ATS for Resumes Explained (2025): How Scanners Read Your Document

98% of Fortune 500 companies use ATS to filter resumes. Learn exactly how these systems scan your document and the proven strategies to pass their filters.

Created on Oct 15, 2025

By PitchMeAI Editorial Team

What Is an ATS and Why It Matters for Your Resume

An Applicant Tracking System (ATS) is software that employers use to collect, scan, and rank job applications before a human ever sees them. In 2025, over 98% of Fortune 500 companies and approximately 66% of large organizations rely on ATS platforms to manage their hiring pipelines.

When you submit your resume online, the ATS parses your document—extracting text, identifying sections like work experience and education, and matching your qualifications against the job description. Resumes that score poorly are filtered out automatically, meaning even highly qualified candidates can be rejected if their resume isn't ATS-friendly.

Understanding how ATS for resumes works is no longer optional—it's essential for anyone serious about landing interviews in today's competitive job market.

How Do ATS Systems Scan Resumes?

ATS software reads your resume through a multi-step parsing process:

  1. Document Conversion: The system converts your resume file (PDF, DOCX, TXT) into plain text

  2. Data Extraction: It identifies and categorizes information into fields like contact details, job titles, companies, dates, education, and skills

  3. Keyword Matching: The ATS compares extracted content against keywords and requirements from the job posting

  4. Scoring & Ranking: Each resume receives a compatibility score based on how well it matches the position criteria

  5. Filtering: Resumes below a certain threshold are automatically rejected or deprioritized

The parsing accuracy varies significantly between ATS platforms. Older systems struggle with complex formatting, while modern AI-powered ATS can handle more sophisticated layouts—but simple, clean formatting remains the safest approach across all systems.

What ATS Software Actually Looks For

ATS algorithms prioritize:

  • Exact keyword matches from the job description (skills, certifications, tools, technologies)

  • Job titles that align with the role being filled

  • Years of experience in relevant positions

  • Education credentials including degrees, institutions, and graduation dates

  • Standard section headers like "Work Experience," "Education," and "Skills"

  • Chronological work history with clear dates and company names

Can ATS Read Scanned Documents?

No—most ATS cannot accurately read scanned documents or image-based PDFs. When you scan a paper resume and save it as a PDF, the file contains an image rather than selectable text. ATS software relies on text extraction, so these image files appear blank or garbled to the system.

What happens when you submit a scanned resume:

  • The ATS cannot parse any information

  • Your application may be automatically rejected

  • Critical keywords and qualifications go undetected

  • Your resume receives the lowest possible ranking

Solution: Always submit digitally-created resumes saved as text-based PDFs or DOCX files. If you only have a paper resume, retype it in a word processor rather than scanning it.

How to Pass an ATS Scanner

Optimizing your resume for ATS requires strategic formatting and content choices:

Formatting Best Practices

Do This

Avoid This

Use standard fonts (Arial, Calibri, Times New Roman)

Decorative or script fonts

Stick to simple bullet points

Text boxes, tables, or columns

Save as .docx or text-based PDF

Image-based PDFs or scanned documents

Use standard section headers

Creative headers like "Where I've Been"

Left-align text

Headers, footers, or watermarks

Include your contact info in the main body

Contact details only in headers

Content Optimization Strategies

1. Mirror the Job Description Language

If the posting says "project management," use that exact phrase rather than "managed projects." ATS algorithms often search for precise keyword matches.

2. Include a Skills Section

Create a dedicated "Skills" or "Core Competencies" section listing relevant hard skills, software, certifications, and technical abilities mentioned in the job posting.

3. Use Standard Job Titles

If your official title was unconventional (like "Marketing Ninja"), consider using the industry-standard equivalent ("Marketing Specialist") with your actual title in parentheses.

4. Spell Out Acronyms

Include both the acronym and full term: "Search Engine Optimization (SEO)" ensures the ATS catches both variations.

5. Quantify Achievements

ATS systems can parse numbers and percentages. "Increased sales by 35%" is more ATS-friendly than "significantly improved sales."

6. Tailor Every Application

Generic resumes rarely score well. Customize your resume for each position by emphasizing the most relevant experience and incorporating job-specific keywords.

Is a 70% ATS Score Good?

A 70% ATS match score is generally considered moderate—it may get your resume past initial filters at some companies, but it's not competitive enough for high-demand positions.

ATS Score Interpretation:

  • 80%+ match: Strong candidate; likely to be reviewed by a recruiter

  • 70-79% match: Moderate fit; may pass depending on applicant volume

  • 60-69% match: Weak candidate; often filtered out

  • Below 60%: Very unlikely to advance

However, score thresholds vary by company, role, and ATS platform. A 70% score for a specialized technical role might advance, while the same score for a popular entry-level position could be rejected.

The goal: Aim for 80% or higher by thoroughly analyzing the job description and ensuring your resume addresses every major requirement and includes relevant keywords naturally throughout your experience descriptions.

Common ATS Mistakes That Kill Your Chances

Even qualified candidates get filtered out due to these preventable errors:

  • Using graphics or images: ATS cannot read text embedded in images

  • Fancy formatting: Columns, text boxes, and tables confuse parsing algorithms

  • Uncommon file types: Submitting .pages, .jpg, or other non-standard formats

  • Missing keywords: Failing to include terms from the job description

  • Inconsistent dates: Using different date formats or leaving employment gaps unexplained

  • Typos in critical terms: Misspelling company names, job titles, or key skills

  • Overly creative section names: ATS may not recognize "My Journey" as work experience

  • Keyword stuffing: Unnaturally cramming keywords damages readability and can trigger filters

How PitchMeAI Solves the ATS Challenge

Creating an ATS-optimized resume for every job application is time-consuming and technically demanding. PitchMeAI automates this entire process, dramatically increasing your chances of passing ATS filters and landing interviews.

Generate Tailored, ATS-Optimized Resumes Instantly

PitchMeAI analyzes each job posting and automatically generates a customized resume that:

  • Incorporates relevant keywords from the specific job description

  • Uses ATS-friendly formatting that parses correctly across all major systems

  • Highlights your most relevant experience for each position

  • Achieves optimal keyword density without stuffing

Instead of manually tweaking your resume for hours, PitchMeAI creates a perfectly optimized version in seconds—directly through the Chrome extension on any job board or via the PitchMeAI platform.

Beyond ATS Optimization: Complete Application Support

PitchMeAI doesn't stop at resume generation:

  • Find hiring manager emails: Bypass the ATS entirely by reaching decision-makers directly

  • Craft personalized outreach emails: Generate compelling messages that get responses

  • Free resume builder: Upload an old resume, drop a voice note, or write free text and get a polished, ATS-friendly resume in under a minute

Flexible Pricing for Every Job Seeker

  • 3 free credits monthly: Test the platform with no commitment

  • Free trial: 10 additional credits to experience full functionality

  • Premium plan ($22/month): Unlimited resume generation, email finding, and outreach for serious job seekers

Whether you're applying to five jobs or fifty, PitchMeAI ensures every application is optimized to pass ATS filters and impress human recruiters—giving you a measurable advantage in today's automated hiring landscape.

The Future of ATS Technology

ATS systems continue evolving with artificial intelligence and machine learning capabilities. Modern platforms in 2025 are incorporating:

  • Semantic matching: Understanding context and related terms rather than just exact keywords

  • Skills inference: Identifying transferable skills even when not explicitly stated

  • Bias reduction algorithms: Attempting to minimize demographic screening disparities

  • Video and portfolio parsing: Analyzing multimedia submissions beyond text resumes

Despite these advances, fundamental ATS optimization principles remain critical. Clean formatting, strategic keyword usage, and tailored content will continue to determine which candidates advance—making tools like PitchMeAI increasingly valuable as application volumes grow and competition intensifies.

Key Takeaways for ATS Success

To maximize your chances of passing ATS filters:

  1. Always submit text-based documents (DOCX or standard PDF), never scanned images

  2. Use simple, clean formatting with standard fonts and section headers

  3. Customize every resume to match the specific job description keywords

  4. Include a dedicated skills section with relevant technical abilities

  5. Aim for 80%+ keyword match by thoroughly analyzing job requirements

  6. Avoid graphics, tables, and complex layouts that confuse parsing algorithms

  7. Proofread carefully—typos in critical keywords can disqualify you

  8. Consider automation tools like PitchMeAI to generate optimized resumes efficiently

Understanding how ATS for resumes works transforms your job search from a numbers game into a strategic process. With proper optimization, your qualifications reach human decision-makers instead of disappearing into automated rejection folders.

Unlock the secret to crafting resumes that beat ATS scanners and get noticed by installing PitchMeAI today.

FAQ

What is an ATS and why does it matter?

An Applicant Tracking System (ATS) is software that scans, parses, and ranks resumes before humans review them. Over 98% of Fortune 500 companies use ATS, meaning your resume must be optimized to pass automated filters or risk automatic rejection regardless of your qualifications.

How do ATS systems scan resumes?

ATS converts your resume to plain text, extracts data into categories like work experience and education, matches content against job description keywords, assigns a compatibility score, and filters out low-scoring applications automatically.

Can ATS read scanned documents?

No, most ATS cannot read scanned documents or image-based PDFs because they contain images rather than selectable text. Always submit digitally-created resumes as text-based PDFs or DOCX files to ensure proper parsing.

Is a 70% ATS score good?

A 70% ATS score is moderate and may pass initial filters depending on competition, but it's not competitive for high-demand roles. Aim for 80% or higher by thoroughly incorporating job description keywords and addressing all major requirements.

How do I pass an ATS scanner?

Use simple formatting with standard fonts, include exact keywords from the job description, create a dedicated skills section, use standard section headers, save as DOCX or text-based PDF, and tailor your resume for each application to achieve 80%+ keyword match.