Why Technology Companies Are Losing Top Candidates During Interviews - And How to Fix It

How small shifts in your interview process can dramatically improve who you hire

Hiring strong talent shouldn’t feel like a gamble, but for many SaaS companies, it still does. After years of interviewing thousands of candidates across Customer Success, Support, Product Design, and Engineering roles, I’ve noticed a pattern: companies often lose great people not because of compensation or culture, but because their interview process works against them.

If you’re scaling and feeling like “great candidates are disappearing,” there’s a good chance the issue isn’t the market - it’s the experience you’re giving them.

Here are the most common reasons top candidates drop off, and how to turn your interview process into a real competitive advantage.

1. Too Many Steps, Not Enough Clarity

Talented candidates are busy. When an interview cycle stretches across multiple weeks with unclear expectations, the best ones walk away.

What they tell us:
“I liked the role, but it felt disorganized. If this is the hiring process, what does the day-to-day look like?”

Fix it:
Keep the structure tight. Define the steps upfront. Let candidates know exactly who they’ll meet and when. Good talent appreciates professionalism and efficiency.

2. Testing for Everything Instead of What Matters

A common mistake is overwhelming candidates with assessments that don’t reflect the real job. We see this often when hiring developers, designers, or CSMs - companies test breadth when they only need depth in one area.

Fix it:
Test for the skills the person will actually use in week one. Not the skills that “might be nice someday.”

3. Slow Feedback Signals Low Priority

Nothing sends a stronger message than silence.
Candidates today expect quick communication. When feedback takes a week or more, they assume you’re not serious — or worse, that the company is disorganized.

Fix it:
Share updates within 48 hours whenever possible. Even a short note makes a difference:
“Thanks again for your time yesterday. We’re reviewing internally and will update you by Friday.”

This single habit improves acceptance rates dramatically.

4. Interviews Focus on the Wrong Conversation

Many interviewers still spend most of the meeting explaining the company instead of learning about the candidate. Others jump too quickly into technical questions without understanding what drives the person.

Fix it:
Use interviews to understand:

• How they think
• How they solve problems
• How they collaborate
• Why they want this role

Candidates want to feel seen, not screened.

5. The Process Doesn’t Feel Human

The candidates who stand out in interviews often follow a simple rule: be real.

Ironically, the same applies to companies.

A cold or mechanical interview process pushes high performers away. They’re not just evaluating the job - they’re evaluating the people they’ll work with.

Fix it:
Make space for genuine conversation.
Explain the team. Share context. Ask them what they need to thrive.

When candidates feel valued during interviews, they picture themselves succeeding in the role.

The Bottom Line: Great Candidates Don’t Disappear - They Choose

If your company repeatedly loses strong talent, it’s rarely bad luck. It’s the experience you’re offering during the hiring process.

The good news? This is fixable.
A tighter process, clearer evaluation criteria, and stronger communication can transform your hiring results almost immediately.

At Altrio, we see this every day. The companies that hire the best talent aren’t necessarily the ones with the biggest budgets - they’re the ones who create a respectful, efficient, and engaging interview experience.

If you’d like help refining your interview flow or meeting candidates who are already vetted and ready to shine, I’m always happy to share what we’ve learned.