Technology: Salary analysis

Level Average range Median Average bonus
Managing director £95,000-£150,000 £122,000 *
Director £66,500-£93,500 £80,000
Associate director £55,000-£68,500 £61,500
Account director £41,000-£52,500 £51,000
Account manager £30,000-£39,500 £38,000
Account executive £20,000-£28,500 £25,000
*Insufficient data

The view from here

The economic downturn had a profound effect on the technology sector in 2008, which in turn impacted heavily on PR recruitment. The year started with a buoyant, candidate-led market, but by the second half the market had declined and flattened, with supply of candidates hugely outstripping demand as we moved into 2009.

At the start of 2008, a strong account manager could expect to receive several offers and counter-offers as consultancies fought over this elusive level. In addition, in-house demand was highest at mid level, by a significant margin, perhaps suggesting that some companies were reducing consultancy spend and bolstering in-house teams.

However by Q4 2008, both candidates and roles had dropped off significantly, as clients made cutbacks and candidates put their job searches on hold, pleased to have a job at all. For clients, the knock-on effect of this was that when they needed to recruit there was still a shortage of good quality talent. The tide had turned for the in-house teams as well, as cuts were made and work was outsourced to 'non-headcount' freelancers as a cost saving measure.

At the junior level one of the most common reasons for changing jobs was a desire to move from b2b technology to consumer technology roles, a difficult transition as many consultancies continue to favour candidates with pure consumer experience. Another common reason to move was to continue career progression. Smaller independent consultancies which are commonly perceived to offer greater freedom and autonomy for junior candidates remained very popular.

At more senior levels, account director and above, candidates were predominantly wishing to move in-house to continue to enhance their career progression.

Candidates expressed a desire to focus more on 'doing PR' rather than spend too much of their time on consultancy management. However, after the start of Q3 2008, the motive had changed to worries over job security or redundancy. Demand from clients remained highest in the b2b area of the technology sector. The challenge for clients continued to be retaining the interest of candidates at junior to mid levels. This eased a little towards the end of the year as candidates from b2b backgrounds remained in roles closer to their skill-set, rather than attempting to make the transition into other sectors, where competition had increased.

There was a significant reduction in the demand for financial technology candidates, in line with the collapse of the financial markets. In contrast, there was a significant rise in the number of corporate technology roles, both in terms of companies looking to raise their profile to investors and as a crisis response. The requirement from consumer technology brands for corporate communications skills showed a significant increase.

The most notable trend in 2008 was the huge increase, over 200%, in the demand for digital expertise. At a time when budgets handed to digital specialist practices and varied 'digital arms' of consultancies has increased, digital profiling and seeding are now moving further into the mainstream work of PR. The demand for these skills, from both consultancies and in-house clients, has therefore increased. In addition, since the end of 2008, candidates with backgrounds in new business are in greatest demand.

Overall salaries stagnated in 2008, an end to the gradual increase we had seen over the last two to three years. In 2009, the market has remained very volatile. However, despite the difficulties, optimism is high and when the market recovers, there will be a boom in technology and the sector will be well placed to recover faster than other disciplines.

The views from the market

How are you going about positioning yourself for when we come through this recession?
“To remain strong throughout and be ready for expansion as soon as the market picks up and be shown to have been reliable even during a recession.”
“Keeping strong client-facing teams and resisting the pressure of redundancies.”
“It won't affect us - our positioning will be the same (our plan is for continued growth and to push ourselves forward as a full service agency that really 'gets' digital.”
“By ensuring we retain the best staff in order to deliver unforgettable results to our clients, by not splashing the cash excessively and by offering appropriate services/ support etc to clients.”
What do you think the knock on effects of this market will be for recruiting staff when the market starts to grow again?
“Cautious. There will be hiring needs but some people may have been out of the game for too long. Quality will be the key issue.”
“There's likely to be a lot of disgruntled people, stressed from over-servicing who will move as soon as the market picks up. Again, this will promote competition between consultancies for people who had jobs during the recession and kept contacts up-todate. But we're unlikely to see the salary inflation we've witnessed over the previous couple of years.”
“There will be a lack of junior to mid-range staffing skills as a result of the no-hiring and redundancy programmes which will be evident in 2009.”
“Market will flood with consultants meaning competition for top jobs.”
What kind of skills do you think the new economy will require?
“Ethical work, high standards of reporting and flexibility.”
“Digital; value for money consulting; project based fees instead of retainers.”
“Knowledge is the key alongside an ability to apply the knowledge with intelligence to deliver communications that have an ROI in a media fragmented and fast paced consumer environment.”
“Clients will be far more focused on evaluation and results - agencies that don't consider updating their evaluation methodology will struggle.”
What kind of shape do you think the industry will be in when growth returns?
“Technology is likely to start growing ahead of other sectors. It's possible it may help lead the recovery.”
“Leaner, sharper, fitter. In the good times, anyone can make money. The recession will shake out the underperformers, both in terms of staff and consultancies going under.”
“Bruised; lean; hungry for growth; lower cost base; better client value.”
“Digital agencies will have expanded, with traditional agencies downsized (having trimmed off the fat).”
“More integrated with other disciplines.”
What is the best thing a recruitment consultancy/consultant has done for your company?
“Helped us close some key deals when hiring, taken the time to fully understand us and our business.”
“Not wasted our time with irrelevant candidates.”
“In general terms, finding best personality fit for company and right skills for role.”
“Delivered an amazing candidate at the right time for the right fee.”