ZipRecruiter (ZIP) investor relations material

Labor market trends and AI impact

• Labor market stabilized in 2026 after four years of decline, but remains subdued with hiring and quits at 2015 levels.

• Over 90% of surveyed businesses, including SMBs and enterprises, are already using AI.

• Contrary to fears, 35% of businesses plan to increase hiring due to AI adoption, with engineering hiring up 10% since the release of Claude Code.

• AI is making skilled roles more accessible to smaller businesses and changing the nature of work rather than eliminating jobs.

Product innovation and financial performance

• Achieved 5% year-over-year revenue growth in a flat market, reversing a prior 2% decline.

• Product improvements focused on increasing direct conversations between employers and job seekers, doubling engagement rates year-over-year.

• Launched a new search engine that increased delivery of quality candidates by 34%.

• LLMs are used for candidate assessment, improving match quality and response rates.

Traffic, integrations, and competitive positioning

• Brand awareness remains high at 80% for both employers and job seekers, providing operating leverage.

• Integrated with ChatGPT and Claude, with LLM-driven traffic growing rapidly and showing high engagement.

• Early adoption of LLM integrations is creating a competitive advantage as a new traffic channel emerges.