails, and integrations with other tools.

Factors Affecting the Cost of an ATS

You’re probably wondering, "How much does an applicant tracking system cost?" The cost varies depending on several factors:

1. Company Size

• Small Businesses: You can get basic ATS solutions starting at around $100 per month.
• Mid-Sized Businesses: Costs are usually between $500 and $2,000 per month.
• Large Enterprises: Prices can go beyond $3,000 per month because of the need for more features and scalability.

2. Features and Functionality

The more features you want, the higher the cost will be. For example:

• Basic ATS features: Resume screening, job postings, and candidate tracking system.
• Advanced Features: Analytics, AI-powered recommendations, and integrations with your HR system.

3. Pricing Models of ATS

• Flat Fee (subscription): You pay a fixed amount per month, regardless of usage.
• Pay Per User: Cost increases with the number of users.
• Pay Per Job Posting: You pay based on the number of active job postings.

Typical Cost Ranges for ATS by Company Size

Here is a summary of cost ranges for different business sizes:

Best Applicant Tracking System In 2024 

To make your decision easier, here are some of the top ATS options available:

Greenhouse

• Cost: Starting at $6,000 per year.
• Features: User-friendly interface, customizable workflows, and candidate experience features.

JazzHR

• Cost: Starts at $39 per month.
• Features: Ideal for small to mid-sized businesses, offers resume parsing and posting to multiple job boards.

iCIMS

• Cost: Custom pricing, typically for larger enterprises.
• Features: Customizable recruitment technology system, integrations with major HR systems, scalability.

Top 5 Free Applicant Tracking Systems

Here are the top 5 completely free Applicant Tracking Systems (ATS) in 2024 that can help you manage the recruitment process without any costs involved. While they may lack some advanced features, they provide essential ATS capabilities, making them ideal for small businesses and startups.

1. SmartStart by SmartRecruiters

• Why It’s Free: SmartStart offers a completely free version for small businesses managing up to 10 active roles.
• Key Features:
  • Job postings to major job boards
  • Resume parsing and applicant tracking
  • Team collaboration features
• Ideal For: Small businesses with limited hiring needs.

2. Freshteam by Freshworks (Free Plan)

• Why It’s Free: Freshteam provides a free plan that includes basic ATS features for teams with up to 50 employees.
• Key Features:
  • Job postings and candidate sourcing
  • Resume parsing and applicant tracking
  • Integration with email for candidate communication
• Ideal For: Startups and small businesses that need basic applicant tracking without a budget.

3. Recooty (Free Version)

• Why It’s Free: Recooty offers a free plan suitable for small-scale hiring with core ATS features.
• Key Features:
  • Basic job posting and resume management
  • Interview scheduling
  • Simple, user-friendly interface
• Ideal For: Very small teams that need a simple and easy-to-use ATS.

4. Zoho Recruit (Free Edition)

• Why It’s Free: Zoho Recruit provides a free edition with essential ATS tools, perfect for freelancers or small hiring teams.
• Key Features:
  • Resume management and candidate tracking
  • Email integration
  • Basic reporting tools
• Ideal For: Freelancers and small businesses with limited hiring needs and no budget for recruitment tools.

5. JobScore (Free Plan)

• Why It’s Free: JobScore’s free plan is well-suited for small teams with modest hiring requirements, offering basic ATS functionalities.
• Key Features:
  • Job posting to multiple job boards
  • Resume parsing and tracking
  • Simple interview scheduling tools
• Ideal For: Startups that need a straightforward and efficient recruiting system.

Summary of Top 5 Completely Free ATS

Top 10 Most Affordable ATS in the world

1. Zoho Recruit

• Pricing: Starts at $25 per month.
• Why It’s Affordable: Zoho Recruit offers a comprehensive set of features for a very reasonable price, making it ideal for startups and small businesses.
• Features: Resume parsing, automated workflows, job postings, and integration with other Zoho products.

2. Breezy HR

• Pricing: Starts at $143 per month.
• Why It’s Affordable: Breezy HR offers a good mix of features at a low cost, especially for smaller teams.
• Features: Drag-and-drop pipelines, scheduling, and email templates.

3. Freshteam

• Pricing: Starts at $1 per employee per month.
• Why It’s Affordable: Flexible pricing that scales with company size makes Freshteam budget-friendly for small businesses.
• Features: Applicant tracking, interview scheduling, employee onboarding, and basic HR tools.

4. Recooty

• Pricing: Starts at $29 per month.
• Why It’s Affordable: One of the most straightforward and cost-effective options, especially for businesses that need a quick and easy way to manage hiring.
• Features: Job postings, candidate tracking, and interview management.

5. JobScore

• Pricing: Starts at $49 per month.
• Why It’s Affordable: JobScore offers a full-featured ATS with a low entry-level price.
• Features: Candidate tracking, collaborative hiring, and interview scheduling.

6. JazzHR

• Pricing: Starts at $39 per month.
• Why It’s Affordable: JazzHR provides plenty of features at an affordable price, making it a popular choice for SMBs.
• Features: Job postings, resume parsing, interview scheduling, and team collaboration.

7. RecruiterBox

• Pricing: Starts at $200 per month.
• Why It’s Affordable: Offers a good range of ATS features for a fair price, with a focus on easy user navigation.
• Features: Job posting, applicant tracking, and collaborative hiring tools.

8. SmartStart by SmartRecruiters

• Pricing: Free for up to 10 roles.
• Why It’s Affordable: The free plan makes SmartStart highly attractive for small teams that are just getting started.
• Features: Basic candidate tracking, resume management, and collaboration tools.

9. Workable

• Pricing: Starts at $129 per month.
• Why It’s Affordable: Workable provides good value for the price, especially with its all-in-one recruitment tools.
• Features: Job posting, applicant tracking, and integration with popular HR systems.

10. GoHire

• Pricing: Starts at $58 per month.
• Why It’s Affordable: Competitive pricing with a focus on easy job posting and candidate management.
• Features: Job board integration, team collaboration, and candidate tracking.

Summary of Top 10 Most Affordable ATS

Alternatives to Applicant Tracking Systems (ATS)

While Applicant Tracking Systems (ATS) are popular tools for streamlining the hiring process, they may not be suitable for every organization. Depending on your specific needs and resources, several alternatives can help you manage recruitment effectively. An ATS isn't your only option. There are several ATS alternatives if you’re looking for a different way to manage hiring:

1. Spreadsheet-Based Systems

Spreadsheets, such as Microsoft Excel or Google Sheets, are simple yet effective tools for tracking applicants. It is used my many as a tracking system.

• Pros:

  • Cost-Effective: Free or low-cost; most people are already familiar with spreadsheets.
  • Customizable: You can create your own fields and layouts to suit your specific recruitment process.
  • Easy to Use: User-friendly interface for those familiar with basic spreadsheet functions.

• Cons:

  • Time-Consuming: Manually inputting and updating data can be labor-intensive.
  • Prone to Errors: Data entry mistakes can lead to misinformation.
  • Limited Automation: Lacks the automation features that many ATS provide, such as automatic candidate tracking and notifications.

• Ideal For: Small businesses or teams just starting their recruitment process and needing a basic tracking system.

2. Customer Relationship Management (CRM) Software

Many CRM systems, like HubSpot or Salesforce, offer built-in recruitment features, allowing you to manage candidate relationships alongside customer interactions.

• Pros:

  • Integrated Platform: Combine recruitment with customer management for a holistic view of business relationships.
  • Automation: Streamline tasks with automation features, such as email notifications and reminders.
  • Data Management: Better organization of candidate data alongside customer data.

• Cons:

  • Complexity: May not be as specialized for recruitment, leading to a learning curve for users.
  • Cost: Some CRM systems can be expensive, especially for small businesses.

• Ideal For: Companies that want to integrate their recruiting efforts with broader customer relationship management.

3. Human Capital Management (HCM) Systems

HCM systems, like SAP SuccessFactors or Oracle HCM, offer comprehensive HR tools that include recruitment, onboarding, and performance management. It also has inbuilt recruitment technology system.

• Pros:

  • All-in-One Solution: Manage all HR functions, from hiring to employee management, in one platform.
  • Advanced Analytics: Access to sophisticated analytics for better decision-making.
  • Scalability: Suitable for growing organizations needing more advanced features.

• Cons:

  • Costly: Typically more expensive than standalone ATS or other recruitment tools.
  • Complexity: Can be overwhelming for smaller organizations with simpler needs.

• Ideal For: Larger organizations looking for a comprehensive HR solution.

4. Job Boards

Job boards like Indeed, Glassdoor, or LinkedIn allow you to reach a wide pool of candidates quickly.

• Pros:

  • Wide Reach: Access to a large audience of potential applicants.
  • Cost-Effective: Many job boards offer free posting options.
  • Brand Visibility: Enhance your company’s visibility to potential candidates.

• Cons:

  • Manual Management: Requires manual screening and tracking of applicants.
  • Limited Features: Typically lacks advanced tracking and automation features.

• Ideal For: Organizations looking to attract a large number of candidates quickly.

Learn more about best job boards here

5. Social Media Recruiting

Utilizing platforms like LinkedIn, Facebook, and Twitter can be an effective way to reach potential candidates.

• Pros:

  • Targeted Approach: Ability to target specific demographics and audiences based on job requirements.
  • Engagement: Foster a connection with potential candidates through direct interaction.
  • Cost-Effective: Free to use, with optional paid advertising to boost reach.

• Cons:

  • Time-Consuming: Requires consistent effort to maintain a strong online presence.
  • Lacks Structure: May not provide the organized structure of an ATS for tracking applications.

• Ideal For: Companies aiming to build their employer brand and connect with candidates in a less formal setting.

6. Recruitment Agencies

Engaging recruitment agencies can save you time and resources by outsourcing the hiring process.

• Pros:

  • Expertise: Access to industry expertise and market insights.
  • Time-Saving: Agencies handle candidate sourcing and screening.
  • Quality Candidates: Agencies often provide pre-vetted candidates.

• Cons:

  • Costly: Recruitment agencies can be expensive, with fees based on placements.
  • Limited Control: You may have less direct involvement in the selection process.

• Ideal For: Companies that prefer to outsource their recruitment process and focus on their core business activities.

While Applicant Tracking Systems offer a streamlined approach to recruitment, these alternatives can also be effective in managing the hiring process. Whether you choose to use spreadsheets, CRM software, job boards, or recruitment agencies, each alternative provides unique benefits and challenges that can align with your recruitment goals.

How to Choose the Right ATS Based on Cost

Selecting the right ATS is not just about the price but also how well it fits your needs. Here are some practical steps:

Identify Your Business Needs

• Small Business: Look for an ATS with basic features like resume storage, candidate tracking, and job postings.
• Mid-Sized to Large Enterprises: You need a scalable solution with integration options for your HR system and recruiting software.

Compare Features and Pricing

• Core Features: Resume parsing, job posting, and applicant tracking.
• Advanced Features: AI capabilities, onboarding, and integration with your human resources software.

Request Demos and Quotes

• It’s essential to compare costs across multiple vendors. Request demos to understand the user interface and assess how easy it is to use.

Total Cost of Ownership

• Don’t just focus on the monthly or yearly fee. Consider costs like onboarding, training, and customer support. These are important parts of the recruitment technology system cost.

Practical Tips for Managing ATS Costs

You want an ATS that provides value for money without breaking the bank. Here are some cost-saving strategies:

1. Start Small and Scale Up

If you’re unsure, start with a basic version of an ATS and add more features as your business grows.

2. Negotiate with Vendors

ATS vendors are often willing to negotiate. You can request discounts or negotiate for more features at the same price.

3. Make Use of Free Trials

Many ATS providers offer free trials or freemium plans. Use these trials to determine if it’s the best ATS for your business needs before committing.

Common Mistakes When Budgeting for an ATS

1. Ignoring Hidden Costs

Many ATS come with hidden fees such as setup, training, and integration costs. Always ask vendors about additional charges.

2. Choosing Based On Price

The cheapest ATS may not always be the best applicant tracking system for you. Make sure you choose an ATS that provides value for the price you pay.

3. Ignoring Scalability

Your business may grow, and so should your ATS. Choose a system that is scalable so it can adapt as your hiring needs change.

Additional Features that Affect Cost Of ATS

Different features add to the value and cost of an ATS. Here's a breakdown:

Final Thoughts

The cost of an applicant tracking system varies greatly, depending on factors like company size, features, and vendor pricing models. You now have a good understanding of how much does an applicant tracking system cost and what impacts the pricing. Don't forget to compare options, request demos, and choose what best meets your needs.

If you're ready to enhance your hiring process, contact us today! We offer expert consulting services to help you choose and implement the best ATS or explore suitable ATS alternatives for your business.