How Applicant Tracking Systems (ATS) Work (And How to Beat Them in 2025)

Three people work at a long desk with laptops in a bright office. In the foreground, a woman types on a laptop displaying a resume; translucent UI graphics show skills checks and an ATS score of 75%.

Why ATS Matters in 2025


Before your resume reaches a human recruiter, it’s first scanned by an Applicant Tracking System (ATS) — a software used by companies like Amazon, Shopify, and Deloitte to filter resumes based on relevance. In 2025, over 98% of Fortune 500 companies use ATS to screen candidates. If your resume isn’t formatted and keyword-optimized for these systems, it might be rejected without a second glance — no matter how qualified you are.


What Is an ATS and How Does It Work?


An Applicant Tracking System (ATS) is a type of software used by recruiters and hiring teams to filter, organize, and rank job applications. These systems are now used by over 98% of Fortune 500 companies to streamline their hiring process.

At its core, an ATS scans resumes for relevance to a specific job description. It looks for:

  • Job title relevance
  • Keyword matches (e.g., “JavaScript”, “B2B sales”, “SEO tools”)
  • Soft and hard skills aligned with the job post
  • Clear formatting (no tables, text boxes, or visuals that block parsing)
  • Standard sections like Work Experience, Skills, and Education

The system parses the resume using natural language processing (NLP) to compare the content to the job description. Candidates are then scored or ranked based on how well their resume matches the required qualifications.

According to Jobscan, resumes that lack ATS-optimized structure and keywords are often filtered out — even if the candidate is highly qualified.


Here are a few well-known ATS platforms powering modern hiring:

  • Greenhouse – Used by companies like Airbnb, Dropbox, and Stripe
  • Lever – Popular with high-growth startups and mid-size tech companies
  • iCIMS – Enterprise-grade ATS trusted by companies like UPS and Target


Common Mistakes That Get You Rejected

  • Using tables or columns that ATS can’t parse
  • Missing exact phrases from job descriptions
  • Fancy designs from tools like Canva or Adobe that aren’t machine-readable
  • Uploading in formats like .png or .pdf with embedded fonts


How AI-Powered Resume Builders Help You Beat ATS


Modern AI resume tools analyze job descriptions and tailor your resume with the exact keywords, tone, and formatting ATS systems favor. Here's how:


ResumeStore


  • Scans job links and pulls keywords automatically
  • Creates data-driven, quantified bullet points
  • Ensures ATS-safe layout and file format (PDF/.docx)
  • Customizes resumes for entry, mid, or senior roles

🔗 Explore how ResumeStore optimizes for ATS →


Rezi

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Final Thoughts: ATS Isn't the Enemy — But You Need to Outsmart It


ATS systems exist to streamline hiring, but they’re also a wall between you and your dream job. With smart tools like ResumeStore.ai, you don’t just get past the filter — you stand out from the start. Make every keyword, bullet point, and format count.

🔗 Start Building My ATS Resume →

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marketing@resumestore.ai

Expert content creator at ResumeStore, specializing in AI-powered career optimization, job market analysis, and professional growth strategies. Passionate about helping professionals leverage technology to advance their careers.

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