What’s the Cost of an Explainer Video? Determining the cost of an explainer video isn’t straightforward. The price can vary significantly based on a range of factors such as the complexity of the video, the experience of the video maker, and the specific requirements of your project. It also depends on whether you opt for a high-quality, fully customized video or a more basic one.
To give you a clearer picture of explainer video pricing, we carried out an in-depth survey, evaluating the rates and work of over 50 explainer video agencies, 30 freelancers, 12 online video-making tools, and 30 marketing agencies.
In our analysis, we paid special attention to:
- Production Quality
- Content Customization
- Video Length
- Style Choices
- Revisions and Updates
And guess what? We uncovered some fascinating insights.
Do you want to know all the details about these discoveries? Keep reading this blog to uncover the surprising trends and key takeaways from our research. You might find something that changes the way you think about video production costs.
Explainer Video Cost Breakdown
The cost of an explainer video can vary, and it’s important to understand how it’s broken down. The cost is typically divided into four main stages: pre-production, production, post-production, and additional expenses. Each stage, from concept development and scripting to animation, voiceover, and final editing, contributes to the overall cost of the video.
| Cost Category | Details |
|---|---|
| Pre-Production Costs | |
| Concept Development | Brainstorming, research, and creativity to develop the concept and script for the video. |
| Storyboarding | Creating a visual storyboard outlining scenes, transitions, and actions in the video. |
| Voiceover Script | Developing a script specifically for the voiceover narration. |
| Production Costs | |
| Animation or Filming | Creating the video content, whether animated, filmed live-action, or a combination of both. |
| Character Design and Development | Designing and creating characters that appear in the video. |
| Asset Creation | Creating or sourcing additional visual elements, backgrounds, props, or illustrations. |
| Music and Sound Effects | Licensing or creating original music and sound effects to complement the video. |
| Voiceover Recording | Hiring professional voiceover artists and recording their narration for the video. |
| Post-Production Costs | |
| Video Editing | Assembling and arranging video footage or animation, including transitions, effects, and graphics. |
| Sound Editing and Mixing | Enhancing audio quality, adjusting volume levels, and balancing music, voiceover, and sound effects. |
| Revisions and Changes | Incorporating feedback and making revisions to the video content, visuals, or audio. |
| Additional Costs | |
| Licensing and Copyright | Acquiring necessary licenses for music, stock footage, or visual assets used in the video. |
| Hiring a Professional vs. DIY | Considering the cost of hiring professionals for high-quality animation vs. doing it yourself. |
A Complete, In-Depth Overview: How Much Does An Explainer Video Cost?
When it comes to determining the cost of an explainer video, you have four main options to consider. Each path offers different pricing ranges and levels of service, allowing you to choose the one that best fits your budget and project needs.
1. Online Video Makers:
This is one of the most affordable options available. Online platforms that offer video-making tools typically cost anywhere from $50 to $500. These tools are user-friendly, and designed for those who want to create their explainer videos quickly and with minimal effort. However, keep in mind that while the cost is low, the quality and customization might be limited compared to other options.
2. Freelancers:
If you’re looking for more flexibility and a personal touch, hiring a freelancer might be the right choice. Freelancer rates can vary widely based on their experience, expertise, and the complexity of the project. The price range for freelancers can fall anywhere between $500 and $5,000, depending on factors such as video length, style, and content customization. With freelancers, you can often get more tailored solutions than with online video makers, but the variability in pricing can make it tricky to estimate your total cost upfront.
3. Explainer Video Companies:
For a well-rounded, professional video, we highly recommend hiring an explainer video company. This option typically costs between $2,000 and $5,000 for a complete video production. This price range generally includes a full-service approach, from concept and scripting to animation and final edits. By hiring a specialized video production company, you can expect high-quality production, custom visuals, and a more refined result. You also gain access to a team of professionals who will handle all the creative and technical aspects, ensuring the final product aligns with your brand and message.
4. Marketing Agencies:
If you have a significantly larger budget and are looking for a complete marketing strategy along with your explainer video, a marketing agency might be your choice. However, be prepared for a steep price tag, ranging from $15,000 to $100,000. This option includes not only the creation of your explainer video but also strategic input, branding, marketing, and a highly polished video designed for maximum impact. Marketing agencies typically offer a full-service approach, making them ideal for large companies or high-budget projects that require top-tier results.
So, which option should you choose? The decision ultimately depends on your budget, project requirements, and the level of customization and quality you’re aiming for. Each option comes with its own pros and cons, so take your time to evaluate which one suits your needs best. However, before you rush into a decision, it’s essential to fully understand the implications of each option.
Keep reading our blog to gain deeper insights into the different pricing models for explainer videos. We’ll help you navigate the cost structures and make an informed decision that’s right for you and your business.
How to Find the Right Cost of an Explainer Video for Your Business Needs
When it comes to video production, asking about the cost upfront is crucial. Why? Because, let’s face it, everyone is protective of their hard-earned money. But here’s the thing: the cost of an explainer video isn’t straightforward. There are numerous factors involved in determining the final price. This may seem like I’m avoiding the question, but trust me, I’m not trying to hide anything. Stick with me for a moment.
If you were to ask, “How much does an explainer video cost?” you’ll likely receive a vague answer. It’s similar to asking, “How much does a smartphone cost?” You’ll probably hear something like, “Anywhere from $500 to several hundred thousand dollars.”
That’s not the detailed response you’re after, right?
Just like buying a smartphone, you need a lot more specifics. What’s the resolution? What’s the battery life like? How good is the camera?
These are just a few questions to consider when searching for a precise price. While these details do matter, there’s one key question that holds the most weight when it comes to pricing an explainer video: What level of quality are you looking for, and what’s your vision for the final result?
This is where the biggest differences come into play. The scope of your project, the level of customization, the style of animation, and how much time is required to complete it all these elements influence the final cost. It’s all about how you want your video to reflect your brand and message. So, instead of focusing solely on a number, think about the impact you want your video to have.
Does it fall within my budget and align with my business objectives?
To get a clearer idea of the cost of your explainer video, consider these important questions:
- What is your budget? Understanding your financial boundaries will help determine which options are feasible for your video. It sets a foundation for your expectations and allows you to explore the most suitable options.
- What key message or information needs to be communicated? A clear, focused message will help shape the video’s script and design. The more specific the message, the more efficient and targeted the video will be in achieving its goals.
- How long should the explainer video be? The length of the video impacts both the cost and the level of detail. A short, concise video may cost less, while a longer one could require more effort and creativity.
- What visual style do you want for the video? (e.g., animation, live-action, whiteboard, etc.) The style of your explainer video greatly influences production costs. More complex styles, like 3D animation or custom live-action footage, may cost more than simple 2D animation or whiteboard videos.
- Do you need different versions for multiple platforms (e.g., social media, landing pages, presentations)? Customizing the video for various platforms increases both production time and cost. Each platform may require unique adjustments to size, format, and design to ensure maximum impact.
- What’s your deadline for completion? Tight deadlines may require faster turnaround times, which could result in higher costs. Longer timelines often allow for a more detailed, polished product at a lower cost.
- Do you need multiple videos, and if so, should each one have a unique style? If you’re creating a series of videos, consider whether each one should have a distinct look or whether they can share a consistent style. Custom styles for each video will increase costs.
- Will you require a marketing strategy to promote the video? Having a marketing plan tied to the video adds another layer of strategy and cost. This could involve SEO, paid ads, and social media promotions to ensure the video reaches its intended audience.
By answering these questions thoughtfully, you’ll be able to get a much more precise cost estimate and understand the overall scope of your explainer video project. It will also help you set realistic expectations for the final product and its delivery, ultimately ensuring that your project stays on track and within your budget.
The Four Options for Making an Explainer Video: Pricing Plans, Solutions, and Key Considerations
You have several options to choose from when deciding on the production of your explainer video.
To help you make an informed decision, I will break down each option in detail, so you can easily understand the benefits of each and determine which one is the best fit for your brand. This way, you can select the option that aligns with your budget, goals, and overall vision. By understanding the differences, you’ll be better equipped to make a choice that brings your brand’s message to life effectively.
Option 1: Create Your Custom Explainer Video Online Easily and Affordably ($50 – $500)
One option to consider is using online video-making software. While it’s a feasible choice, it comes with its limitations. This method is best suited for a solo entrepreneur with limited funds but plenty of time to invest. You’ll need time to work through the platform’s tools, as although they offer simple video editing features and stock footage, you’ll still need to write your script and figure out how to creatively deliver your message.
The results often look professional to non-experts but may fall short for a more discerning audience. Unlike those generic “anniversary celebration” videos on social media, which simply insert personal photos into preset templates, using an online platform gives you some creative control.
However, it’s unlikely that you’ll end up with content perfectly suited to your brand or marketing strategy. That said, you can still personalize the video to an extent by adjusting fonts, text animations, and color schemes.
While it’s a viable option, it’s not the best if you’re aiming for a fully customized, high-quality video. If budget constraints are your concern, it’s a solid solution, as long as you’re prepared to dedicate time to script development, concept testing, and platform experimentation.
Here are some popular online video makers you can try out:
- Animaker
- Biteable
- Moovly
- Rocketium
- Spark
- Animatron
- Animoto
- Wideo
- Renderforest
- Motionden
Option 2: Work with a Skilled Freelance Professional Expert (Variable Costs)
The second alternative is another potential option, but it’s best suited for exceptional situations. It might work in specific cases where your needs are limited, but it’s not the most efficient choice for larger video projects.
While hiring freelancers may seem like a viable choice for creating part of your video, there are more effective routes. Freelancers often need help with providing a consistent experience, which can lead to issues with the final product.
You might be asking, “Why should I avoid hiring freelancers for my video project?” The challenges of working with freelancers extend far beyond the financial aspect, and they may end up complicating your video production process. For starters, freelancers often cost significantly more than working with a professional video production company or an agency. The higher rates are typically justified by the need to juggle multiple tasks at once and the lack of a stable team to rely on.
Freelancers can charge up to four times more for the same service. While they offer flexibility, the pricing disparity can make the overall project more expensive than you anticipated, impacting your budget. Freelancers are usually working on a project-to-project basis, so their income can be inconsistent, and even top talent may go weeks or months without steady work. This lack of stability may affect their commitment to your project and lead to delays or quality issues.
In addition, there are several challenges when working with freelancers, such as chasing down payments, dealing with clients who refuse to pay, and sometimes having to take legal action to recover funds. Freelancers may only sometimes have the infrastructure in place to handle these disputes efficiently.
Freelancing also comes with other complications like:
- Finding and hiring the right talent
- Ensuring everyone is on the same page
- Coordinating schedules
If you believe you have the necessary skills and, more importantly, the patience this might be an option for you. But if not, it could quickly become a frustrating and costly process, adding more stress than it’s worth.
Here are some popular platforms for hiring explainer video creators:
- Upwork
- Fiverr
- Freelancer
- Guru
- Videopixie
- PeoplePerHour
Option 3: Partner with a Professional Explainer Video Production Company Efficiently ($2,000 – $5,000)
Imagine a scenario where your entire explainer video is meticulously created just for your company, capturing the essence of your brand and delivering the exact message you want to communicate. This bespoke approach ensures your video stands out, leaving a lasting impression on your audience.
That’s exactly what your third option offers a full-service experience that takes you from initial consultation to the final polished product. Earlier, I mentioned the challenges of working with freelancers, but when you choose an explainer video production company, many of those issues are avoided.
With a professional video production company, you’ll have access to a portfolio that allows you to assess the quality of work they produce. This gives you a clear idea of what to expect for your project.
You’ll also benefit from a team of experts working together to create the best possible result. Instead of handling everything on your own, the company takes care of the heavy lifting. You’ll have a project manager who’s dedicated to your video, making it easy to stay in the loop and ensure everything aligns with your vision. You can trust that your brand will be accurately represented throughout the production process, with the final video reflecting its essence in the best possible light.
For most businesses looking to invest in an explainer video, this is the most cost-effective solution. Not only will you receive an outstanding video, but you’ll also be able to promote it at a reasonable price, maximizing the return on your investment.
Option 4: Engage a Leading Marketing Agency for Complete Full-Service Solutions Globally ($15,000 – $100,000)
The key distinction between this option and option 3 is that you’ll not only be getting video production services but also a complete team dedicated to creating a powerful video marketing strategy tailored to your business. This holistic approach ensures that your video isn’t just made but also positioned to achieve measurable success. They’ll focus on helping you maximize your ROI through the explainer video.
However, there’s a catch any idea what it is?
Often, these agencies are not the ones creating the video. In many cases, they outsource the production process to video production companies like ours. This typically happens when the agency is overloaded with work or lacks specific expertise in certain video styles. While this is a common practice, it’s important to understand the implications for your project’s timeline and quality.
But here’s the truth this happens more frequently than you might think
So, you may wonder, “Why should I choose this option when I could save money and go directly to a video production company?”
The answer is simple the added benefits of video marketing. Agencies that specialize in video marketing can offer insights and strategies to make your video more than just a visual asset but a key part of your larger marketing efforts.
It’s challenging to find companies that not only produce explainer videos but also offer comprehensive video marketing services to ensure the video’s success. These services are designed to enhance the reach, impact, and overall effectiveness of your content.
We’re here to offer that solution.
At Animotions Studio, we are not just an explainer video company we are video strategists. We don’t just create engaging explainer videos we design a foolproof plan to ensure the success of your video in reaching your business goals and driving measurable results.
Take a look at one of our incredible creations here:
Now that you’re familiar with your four options, you should have a clearer understanding of which one best fits your brand’s needs. To wrap up, I’d like to touch on a few additional points that can help guide you in making the best decision for your brand’s success.
The Explainer Video Cost Per Minute: A Complete In-depth and Complete Analysis Guide
We all know that one of the most important pricing factors in video production is the length of the video. It’s a common question how long should your video be? The length will play a significant role in determining the overall cost, so it’s essential to establish the ideal duration before diving into the production process.
Now, let’s talk about the cost of an explainer video
There’s a key principle here that you need to understand: shorter videos often cost more. The shorter the video, the higher the cost per second, as every second still requires significant effort and resources.
Here’s why
When creating a 15-second video, you’re still required to do the same amount of work brand research, designing the video style, developing the concept, and creating the story. This means you’re putting in just as much effort as you would for a longer video, but over a much shorter duration, which can make it seem more expensive per second.
On the other hand, longer videos tend to be less expensive. This is because much of the concept and research work has already been done, and the primary expense becomes the production itself, which typically offers economies of scale.
Pricing of a 30-second explainer video Production Cost
A high-quality animated explainer video with a 30-second duration typically ranges from $2,000 to $4,500, depending on factors like the animation style and the number of revisions needed. If you’re working with a tight budget, it’s advisable to opt for traditional animation instead of 3D animation, as it tends to be more affordable. Traditional animation also offers a wide range of creative possibilities, and can still deliver a professional, engaging result. Additionally, it’s a great choice if you need a faster turnaround time, as the production process for traditional animation can be more efficient compared to 3D. By choosing traditional animation, you can maximize your budget without sacrificing quality.
Pricing of a 60-second (1-minute) explainer video Production Cost
The cost of creating a one-minute custom explainer video varies based on the nature, style, and complexity of your project, ranging from $3,500 to $5,500. For lower-quality videos, you may find options from online video makers or freelancers starting at $500 to $2,500, though these are typically less polished and may lack the tailored approach and professional quality. While these budget-friendly options may seem tempting, they often result in generic content that doesn’t fully align with your brand. Investing in a higher-quality custom video ensures that you get a unique, engaging, and effective video that accurately represents your business.
Pricing of 90-second explainer video Production Cost
Animation production costs per second tend to be lower for longer videos. For instance, an animated explainer video with a runtime of 90 seconds typically costs between $4,200 and $5,500. However, videos longer than two minutes can risk losing effectiveness if not produced with a high level of professionalism. For videos exceeding one minute, it’s crucial to take extra care to ensure the content remains engaging, impactful, and well-executed to avoid diminishing its value. Overly long videos may lead to viewer fatigue, causing your message to lose its impact if not structured thoughtfully. Therefore, balancing length and quality is key to keeping your audience engaged and delivering your message effectively.
How Video Style Affects Overall Video Production Cost and Quality?
The cost of a 3D explainer video largely depends on the energy, effort, and time required to create the necessary assets. Creating assets for 3D videos is a challenging and complex process, as adding an extra dimension increases both time and financial investment at every stage.
Even the final rendering can take days to complete. For this reason, opting for simpler video styles like 2D motion graphics is often more cost-effective. To enhance your video without the heavy investment, you can incorporate a few 3D elements into a primarily 2D video. This approach is both time-efficient and cost-effective, providing a good balance of visual appeal and practicality. By focusing on essential visuals and sparing 3D elements, you can maintain a high-quality result while managing production costs and time constraints effectively.
Live-Action Video Production Cost vs. Animated Explainer Video Cost Analysis and Comparison
The cost of video production can range anywhere from $500 to $90,000, with no clear-cut winner or loser in this comparison. The key factor influencing the price is the style and quality of production, especially when it comes to animation. If you’re unsure about which style to choose, start by considering your video’s objectives, budget, and the platforms where it will be featured.
If your budget is very tight, you can always resort to recording your video with a mobile phone or creating a screencast with your own narration. In this case, it’s better to have something over nothing, but ensure it remains professional and addresses any potential questions from your audience.
For those with a budget under $5,000, opting for an animated video is a great way to get a high-quality, customized result at an affordable price. Additionally, animated videos are highly versatile and can effectively convey complex messages in a simple, engaging way. Keep in mind that animation offers flexibility in style, making it an ideal option for a wide range of industries. With a strategic approach, even a modest budget can yield an impactful video that enhances your brand’s messaging.
Cost of Animated Explainer Video Production and Key Factors Affecting Pricing
Animators frequently use both 2D and 3D animation techniques for explainer videos, but the cost can vary significantly depending on the technique chosen. 2D animation is generally more affordable due to its simplicity and quicker production time. In contrast, 3D animation involves more intricate processes and can be more expensive because of the added complexity and longer production periods.
1. How much does a 2D animated explainer video cost?
The cost of a one-minute 2D animation explainer video typically ranges from $4500 to $9500, depending on its complexity. For each additional minute, the price usually drops between $3500 and $4000. If you’re looking for a custom, unique video, a budget of around $5500 is a good starting point. Keep in mind that higher-quality animation, advanced features, and more intricate storytelling can increase the overall price. Planning and refining your ideas will help maximize the value of your investment.
2. How much does a 3D animated explainer video cost?
Producing a 60-second 3D animation explainer video can easily exceed $50,000. The price range for 3D animation can vary greatly, with even the smallest details significantly impacting the overall cost. Without a well-defined storyboard or clear project brief, it’s difficult to provide an accurate estimate of the total expense. Keep in mind that specialized techniques, high-quality visuals, and advanced animations will contribute to the higher end of the price spectrum. Therefore, setting a detailed plan in place early on ensures a more precise budget and outcome.
How much does a cheap explainer video cost?
Earlier, we conducted an in-depth study based on extensive research into affordable explainers or corporate videos, which you can find here.
In general, it’s important to understand that an inexpensive explainer video can cost anywhere from $5 to $1500, but the return on investment (ROI) may negatively impact your brand and your time. Remember, with video production, you truly get what you pay for.
Cheap videos may save you money upfront, but they often lack the quality, creativity, and professional touch needed to effectively communicate your message. This could lead to a negative perception of your brand, making it harder to connect with your audience. Investing in quality, on the other hand, will pay off in the long run, offering higher engagement and better conversion rates.
Budgeting for an Animated Explainer Video
When planning the budget for an animated explainer video, it’s crucial to factor in not just the initial production expenses but also the long-term value and return on investment (ROI) it can generate. Among the 93% of marketers who use video, 59% incorporate animated videos into their strategies. A high-quality explainer video has the potential to elevate your marketing initiatives, enhance customer comprehension, and ultimately boost sales and revenue.
Here are some important points to consider when budgeting for an animated explainer video:
| Step | Description |
|---|---|
| 1. Determine Your Goals and Objectives | Before setting a budget, clearly define what you want to achieve with your explainer video. Are you educating customers about a new product, simplifying a complex concept, or telling a brand story? Understanding your objectives will help prioritize essential elements and allocate your budget effectively. |
| 2. Consider Your Target Audience | Your audience plays a key role in shaping the style, tone, and approach of your explainer video. Understanding their demographics, preferences, and familiarity with your product or service ensures that your video resonates with them and delivers the desired impact. |
| 3. Evaluate the Potential Return on Investment (ROI) | While an animated explainer video requires an initial investment, consider the potential long-term benefits. 73% of users purchase after watching an explainer video, and 52% of marketers believe video content offers the best ROI. A well-executed video can boost website traffic, generate leads, and increase conversions, ultimately driving revenue growth. |
| 4. Explore Different Production Options | The cost of an animated explainer video varies widely depending on the production company. Explore different options, including freelancers, independent studios, and larger production houses. Compare quotes, services, portfolios, and pricing to ensure the best value for your budget. |
| 5. Allocate Funds for Marketing and Distribution | Consider costs for marketing and distributing your explainer video. This includes social media ads, email campaigns, video hosting and optimization, and other promotional efforts to ensure the video reaches your intended audience. |
| 6. Consider Long-Term Value and Flexibility | While the initial investment may be significant, remember that a well-crafted explainer video can be repurposed for various marketing channels. Use it on your website, social media, trade shows, and more, providing long-term value and flexibility. |
Final Thoughts
We hope this clears up many of the questions you may have about explainer video pricing and why the costs can vary so widely. However, that’s just the beginning. If you’re considering hiring professional explainer video producers, it’s crucial to conduct thorough research. The market is saturated, and finding the right partner can be challenging.
If you’re still looking, we’re here to help! At Animotions Studio, we specialize in creating high-quality explainer videos at an affordable price. Our skilled team of animators and video producers doesn’t just make a video we create a masterpiece designed to help your business stand out in the market. With our expertise, we ensure every video is tailored to your brand’s unique message and goals, delivering exceptional value. Let us help you create your business with an explainer video that resonates with your audience and drives results.
Frequently Asked Questions (FAQ’s)
Why Are Animated Explainer Videos Expensive?
Animated explainer videos can be costly due to several factors that contribute to their creation process. The cost involves:
- Customization: A high-quality animated video requires unique design, characters, and visuals tailored to the brand and message. Customization can be time-consuming and labor-intensive.
- Expertise: Creating an effective explainer video requires skilled professionals, such as animators, scriptwriters, voice actors, and sound designers. Their expertise ensures the video resonates with the audience and conveys the message.
- Production Time: The time invested in each step of the production process concept development, scripting, storyboarding, animation, and sound design adds to the overall cost.
- Software and Tools: High-end animation software and tools are essential for producing top-tier visuals and effects, and they come with a significant cost.
- Revisions and Collaboration: Ensuring the final product meets expectations often involves multiple revisions, client feedback, and approval processes, which can extend the timeline and increase costs.
How Much Does It Cost to Make a 1-Minute Explainer Video?
The cost of a 1-minute animated explainer video typically ranges from $2,000 to $10,000 or more, depending on the complexity of the animation, the style, and the production team’s expertise. Prices may vary based on the type of animation (2D, 3D, motion graphics) and the level of customization required.
How Long Does It Take to Make a 1-Minute Video?
On average, it takes anywhere from 4 to 8 weeks to create a 1-minute explainer video. This timeline includes stages such as:
- Concepting and scripting
- Storyboarding
- Animation
- Voice-over recording and sound design
- Final revisions
Complex projects or intricate designs may take longer, while simpler projects can be completed more quickly.
Is Scriptwriting Included in the Price?
In many cases, scriptwriting is included in the overall price of the video. However, some agencies may offer scriptwriting as an additional service, especially if you already have a script in mind or if extensive research is required for the script. It’s important to clarify this with your video production team during the initial stages of the project.
Do I Need to Pay for Background Music and Sound Effects?
Background music and sound effects are often included in the price of an explainer video, but it depends on the production package you choose. Custom soundtracks or licensed music might be an additional cost. Similarly, specialized sound effects can add to the overall cost, especially if they are tailored to fit the video’s theme or specific brand. Be sure to discuss these elements with your animation studio upfront to avoid any surprises.
