7 red flags (and 7 green lights) when choosing an ATS vendor
Red flags (run for the hills)
Customer support that’s already letting you down
If they’re rubbish during the sales process, they’ll be worse after you’ve signed the contract. Vendors who take days to answer simple questions, offer vague responses, or can’t show you a proper onboarding plan are telling you everything you need to know about their priorities. Pay attention to their training resources too. If they can’t demonstrate how they’ll get your team up to speed, that’s a massive red flag.
Test their support during evaluation if you can. Send a question through their help system or chat function. How quickly do they respond? Is the answer actually helpful, or just generic copy-paste nonsense? This little test will save you months of frustration later.
Red flags showed up when sales or account managers were unresponsive or didn't seem to understand their own product. Another was when support was limited to a help center until you hit higher tiers.
Hidden fees everywhere
Nothing kills an ATS project faster than discovering the “basic” package you budgeted for doesn’t actually include the things you need to function. Be suspicious of vendors who are vague about costs or keep mentioning “additional modules” without clear pricing.
Ask specifically about integration costs, support charges, customization fees, and what happens when you need more users. If they can’t give you straight answers or keep saying “it depends,” that’s not vendor flexibility. That’s vendor evasiveness. You’ll be nickel-and-dimed to death.
Platforms that didn't offer anonymization (which felt odd in this day and age), vendors who charged extra for features that are core elsewhere, and a lack of clarity around SLA times and implementtion guides.
Zero flexibility (their way or the highway)
Your hiring process works for your company. An ATS that forces you to completely redesign proven workflows without good reason isn’t adapting to your needs. It’s making you adapt to their limitations.
During demos, ask to see how you’d handle your specific edge cases. Can they accommodate your approval chains? Do they support your interview formats? If every request is met with “you’ll need to change how you do that,” keep looking. Some adaptation is normal and actually might prompt you to rethink and improve your processes, but wholesale process redesigns are a warning sign.
Technology that belongs in a museum If their interface looks like it was designed in 2005, it probably was. Outdated design usually signals outdated thinking, poor investment in product development, and user adoption problems waiting to happen.
Check their release notes. When did they last ship meaningful updates? If they haven’t released anything interesting in 18 months, they’re probably coasting. In fast-moving HR tech, stagnation is dangerous. You don’t want to pick a vendor who’s already falling behind.
Some adaptation is normal and actually might prompt you to rethink and improve your processes, but wholesale process redesigns are a warning sign.
References who damn with faint praise
When reference customers say things like “it’s fine, I suppose” or “the support could be better,” that’s not modesty. That’s a warning. Pay attention to hesitations, lukewarm responses, and what people don’t say as much as what they do.
Look for patterns in online reviews too. One complaint about reporting might be an edge case. Ten complaints about the same reporting issues suggest a real problem. Don’t ignore consistent themes across multiple sources.
Security and compliance gaps
This should be an automatic disqualifier. If vendors can’t clearly explain their GDPR compliance, data security measures, or industry certifications, walk away. ATS systems handle enormous amounts of personal data. A security breach will cost you far more than switching vendors.
Ask direct questions: Where is data stored? How do they handle data deletion requests? What certifications do they have? Vague answers or deflections here are massive red flags.
Promising everything, delivering nothing
Be wary of sales teams who say “yes, we can definitely do that” to every request but can’t actually demonstrate the functionality. If everything requires “a bit of customization” or “we’ll show you that in the next demo,” they’re probably overselling their capabilities.
Good vendors will be honest about limitations and suggest workarounds. Great vendors will show you exactly how they handle your requirements during the demo. Vendors who promise the world but can’t demonstrate basic functionality are setting you up for disappointment.
Good vendors will be honest about limitations and suggest workarounds. Great vendors will show you exactly how they handle your requirements during the demo.
Green lights (promising signs)
Responsive, straight-talking vendors
When vendors treat you like a future partner rather than just a sales target, that’s a good sign. They answer questions thoroughly, provide sandbox access quickly, and generally seem invested in whether their system actually solves your problems.
Fast, helpful communication during sales usually continues into the customer relationship. If they’re professional, transparent, and genuinely useful during evaluation, they’ll probably be the same when you need support at 4pm on a Friday.
Proper customer success programs
Vendors who emphasize ongoing support and customer success (not just initial setup) understand that ATS implementations succeed or fail based on adoption and user satisfaction. Look for dedicated account managers, detailed implementation timelines, comprehensive training programs, and accessible help resources.
If they can show you customer success metrics, retention rates, or user satisfaction scores, even better. Vendors confident in their post-sale support will happily share this information.
Fast, helpful communication during sales usually continues into the customer relationship. If they're professional, transparent, and genuinely useful during evaluation, they'll probably be the same when you need support at 4pm on a Friday.
Natural fit with minimal fuss
When a system handles your key requirements without complex workarounds, integrations, or customizations, that’s a green light. The less you need to bend your processes or bolt on additional tools, the smoother your implementation will be.
Pay attention during demos. Do your use cases work naturally within their standard functionality? Do they seem familiar with companies like yours? Can they show similar implementations without having to think about it?
Strong reputation and references
Positive feedback from companies similar to yours is worth its weight in gold. If your industry contacts or peer networks have good experiences with the vendor, take that seriously. Case studies from similar organizations showing measurable success are particularly valuable.
High customer retention rates (if available) suggest people find ongoing value in the system. Nobody renews contracts for software that doesn’t work.
Clear innovation and product vision
Vendors who regularly release meaningful updates, have clear product roadmaps, and invest in emerging technologies (like AI, automation, or improved user experience) are positioning themselves for long-term success.
Ask about their recent releases and future plans. Can they articulate their vision for where HR tech is heading? Do they seem excited about solving real problems, or just adding features for the sake of it? Forward-thinking vendors are safer long-term partners.
One green flag for me was seeing that the vendor had a clear roadmap with regular new feature releases. I wanted a tool that was continually progressing, not standing still.
Performance under pressure
Evidence that the system performs well during peak hiring periods, handles high volumes without slowdowns, and scales smoothly as organizations grow is crucial. If they have customers significantly larger than you, that’s reassuring. It suggests their infrastructure can handle your future growth.
Ask specific questions about performance: What happens during their busiest customer’s peak hiring season? How do they handle system updates without disrupting service? Have they had any significant outages recently?
Users actually like it
The ultimate green light is positive feedback from actual users, both your pilot group and customers at other companies. If recruiters find it intuitive, hiring managers appreciate the visibility, and candidates don’t complain about the application process, you’re onto something good.
High user adoption translates directly into better data, smoother processes, and ultimately better hiring outcomes. A system everyone avoids using defeats the entire purpose.
Choose vendors who feel like partners, not just suppliers.
The reality check
You won’t achieve perfection here; vendors are unlikely to tick every single green box and avoid every single red flag. You’re looking for the best overall package. The key is avoiding deal-breaker red flags (security gaps, terrible support, fundamental inflexibility) while maximizing meaningful green lights.
Use this information to inform your negotiations too. If a vendor scores well overall but lacks one feature you need, get their roadmap commitment in writing. If their pricing seems high but their support is exceptional, factor that into your total cost calculations.
Most importantly, trust your instincts. If something feels off during the evaluation process, even if you can’t put your finger on exactly what, dig deeper. Your gut reaction during sales interactions often predicts your experience as a customer. Choose vendors who feel like partners, not just suppliers.
