In the UK’s fast-evolving finance sector, communication has never been more important or more challenging. From fintech startups to established banking institutions, explaining complex financial products and services to a broad audience is a daily hurdle. That’s where explainer videos come in. Designed to simplify, clarify, and engage, the best explainer videos finance industry professionals create are changing the way brands connect with clients.
Why Finance Needs Explainer Videos Now More Than Ever
The financial world thrives on precision, but it often struggles with accessibility. Terms like “APR,” “derivatives,” “blockchain,” or “risk portfolio allocation” can alienate everyday consumers. With digital transformation accelerating, finance companies must communicate faster and more effectively especially to online audiences with short attention spans.
That’s where the role of explainer videos becomes essential. These short, visually engaging videos break down intricate financial concepts into digestible stories. When designed correctly, explainer videos finance industry leaders develop can transform confusion into clarity in under two minutes.
This visual storytelling approach is especially powerful in the UK market, where the financial services sector supports more than 2.3 million jobs. As competition increases and regulations evolve, firms must not only offer great products—they must explain them well.
What Makes an Explainer Video Effective in the Finance Industry?
Not all explainer videos are created equal. For the finance sector, success lies in the balance between simplicity and authority. Here are some defining characteristics that top-tier videos tend to follow.
Clarity Over Jargon
While it’s tempting to demonstrate expertise with complex language, simplicity wins in client communication. The goal is to educate, not overwhelm. Good finance explainer videos use relatable metaphors, plain English, and clean visuals to explain processes or services.
Regulatory Compliance
UK financial marketing is subject to FCA regulations. Any explainer video must ensure transparency, avoid misleading claims, and include necessary disclaimers where appropriate.
Branding Consistency
Visuals, tone, and messaging should reflect your brand’s personality whether it’s a friendly fintech startup or a legacy wealth management firm. Consistent branding builds recognition and trust.
Storytelling Structure
Every effective video follows a story arc: the problem, the solution, how it works, and the benefit. When explainer videos finance industry players produce follow this format, they guide viewers through the message effortlessly.
Types of Finance Topics Explainer Videos Can Simplify
Across the finance industry, explainer videos can be used to untangle a wide range of topics, including:
- Loan or mortgage application processes
- Retirement and pension planning
- Investment strategies and risk levels
- Mobile banking and app tutorials
- Cryptocurrency fundamentals
- Insurance product breakdowns
- Corporate finance services and B2B offerings
Each of these areas is filled with opportunities to educate customers visually and boost engagement while reducing dependency on long brochures, user manuals, or lengthy consultations.
Use Cases of Explainer Videos in the UK Finance Industry
Let’s explore how different segments of the finance sector in the UK are using explainer videos to their advantage.
1. Fintech Startups
New players in the financial space often have the hardest time explaining what they do. Whether it’s AI-driven investing or peer-to-peer lending, new technology means new explanations. Fintech startups are leveraging animated explainer videos on homepages and landing pages to introduce their tools, show value quickly, and drive sign-ups.
2. High Street Banks
Legacy institutions such as Barclays, Lloyds, and HSBC use explainer videos for customer education. Topics include fraud prevention tips, mobile banking tutorials, and financial literacy campaigns offering value while reinforcing brand authority.
3. Investment and Wealth Management Firms
These companies use explainer videos to clarify long-term value propositions, investment plans, and risk models. It’s a great way to reduce the intimidation factor often associated with wealth planning.
4. Insurance Providers
Insurance can be a hard sell it’s something people don’t want to think about until they need it. Explainer videos that walk users through claim processes, plan types, or coverage comparisons help increase conversions and build trust.
In all of these cases, explainer videos finance industry specialists deploy serve as critical assets in customer acquisition and retention.
How Explainer Videos Boost Engagement
Engagement is about connection, and connection begins with understanding. Here’s why explainer videos are so good at holding attention and encouraging action:
They Match Digital Consumption Habits
Most UK consumers prefer video content over reading blocks of text, especially on mobile devices. A 60–90 second video can deliver more impact than a ten-paragraph article when trying to explain how a new savings account works.
They Are Easy to Share
Finance videos that explain something clearly are often shared in personal conversations, over social media, or even within companies. This creates organic reach and brand awareness.
They Aid Decision-Making
Explainer videos can reduce the number of questions a prospective customer might have. This shortens the sales cycle and builds confidence, especially with higher-stakes services like loans or investments.
They Increase Retention
According to studies, viewers retain up to 95% of a message when it’s delivered via video. That’s a significant leap from traditional text-based communication, and another reason why explainer videos finance industry professionals use are gaining traction fast.
Case Studies: Explainer Videos That Work
Monzo
This digital bank uses playful animations and simple characters to explain how overdrafts, spending tracking, and savings pots work. Their videos often match the app’s UI and feel approachable, helping younger users feel in control of their finances.
Nutmeg
A UK-based investment platform, Nutmeg uses minimalistic animations to walk users through concepts like diversification, portfolio management, and risk. Their explainer videos simplify intimidating topics without sounding condescending.
PensionBee
PensionBee’s explainer videos guide viewers through the often-confusing pension transfer process. These visuals break down steps clearly and create reassurance for customers who are new to retirement planning.
These real-world examples show how explainer videos finance industry leaders use can turn complex products into something intuitive, even memorable.
Steps to Create an Effective Finance Explainer Video
Here’s how to build a finance-focused explainer video that engages, informs, and converts:
Step 1: Define Your Goal
What do you want viewers to do after watching sign up, understand a service, book a call? This goal shapes the script, visuals, and tone.
Step 2: Write the Script
Keep it under 200 words for a 90-second video. Start with a real-world problem, introduce your product or concept, and clearly highlight the benefit.
Step 3: Choose a Style
Common styles include:
- Animated explainer (2D or motion graphics)
- Whiteboard illustration
- Screen-record with voiceover
- Live-action with actors or employees
Step 4: Use Professional Voice and Music
A polished British voiceover paired with background music adds professionalism and aligns with UK audience expectations.
Step 5: Optimize for Multiple Channels
Your video should work on your website, YouTube, LinkedIn, email campaigns, and even digital ads. Tailor versions for each.
Common Mistakes to Avoid
Even a good idea can fall flat if the execution is poor. Watch out for these pitfalls:
- Using too much jargon or technical language
- Making the video too long (keep under 2 minutes)
- Prioritizing style over clarity
- Not including a call to action
- Skipping compliance checks (especially with financial claims)
Avoiding these mistakes ensures your explainer videos clients see are not just pretty but powerful.
Future of Explainer Videos in the Finance Industry
With AI, data visualization, and personalized content on the rise, the future of explainer videos in finance looks promising. UK firms may soon integrate:
- Interactive explainer videos (choose-your-path formats)
- Real-time data-fed visuals (e.g., investment returns)
- Multilingual versions for inclusive financial education
- VR/AR-enhanced walkthroughs of apps or services
As customer expectations rise, companies that invest in smart, human-centered communication will stand out.
Final Thoughts
In the finance industry, where trust, precision, and clarity are non-negotiable, explainer videos have carved a vital niche. Especially in the UK, where consumers expect digital fluency from their service providers, investing in quality video content is no longer optional.
The best explainer videos finance industry leaders develop don’t just simplify they empower. They help viewers understand how to manage money, build wealth, or protect their future. And they do it in a way that’s modern, engaging, and accessible.
Whether you’re a fintech disruptor or a legacy bank looking to modernize, explainer videos could be your strongest ally in turning complexity into confidence.
