Hiring Strategy June 30, 2026

Contingency vs. Retained Search: What's the Difference for Retail & Commerce Hiring?

Both models get you a candidate. They get there very differently, and the difference matters more for some roles than others.

When you engage a recruiting firm, you're choosing a payment and exclusivity model as much as you're choosing a firm. The two dominant models are contingency and retained search, and they solve different problems.

Contingency search

Under contingency, you pay only when a candidate we source is hired. There's no upfront fee, no retainer, and typically no exclusivity requirement. This is the model Commerce Staffing operates under: a 20% placement fee based on the new hire's first-year salary, invoiced on their start date, backed by a 90-day replacement guarantee.

Contingency works well when the role has a reasonably active talent pool, the hiring company can move at a normal pace, and there's value in having a recruiting partner motivated to move quickly because they're not paid until placement.

Retained search

Retained search involves an upfront fee, typically paid in installments, in exchange for a dedicated, often exclusive search. Retained firms usually run a more structured process: market mapping, passive candidate outreach at the executive level, and detailed competitive intelligence on comparable roles.

Retained search tends to make more sense for confidential C-suite searches, roles where the talent pool is extremely narrow, or searches where a company needs a single firm fully dedicated to the role rather than competing with other recruiters.

 ContingencyRetained
Upfront costNoneYes, typically in installments
ExclusivityUsually not requiredUsually required
Best fit forVP, Director, Manager-level roles with an active talent poolC-suite or highly confidential searches
Speed incentiveRecruiter paid only on placementRecruiter paid regardless of outcome timing

Why Commerce Staffing runs contingency

Most of the roles we place, from Category Manager to VP of eCommerce, have a large enough qualified candidate pool that a contingency model works well for both sides. You're not locked into an exclusive engagement, and we're motivated to move fast because that's when we get paid.

Questions

FAQ

Does Commerce Staffing offer retained search?

We operate on a contingency basis across all 12 of our practice areas. If your search has retained-style requirements, such as full confidentiality or an unusually narrow candidate pool, get in touch and we can talk through what's realistic.

Is contingency search less thorough than retained search?

Not inherently. The thoroughness of a search depends on the recruiter's process and network, not the payment model. Our contingency searches still include candidate screening, initial interviews, and fit evaluation before you ever see a resume.

What's Commerce Staffing's fee structure?

20% of the new hire's first-year annual salary, invoiced on their start date with 30-day payment terms, backed by a 90-day replacement guarantee.

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