Determining market value - Here's how

When searching for a job, it's common for companies to ask about salary expectations in job advertisements. Therefore, it's essential to determine your market value to ensure realistic salary expectations. In this article, you'll learn how to determine your market value and the factors that play a role.

Why is it Important to Determine Your Market Value?

Your market value determines how much you can earn now and in the future, making it crucial to check regularly whether your salary expectations are realistic. Applicants often underestimate their market value, leading to receiving less salary than they could ask for. If you're currently employed, regularly determining your market value can help you in salary negotiations.

Factors that Determine Your Market Value

When determining your market value, consider the following factors:

• Work experience: The longer and more qualified your work experience, the higher your market value.
• Education: Higher education generally results in better salaries, but practical experience is also essential.
• Region: Compensation varies by region due to the cost of living and competition for jobs.
• Industry: Salaries vary due to varying skill and experience requirements in different industries.
• Company size: Larger companies often offer more opportunities for career growth, which can increase market value.
• Position: Higher positions and areas of responsibility usually result in higher salaries and, therefore, higher market value.
• Skills: To remain competitive and increase your market value, it's essential to keep learning and acquiring new skills.

How to Determine Your Market Value

🔑 Honest self-reflection is key to successfully determining your market value. Ask yourself the following questions:

1. Evaluate your degree and training(s): To what extent do they make you attractive to your industry?
2. Reflect on your career stages to identify and evaluate your successes and experiences.
3. Objectively evaluate your skills and competencies. Be honest with yourself, but don't underestimate your abilities. Also, look at current salaries in your industry and region to get a realistic picture of the current market situation.

By considering the above factors and asking yourself the right questions, you'll be better equipped to determine your market value and set realistic salary expectations for your job search.

Reflection questions for determining your market value Ask yourself these questions to reflect on your market value:

• What degrees and certifications do I have?
• How have I expanded my knowledge and skills recently?
• How much relevant work experience do I have?
• What projects have I worked on successfully?
• What are my strengths and what added value do I offer?
• What salaries do companies in my industry and region offer for similar positions?

Best sources for determining your market value

These sources can help you determine your market value:

Salary scales

Salary scales are ideal for determining your market value. They provide a range of salaries based on job titles, experience levels, and other factors. You can find salary scales online on industry websites or provided by unions and employer associations.

⚠️ Caution: Keep in mind that salary scales provide only a rough estimate of your market value and may not take into account all important factors.

Online job boards

Online job boards are another way to determine your market value. Search for job postings that match your skills and experience level, and note the salary information provided. It's best to use several job boards and compare the data.

Social networks

Social networks can also help you determine your market value. Look for other professionals in your industry and study their profiles to gain insight into their experience and skills. Networking with other professionals can also help you learn more about the job market and your own market value.

Job postings

Job postings can give you insight into the requirements and compensation of similar positions in your industry. Look for explicit salary information and benefits, but be sure to compare postings from companies of similar size to ensure an accurate comparison.

The importance of determining your market value

Determining your market value is crucial for fair compensation and successful salary negotiations. Factors such as work experience, education, and skills play a role in determining your market value. Keeping up with current trends and developments in your industry can also help you understand your market value. By reflecting on these factors and utilizing the best sources, you can gain a better understanding of your own market value and how desirable you are in the job market.