The verdict in three sentences
For a London recruitment and executive search consultancy with 10 to 30 consultants and 40,000 candidates on file, an off-the-shelf ATS costs EUR 60 to 150 per user per month (roughly GBP 50 to 130), or EUR 7,200 to 54,000 a year depending on headcount. A custom ATS priced at EUR 35,000 to 90,000 pays for itself once AI matching and a client portal save half a day per assignment. Automatic data purging after 2 years is not optional: under UK GDPR it is what protects the firm if the ICO comes calling.
Off-the-shelf vs custom ATS: the 2026 comparison
SaaS tools handle standard applicant tracking well. They struggle with executive search: weak boolean search on an aging database, a generic client portal, no retained-assignment logic and no fee reporting.
| Criterion | Off-the-shelf SaaS ATS | Custom ATS |
|---|---|---|
| Upfront cost | EUR 0 to 3,000 setup | EUR 35,000 to 90,000 |
| Subscription | EUR 60 to 150 per user per month | EUR 300 to 900 per month hosting and maintenance |
| Time to go live | 2 to 6 weeks | 4 to 6 months |
| Candidate / role matching | Keywords, little tuning | Semantic score trained on your placements |
| Client portal | Generic or missing | Annotated shortlist, online approval |
| Data retention purge | Manual or paid add-on | Automatic at 24 months with consent renewal |
| CV parsing | Included, variable quality | AI at EUR 0.02 to 0.10 per CV |
| Data ownership | Limited export | PostgreSQL database hosted in the UK or EU |
AI parsing is cheap: 6,000 CVs a year at EUR 0.06 comes to EUR 360. The real cost is consultant time spent re-qualifying badly indexed profiles.
Shortlist time and 4-year total cost
The main gain of an ATS built for search work is shortlist speed. On a 40,000-profile database, a matching engine that weighs sectors, salary bands and interview history avoids re-reading 200 records per assignment.
| Assignment step | Generic ATS | Custom ATS |
|---|---|---|
| Database search | 6 h | 1.5 h |
| Profile qualification | 8 h | 5 h |
| Writing the client shortlist | 3 h | 1 h (assisted generation) |
| Client follow-up and chasing | 2 h | 0.5 h (portal) |
| Total per assignment | 19 h | 8 h |
| Average time to shortlist | 12 working days | 6 working days |
Total cost of ownership over 4 years for 20 consultants (2026 order of magnitude):
| Item | SaaS ATS at EUR 110 / month | Custom ATS at EUR 65,000 |
|---|---|---|
| Licences or development | EUR 105,600 | EUR 65,000 |
| Hosting and maintenance | included | EUR 28,800 (EUR 600 / month) |
| Add-ons (matching, portal) | EUR 19,200 | included |
| AI parsing | included | EUR 1,440 |
| 4-year total | EUR 124,800 | EUR 95,240 |
From 15 consultants upwards, custom is usually cheaper over 4 years, before counting the time saved.
Data retention: what the ATS must do on its own
UK and EU regulators expect candidate records to be kept no longer than necessary, typically 2 years after last contact, unless consent is renewed. The ATS should timestamp every interaction, send a renewal request 30 days before expiry, anonymise or delete non-renewed profiles and log subject access requests. Add a record of processing activities, UK or EU hosting and a per-consultant access log. These features account for 10 to 15 % of the development budget.
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Mini case study
Claire, partner at an 18-consultant executive search firm in Mayfair, runs 140 assignments a year. With her current ATS, each assignment takes 19 h of search and follow-up. A custom build cuts that to 8 h: 11 h saved x 140 assignments = 1,540 hours a year. At a fully loaded EUR 70 per hour, that is EUR 107,800 of freed capacity every year for a EUR 60,000 project. Payback comes in under 7 months.
FAQ
How much does a custom ATS cost a recruitment firm in 2026?
Budget EUR 35,000 for a core (candidate database, pipeline, retention purge) and up to EUR 90,000 with AI matching, client portal and fee invoicing. Maintenance then runs EUR 300 to 900 a month.
Can we migrate the 40,000 candidates from our old ATS?
Yes, via CSV or API export, with deduplication and CV re-indexing. Migration takes 2 to 4 weeks, and profiles without valid consent under 2 years old are isolated at import.
Is AI matching reliable?
It sorts, it does not decide. On a well-structured database, it puts a relevant profile in the top 20 results in 80 to 90 % of searches, cutting search time by about 70 %.
What does CV parsing cost?
Between EUR 0.02 and 0.10 per CV depending on the model. For 6,000 CVs a year the budget stays under EUR 600.
How long does it take?
4 to 6 months: 3 weeks of scoping, 3 to 4 months of development and 3 weeks of acceptance testing with two pilot consultants.
Let's scope your project. Send us your consultant headcount, database size and current tools, and we will price a custom ATS between EUR 35,000 and 90,000 with a 4 to 6 month plan. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.