HR teams are often expected to make multi-million-pound pay decisions without the right data or tools to back them up. And when budgets are tight, salary benchmarking is usually one of the first things pushed down the list.
Yet the cost of replacing just one employee can be 1.5 to 2 times their salary. If you’re making those decisions blind, that’s not just a risk, it’s a cost.
This article will walk you through how to build a clear, credible business case for better salary data, one that gets buy-in from finance and leadership alike.
If you’re not clear on what salary benchmarking actually involves, this explainer breaks it down.
One of the biggest challenges HR teams face is that salary benchmarking is rarely seen as urgent until something goes wrong. Pay isn’t aligned to the market. Roles go unfilled for months. Offer declines creep up. Attrition spikes. And suddenly, everyone’s asking, “Why didn’t we see this coming?”
That’s the real risk of poor data: you’re always reacting. Good data lets you get ahead.
Take Marston’s, the pub and restaurant group, as an example. Before implementing real-time pay data tools, their reward team relied on annual salary surveys and manual data collection methods. This approach often resulted in outdated insights, making it challenging to maintain competitive pay rates in a rapidly changing market.
In 2020, Marston’s adopted HR DataHub’s real-time salary benchmarking platform, gaining immediate visibility into current job supply, demand and pay rates across the UK. This shift enabled them to make well-informed decisions about compensation, ensuring their pay structures remained competitive and aligned with market trends.
Read more about Marston’s here.
This example underscores the value of timely data in supporting strategic reward decisions, enhancing recruitment efforts, and retaining top talent.
After rolling out HR Datahub, they were able to centralise that insight, give the whole HR team instant access to local market rates, and start making proactive pay decisions.
The result? Less guesswork. More confidence. And stronger business cases that were trusted by senior stakeholders.
That’s the real value of getting pay data right. It underpins strategic reward decisions, supports recruitment and retention, and helps HR speak the same language as the business.
If you’ve ever tried to get a salary benchmarking tool signed off, you’ve probably heard some variation of:
“Can’t we just ChatGPT the going rate?” (I discuss why this is a bad idea here.)
“There’s no budget for this right now.”
“We already get data from our annual survey.”
These objections are common and understandable. From the outside, it can look like HR is asking for another line in the budget without a clear return. But that’s often because the real business problem hasn’t been clearly framed. Or the benefits haven’t been quantified. Or the link to broader business goals hasn't been made obvious.
I’ve seen this pattern time and again. Most of the time, leadership isn’t saying no because they don’t believe in the idea. They’re saying no because they don’t see the value clearly enough, or they don’t know what happens if they don’t do it.
Another blocker is the perception that existing sources, like traditional salary surveys, are enough. But survey data is only as good as its comparators. If the dataset doesn’t include your sector, your region or your niche roles, then your benchmarks are already out of sync. And if your HR team needs to submit, analyse and interpret the data themselves, you’re adding ramp-up time, resource strain and margin for error.
Finally, there’s the credibility factor. If your business case is vague or based on assumptions, it won’t land. If you’re pitching to senior leaders or your finance department, you need to speak their language: costs, outcomes, risks and return
The good news is: all of this is fixable. The next section lays out the structure for building a business case that addresses these challenges head-on and gets approved.
Here’s why traditional salary surveys often fall short and what to use instead.
If there’s one thing I’ve seen time and again, it’s that a solid HR business case needs clarity. You don’t need 40 slides. You need to define the problem, propose a solution and show the return. That’s what your stakeholders want to see.
Here’s how to do it.
Open with a one-page summary. Frame it like a business proposal, not an HR project. The people reviewing it won’t necessarily care about salary benchmarking platforms, but they will care about the cost of unfilled roles, rising attrition or falling offer acceptance rates.
Your summary should answer:
Stick to plain English. Avoid HR jargon. And focus on what the business gains, not just what HR needs.
This is where many HR business cases fall short. A vague problem like “we need better data” won’t cut it. Instead, define what’s broken.
That might be:
Use whatever data you have to back this up: exit interviews, offer decline reasons, salary variation across sites, agency spend. If you're lacking metrics, start gathering them now – baseline data is essential for tracking ROI later.
Discover where your pay practices are costing you and how much you could save.
Next, introduce your proposed solution. Be specific: the platform, the features you’ll use and why this tool solves the problem better than what you’re doing today.
For example:
We propose to implement HR Datahub to access real-time market pay data by region, job type and sector. This will enable us to benchmark all operational and salaried roles accurately within minutes, rather than relying on outdated annual surveys or inconsistent manual scraping.
Keep the focus on the outcome:
Stakeholders want to know that you’ve thought through implementation. Keep it simple: no complex integrations, low training requirement, quick ramp-up.
This is where many HR cases become vague. Don’t just say “this will improve retention”, show how.
Use realistic estimates, for example:
You don’t need perfect precision, just sensible, business-focused assumptions. And make sure the total cost of the platform is clearly stated alongside the potential return.
Here’s a fictional example:
One business increased warehouse operative pay from £12.21 to £12.40 to align with market rates. The annual cost was £80K, but the return (based on reduced turnover, fewer agency fees, and higher productivity) was £95K. That’s a 20% ROI. And the case was signed off.
You can see how this played out in practice in this case study from Tysers.
Want to explore how to quantify the impact of pay decisions across recruitment, retention and equity? Our on-demand session walks through practical ROI models and common blockers to buy-in.
(Free to access — no fluff, just data.)
This is where the business case often goes from “nice idea” to “must-have.” Tie your case to the metrics your leadership team already cares about. That might include:
If you can show how better salary data helps the business achieve its top-level objectives, you won’t need to fight for attention. Your case becomes a strategic enabler, not a cost request.
And don’t forget internal equity. Salary benchmarking tools like HR Datahub help you identify gaps early, so you’re not blindsided by a pay equity issue that could have been avoided.
If retention is a key concern, these retention strategies may help alongside stronger pay data.
Expect questions like:
Address them head-on:
If needed, point to what peers in your industry are doing. Share adoption examples. Sometimes, the safest move for leadership is to follow what similar companies are already doing.
Close your case with a short implementation summary:
This shows you’ve thought it through and lowers perceived risk.
And keep your tone confident. This isn’t a speculative ask. You’re showing that it’s a smart investment that solves a real business problem.
Over the years, I’ve seen plenty of HR business cases fall flat, not because the idea was wrong, but because the execution didn’t land. If you’re putting together a case for salary data investment, avoid these common pitfalls.
If you can’t show where you are now, you can’t prove improvement later. Whether it’s turnover rates, offer acceptance or time spent benchmarking, start tracking. Even directional data is better than nothing. You’ll need it to measure success and defend your case later on.
“HR needs better data” isn’t a business case. Be specific about what’s broken. Ask yourself:
If the problem isn’t clear, the solution won’t matter.
You might be solving a reward problem, but your audience cares about the business impact. Don’t focus on process improvements alone. Focus on outcomes: faster hiring, better retention, more consistent decision making. That’s what gets noticed.
Don’t just write what you want to say, anticipate what your key stakeholders need to hear. The finance department wants to know the cost, yes. But more importantly, they want to understand the return. The COO wants to know if this speeds up hiring or reduces operational risk. Shape the case around their priorities.
If you do get approval, track the impact. Too often, HR delivers a project and moves on. But if you want future investment, you need to show results. Keep monitoring, report back and use that momentum to make your next case easier to win.
If you're building a case and want practical support on proving ROI, Reward School Episode 4 is a free on-demand lesson packed with tips from experienced reward leaders.
(Quick registration required.)
If you're ready to stop guessing and start leading on pay, it's time to invest in the data that gets you there. HR Datahub gives you live, credible salary data scraped from over 30 million live job ads, helping you make smarter, faster pay decisions.