When considering an applicant tracking system (ATS) for your business, making an informed choice is essential to streamline your hiring process, improve team efficiency, and ultimately support company growth.
To discuss the most critical factors to consider when evaluating multiple ATS solutions, Spark Hire CEO Josh Tolan sat down with the founder of SelectSoftware Reviews, Phil Strazzulla, in a recent episode of The Speed to Hire Show.
Keep scrolling to explore the top 13 factors to consider when researching and comparing ATS platforms to meet your business needs.
Table of contents
Factors to Consider When Choosing an Applicant Tracking System
Key Takeaways
- Select Your ATS Based on Business Goals: Choose applicant tracking software that addresses your specific hiring needs and supports broader business objectives, like growth or employee retention.
- Prioritize User Experience and Integration: Select an intuitive ATS that integrates well with your existing HR technology for seamless employee adoption and improved hiring efficiency.
- Assess ATS Vendor Stability & Scalability: When evaluating ATS vendors, ensure the vendor you choose is reliable with a proven track record for success and a clear product roadmap that will allow your ATS to grow with your business.
The Primary ATS Factors and Features to Consider
Below are the top factors, features, and functionalities you want to consider when evaluating various ATS solutions and the vendors that offer them.
1. Identify Core Needs and Business Objectives
A crucial first step is to pinpoint the specific requirements that an applicant tracking system must meet to fulfill your business objectives. This requires understanding the hiring challenges your talent acquisition team and hiring managers face and aligning the ATS selection with your business goals.
As Strazzulla points out, “It’s really important to understand what matters to the business, what the strategy of the business is going forward, and therefore, how HR and TA support it?”
In other words, if your business strategy emphasizes rapid growth, an ATS with advanced sourcing tools might be a priority to attract top talent efficiently. Conversely, if employee retention is a bigger concern, then an ATS that supports robust onboarding features could be essential. Understanding your hiring needs upfront ensures you select recruitment software that delivers measurable value rather than just flashy features that won’t move the needle for your hiring team.
2. Consider Ease of Use and Specific Integrations
A common pain point on ATS software review sites is poor user experience, for the HR team, hiring managers, employees, and potential candidates. Selecting an intuitive system can significantly impact team adoption, hiring efficiency, and candidate engagement.
Strazzulla gives a few of the most common reasons organizations will switch their ATS system:
- Poor customer service
- Not intuitive
- Low adoption & ongoing usage rates
Evaluate whether the ATS integrates smoothly with your existing HR tech stack — such as HRIS systems, payroll platforms, performance management software, background check providers, and interview scheduling tools. Seamless integration capabilities prevent data silos and eliminate the need for manual data entry between separate systems, which reduces errors and saves your hiring team valuable time.
Perhaps more important than the specific integration options is how those integrations are actually used. What’s the specific process for connecting and mapping data between two systems? Is it technically possible, but clunky? Can it only support basic functionality, and do you require a specific workflow?
Strazzulla makes it clear that those specifics are crucial: “You need to get specifics because…you’re incentivized to get the deal done,” meaning sales representatives may oversell integration capabilities.
Be sure to dig into the ease of using their software and ask how many clients are successfully using their specific integrations. Request to see the integrations in action during your demo, and ask about the implementation support provided to ensure your tech stack works together seamlessly from day one.
3. Understand Who Will Use Your Applicant Tracking System
Before choosing an applicant tracking system, it’s essential to consider who will interact with the platform on a daily basis and what their specific needs are.
Your ATS will primarily be used by:
- HR professionals and recruiters who manage the end-to-end hiring process, from posting job descriptions and screening resumes to coordinating with hiring managers and tracking candidate data throughout the recruitment process.
- Hiring managers who review candidate profiles, provide feedback on qualified candidates, participate in interview scheduling, and make final hiring decisions. Since hiring managers often use the ATS less frequently than recruiters, an intuitive interface is critical to ensure they can quickly navigate the system and stay engaged in the hiring process.
- Talent acquisition team members who focus on sourcing potential candidates, building talent pipelines, managing employer branding initiatives through branded careers pages, and analyzing recruitment efforts through key performance indicators.
- Leadership who rely on robust reporting capabilities to track hiring metrics, monitor team performance, assess candidate engagement, and make data-driven decisions about recruiting strategies and resource allocation.
When evaluating ATS systems, involve representatives from each user group in the demo process. Have them test workflows specific to their roles — recruiters should test resume parsing and candidate screening features, while hiring managers should navigate candidate review and interview scheduling tools. This ensures the system you choose meets the needs of everyone on your hiring team, not just one department.
4. Budget and Total Cost of Ownership
Budget is a natural consideration, especially when companies often view HR tech as a cost center rather than a revenue driver.
As Strazzulla notes, “Budget is always going to be a factor when it comes to HR and TA tech.”
However, consider not only the upfront price but also the ATS’s long-term value to your organization, including minimizing employee turnover by hiring the most qualified candidates and reducing your time-to-hire.
Strazzulla advises companies to be aware of the total cost of ownership, including pricing structures and any hidden costs, such as additional fees for integrations, add-ons, or future scaling. Some ATS vendors charge extra for essential features like advanced candidate matching, workflow management capabilities, or integration with popular applicant tracking systems used by staffing agencies and recruitment agencies. Understanding the full pricing model will help prevent unexpected costs down the line.
Consider the return on investment when evaluating cost. A more expensive ATS that significantly improves hiring efficiency, reduces time spent on manual tasks, and helps you secure top candidates faster may deliver far greater value than a cheaper solution that lacks key features your hiring team needs.
5. Test the Candidate Experience
While your internal hiring team will use your ATS daily, job seekers and potential candidates also interact with your applicant tracking software throughout the application and interview process. A poor candidate experience can lead to candidate ghosting, damage to your employer branding, and cause you to miss out on top talent— even if your internal workflows are efficient.
When evaluating ATS platforms, thoroughly test the candidate-facing features, including:
- The application process on both desktop and mobile devices, since many job seekers now apply via smartphones. Ensure the application is straightforward, mobile-optimized, and doesn’t create unnecessary friction that causes qualified candidates to abandon the process.
- Automated communication tools such as confirmation emails, status updates, and interview scheduling links that keep candidates engaged and informed throughout the recruitment process. Personalized, timely candidate communication prevents candidates from feeling like they’ve fallen into a black hole after submitting their application.
- Career page and job posting functionality that showcases your employer branding and creates a positive first impression. Your branded careers page should clearly display open positions, reflect your company culture, and provide contact details or easy ways for potential candidates to connect with your talent acquisition team.
- Interview scheduling tools that allow candidates to easily view availability and book interview times without excessive back-and-forth emails. Self-service scheduling improves the candidate experience while reducing administrative burden on your hiring team.
- Mobile accessibility throughout the entire candidate journey, from discovering job postings to completing assessments to receiving offer letters. Candidates expect a seamless experience regardless of device, and a clunky mobile experience can cost you top talent.
According to research, candidates who have a positive experience during the hiring process are more likely to accept offers, refer others, and become brand advocates— even if they don’t get the job. Prioritizing candidate experience in your ATS selection protects your employer brand and strengthens candidate relationships that can pay dividends for years to come.
6. Vendor Stability and Customer Support
An ATS is a long-term investment, so it’s essential to evaluate the vendor’s stability, reputation, and approach to customer support. Look for ATS providers with a proven track record of reliability, financial stability, and commitment to their customers.
Start with some research. How long have they been in business? Do they have a strong client base, particularly among mid-sized companies or organizations similar to yours? What do reviews and case studies reveal about their customer service quality? A vendor experiencing frequent turnover, financial instability, or consistently poor reviews should raise red flags.
Strong customer and technical support can ease the learning curve for your hiring team and assist with any issues that arise during implementation and beyond. Ask the ATS provider about their support offerings:
- What channels are available for support (phone, email, live chat)?
- What are the response times for technical issues?
- Is there dedicated implementation support to help your team get up and running?
- Do they offer ongoing training resources, documentation, and best practices?
- Will you have a dedicated account manager or customer success representative?
Look for vendors who view customer support as a partnership, not just troubleshooting. The best ATS vendors proactively help clients optimize their use of the system, share insights on recruitment best practices, and provide resources that help your team get maximum value from your investment.
Don’t hesitate to ask for client references and speak directly with current customers about their experiences with the vendor’s support team. This firsthand feedback can be invaluable in understanding what it’s really like to work with an ATS provider long-term.
7. Customization and Flexibility
Every business has unique hiring processes, and an ATS should be flexible enough to accommodate them. When assessing an ATS, explore its ability for customization, including tailored workflows, a branded candidate experience, custom job description templates, and how easy it is to make these adjustments without requiring developer support or extensive training.
The best applicant tracking systems allow you to configure hiring workflows that match your organization’s specific recruitment process — whether that’s a streamlined three-step process for high-volume hiring or a complex multi-stage evaluation for senior leadership positions. Your hiring workflows should reflect how your team actually works, not force you to adapt to rigid, pre-built processes.
Consider customization needs across different areas:
- Workflow customization: Can you create different hiring processes for different roles or departments? Can you automate task assignments, set up approval chains, and customize candidate statuses to match your terminology?
- Branded experience: Can you customize your careers page, job postings, and candidate communications to reflect your employer branding and company voice?
- Data fields and candidate tracking: Can you add custom fields to capture information specific to your industry or hiring needs? Can you track candidates using the metrics and key skills that matter most to your organization?
- Reporting and dashboards: Can you build custom reports and dashboards that display the key performance indicators your leadership team cares about?
Strazzulla cautions against being swayed by small, nonessential features: “If something’s going to ten times your productivity, you’ve got to walk away from the smaller features.” Focus on the most impactful tools and features, those that align directly with your team’s needs and will drive meaningful hiring results. The goal is to find an ATS that’s flexible enough to support your specific hiring needs without overwhelming you with unnecessary complexity.
8. Reporting and Analytics
The best Applicant Tracking Systems will offer robust reporting capabilities to help HR teams track and optimize the recruitment process.
Strazzulla mentions that companies are looking for solutions that allow for better data analysis, “having that unification allows for more accurate data as well.” This functionality helps measure essential metrics, like time-to-hire, cost-per-hire, and the effectiveness of candidate sourcing, which are essential for making data-driven improvements in your recruiting process.
Advanced analytical reporting and tools can also help predict future hiring needs and enhance talent acquisition strategic planning.
9. Data Security and Compliance
Given the sensitive nature of recruitment software data, ATS platforms must meet rigorous data security and compliance standards; any that do not should immediately be considered a red flag. Your applicant tracking system stores highly sensitive candidate data — including resumes, contact details, interview notes, assessment results, and sometimes even background check information or performance management data from internal candidates.
Compliance with data privacy laws such as GDPR, CCPA, and other regional regulations is crucial if you operate in regions where such regulations apply. Non-compliance can result in significant fines, legal liability, and reputational damage that extends far beyond your talent acquisition team.
When evaluating ATS security, ask vendors about:
- Security certifications: Does the ATS provider maintain SOC 2 Type II certification, ISO 27001 compliance, or other recognized security standards? These certifications indicate the vendor follows rigorous security protocols and undergoes regular third-party audits.
- Data encryption: Is candidate data encrypted both in transit and at rest? How is sensitive information protected from unauthorized access?
- Access controls: Can you configure role-based permissions to ensure hiring team members only access the candidate information relevant to their role?
- Data retention and deletion: What are the vendor’s policies for retaining and deleting candidate data? Can you easily comply with candidate requests to have their data removed from your system?
- Backup and disaster recovery: What safeguards are in place to protect your data in case of system failures, cyber attacks, or other disruptions?
This factor not only protects private candidate information but also shields your company from potential legal and financial risks. For organizations in highly regulated industries like healthcare or government, data security and compliance should be non-negotiable requirements when choosing an applicant tracking system.
10. Reporting and Analytics
The best applicant tracking systems offer robust reporting capabilities to help HR teams track and optimize the recruitment process.
Look for systems that offer:
- Real-time dashboards that give your talent acquisition team instant visibility into key performance indicators like the number of open positions, candidates in each hiring stage, interview scheduling efficiency, and time-to-fill by role or department.
- Customizable reports that allow you to analyze the specific metrics your organization cares about most, whether that’s diversity hiring goals, quality of hire by source, or hiring manager satisfaction scores.
- Candidate pipeline analytics that help you identify bottlenecks in your hiring workflows, understand where qualified candidates drop off, and optimize your process to move top candidates through faster.
- Source tracking that reveals which job boards, recruitment agencies, employee referrals, or sourcing strategies deliver the most qualified candidates, allowing you to allocate your recruiting budget more effectively.
- Predictive analytics and data analysis tools that can help forecast future hiring needs based on historical trends, turnover patterns, and business growth projections.
Robust reporting capabilities also support strategic workforce planning and help demonstrate the value your talent acquisition efforts bring to the organization. When you can show leadership how your recruiting efforts impact key business outcomes— like reducing time-to-productivity for new hires or improving retention rates by finding better-fit candidates— you transform talent acquisition from a cost center into a strategic business partner.
11. Artificial Intelligence (AI) and Automation Capabilities
Many modern applicant tracking systems are beginning to integrate AI for functions such as talent sourcing, candidate matching, resume parsing that identifies key skills, and even interview scheduling automation.
Can AI features streamline time-consuming manual tasks, potentially increasing your hiring efficiency? Absolutely, but they pose their risks as well, if not managed properly.
Strazzulla emphasizes the importance of understanding how a vendor applies AI: “The conversation’s going to continuously evolve and… the best practices here are going to come out.”
When evaluating AI features, focus on their practical applications and how they align with your hiring needs rather than simply choosing a system because it boasts “AI.” Ask vendors to demonstrate how their AI features work in practice and what safeguards are in place to prevent bias in candidate screening and matching.
Also, inquire about the ATS provider’s plans for AI development to ensure the system will remain innovative as AI technology advances and new capabilities emerge. The hiring software market is evolving rapidly, and you want a vendor committed to staying at the forefront of these innovations.
10. Evaluate a Vendor’s Vision and Roadmap
When you’re planning for a long-term investment, it’s essential to select a vendor with a clear vision and commitment to continuous improvement.
Strazzulla advises buyers to assess a vendor’s future outlook on AI and other innovations: “how that company thinks about utilizing this technology going forward and… the value that you’re going to get out of it.” If the vendor lacks a forward-thinking approach, it may struggle to meet your evolving needs, leaving you looking for a new ATS sooner than expected.
11. Consider Onboarding, Implementation, and Training
A successful ATS transition involves a smooth implementation process and sufficient training for your team. Some talent acquisition vendors offer comprehensive onboarding support, while others may provide limited resources.
Consider how much time and effort your team can commit to learning the new system, and whether the vendor’s training offerings and transition timeline align with your needs. Remember that the implementation phase is an investment in your ATS’s future effectiveness, so it’s crucial to budget time for it properly.
12. Evaluate a Vendor’s Vision and Product Roadmap
When you’re planning for a long-term investment in hiring software, it’s essential to select an ATS vendor with a clear vision and commitment to continuous improvement through regular product updates and new feature releases.
Strazzulla advises buyers to assess a vendor’s future outlook on AI and other innovations: “how that company thinks about utilizing this technology going forward and… the value that you’re going to get out of it.” If the vendor lacks a forward-thinking approach, it may struggle to meet your evolving needs, leaving you looking for a new ATS sooner than expected.
Request to speak with existing customers about their experience with product updates. Do clients feel the vendor is consistently improving the platform? Are new features well-executed and useful, or do they feel like rushed additions that create more problems than they solve?
A vendor with a clear, customer-focused product roadmap demonstrates they’re invested in the long-term success of their ATS platform and the clients who rely on it. This forward-thinking approach protects your investment and ensures your recruitment software continues to meet your needs as hiring practices, technologies, and business requirements evolve over time.
13. Consider Onboarding, Implementation, and Training
A successful ATS transition involves a smooth implementation process and sufficient training for your team. Some talent acquisition vendors offer comprehensive onboarding support with dedicated implementation specialists, detailed training programs, and extensive documentation, while others may provide limited resources that leave your team struggling to get up to speed.
Consider how much time and effort your team can commit to learning the new system, and whether the vendor’s training offerings and transition timeline align with your needs and business needs. Ask about:
- What does the typical implementation timeline look like for organizations similar to yours?
- What level of hands-on support does the vendor provide during implementation?
- Are training sessions customized to different user roles, or is it one-size-fits-all?
- What ongoing training resources are available (documentation, video tutorials, webinars, office hours)?
- Is there a dedicated implementation manager or will you work with multiple vendor team members?
- What happens after go-live? Is there continued support as your team gets comfortable with the system?
Remember that the implementation phase is an investment in your ATS’s future effectiveness, so it’s crucial to budget time for it properly. Rushing through implementation or skimping on training may save time upfront, but often leads to poor system adoption, underutilized features, and frustrated team members who revert to old manual processes instead of embracing the new ATS systems.
Choose a vendor who treats implementation as a partnership and provides the implementation support your hiring team needs to succeed from day one and beyond.
Final Thoughts From an HR Tech Expert
Selecting an ATS is a complex process, but by assessing your company’s unique needs and carefully vetting potential ATS vendors, you can make a choice that supports efficient, scalable hiring and aligns with your broader business goals.
As Strazzulla emphasizes, organizations need to be thorough and forward-thinking in their hiring process, saying, “You’re going to spend so many cycles on this. You’ve got to talk to the right vendors… It can have a huge impact on your company, your career, and your employee health.”
Following these steps can help your business secure an ATS that meets both immediate needs and future goals, setting the stage for successful, strategic talent acquisition. The right applicant tracking system becomes more than just hiring software— it becomes a strategic tool that helps you attract qualified candidates, create positive candidate experiences, improve collaboration across hiring teams, and make data-driven decisions that improve your recruiting efforts over time.
Unlock Hiring Efficiency with Spark Hire’s Collaborative ATS
Spark Hire offers a comprehensive and flexible applicant tracking system for small and medium-sized organizations that dream of hiring better as a team.
Over 700 organizations use our ATS to support a wide range of hiring processes, leaning on our top-tier customization options, robust reporting and analytics, AI assistant, flexible workflow builder, and industry-leading customer support to achieve more efficient hiring and team engagement.
Our ATS module integrates seamlessly with one-way video interviews, assessments, and 50+ HR tech partners to create a complete talent acquisition solution that helps you source top talent, schedule interviews efficiently, engage potential candidates, and make faster, more confident hiring decisions.
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