Do you have a product/service that is innovative but has complex features? If yes, then you might be worried about how to build a value proposition for it in the mind of the consumers, right?
Well, If that’s the case, Don’t stress yourself out as there is an easy solution for it. Just use explainer videos to help your target audience understand your product or service!
Now, what is an explainer video?
An explainer video is a short video made to educate or help your audience digest complex ideas in a concise and simple manner. Video marketing has become a trend nowadays and other mediums such as blogs, newspapers, and print media are gaining less traction.
Video marketing is on such a rise that 76% of marketers claim that it increased their website traffic and 80% of them believe that it increases the time spent by users on their site.
Determining the price of an explainer video is not a straightforward task. There are a lot of factors involved in calculating the price of such a video. These are the factors that can make or break your budget when making an explainer video.
Factors That Affect Cost of Explainer Video
1. Types of Explainer Video
We will be discussing three types of explainer videos
2D animation is a common trend in the explainer video industry. On average it can cost around $7972 for a 60-second video. 2D animation price ranges from $700 to $70,000 at max. Using 3D animation can make the cost go higher so using it without any specific reason should be avoided to cut costs.
This format portrays authenticity and humanity by using humans in their videos. For making a highly impactful live-action video, it is recommended that you spend at least $5000 on it.
- App Preview:
For creating a 30-second app preview video, the price can range from a mere $200 to a humongous $18000. This format is cheaper as compared to the animated explainer video/live-action video because they include almost little to no animations as these videos are a direct demonstration of what their product can do.
2. Content Duration
The first minute of an animation video costs the most as it requires creating characters, props, and background from scratch. However, the second minute and the ones after that won’t cost the same as the first minute as the elements needed for the video have already been created.
3. Complexity of the Topic
The amount of research required on the topic can also influence the price of the video. The more complex a topic is, the greater would be the time spent on it to first understand and then deliver it in a clear and concise way.
4. Number of Revisions
Companies that make explainer videos have determined in advance a fixed number of correction loops. The additional revisions are charged separately so you need to account these into your price budget.
5. Types of Pricing Options
There are 4 pricing options categorized on the basis of value and professionalism they offer where the cost goes up as these two factors increase in magnitude. An explainer video’s cost can range from $19 to a whopping $50,000.
How To Get An Explainer Video?
DIY Video Creation
Though it is the cheapest option, there are several cons to it.
- Limited options to customize and there may be ownership ambiguity as those templates do not fully belong to you.
- Quality suffers and time-consuming process as you’re not a professional video maker.
Freelance Gig-Based Video Creation
This option includes finding freelancers through platforms like Up Work or Fiverr and it is an economical choice. Their price ranges from $300-$800. You can get your work done faster by paying them some extra bucks so speed can be controlled.
The cons associated with this choice include
- There is a jack of all trade situation as the individual freelancer does all the work by himself. Contrary to it, a video production house excels because there are multiple experts who are appointed for specific aspects of video production.
- Only a few freelancers bring the expertise needed to ensure that your video is goal-directed and is delivering the right message.
Low Tier Video Providers
They are low-cost explainer video companies that charge between $5k-$35k depending upon your needs. These companies can turnaround videos faster as they use pre-existing templates for you rather than a fully customized experience.
The cons associated with them are these templates can’t be tailored specifically towards your brand which makes it generic and non-branded.
Mid to High Tier Video Production Companies
These companies stay in the loop with you to create fully customized explainer videos for your brand. Except for the con of a higher price range, there are so many pros towards choosing them to make an explainer video.
- Video is 100% customized and tailored to your brand and values
- These professionals take the time to understand your product and brand, so they make an in-depth, research-based video for you.
- They offer you several opportunities to offer feedback at different stages
- These companies have the knack to produce stunning results like driving huge conversions and bringing enormous traffic to your site.
Some Final Thoughts
You might have realized all the different factors that contribute to an explainer video’s cost. Knowing them is essential so that you only spend on the ones that are truly required and stay away from any unnecessary fashion frenzy elements.
If you still have any queries regarding the cost of an explainer video, feel free to contact us or avail of our free consultation because we are here for your support.
Good luck with making an explainer video, we wish you lots of luck and success.