If you’re planning to create a huge marketing asset like an explainer video, surely you will wonder how much does an explainer video cost? Let’s explore it!
If you’re planning to create a huge marketing asset like an explainer video, surely you will wonder how much does an explainer video cost. Let’s explore it!
We recommend you take this VidiFit quiz and get a clear pricing range for your next video project.
An explainer video costs anywhere between $10,000 and $18,000. But that doesn’t explain the cost, does it?
If you plan to create a huge marketing asset like an explainer video, you’ll want to ensure you have the budget and something you can reflect on to measure the ROI of every dollar you put into it.
Considering that, the first thing that comes to mind is the investment required to produce one that meets your industry standards. But as you can imagine, explainer video production has no set price.
Also, several factors can affect the cost of explainer video production. These factors can help you better understand how much you should budget for animation explainer videos in our times.
In this article, you will discover how much you should budget to produce a quality explainer video. We will also explain the factors that go into setting the prices and how the process of producing these videos is worth the cost.
| Explainer Video Production Cost Estimation In 2023 | |||
| Explainer Video Type | Video Length | Include Script | Cost Estimation |
| Animated Explainer | 90 seconds or + | Yes. | $11,180 – $17,560 |
| 90 seconds or + | No. | $11,440 – $17,980 | |
| Live-action Explainer | 90 seconds or + | Yes. | $10,200 – $12,460 |
| 90 seconds or + | No. | $9,910 – $12,110 | |
Note: We used VidiFit to identify these cost margins. It is a video production cost estimator. It lets you choose the type of video you want and the specifics on which you want it to be produced. Then it deducts the right cost margin you should budget. Get your estimate now.
As per data from VidiFit, a good quality 90-second animated explainer video, you can expect costs between $11,180 and $17,980. You should expect costs between $10,200 and $12,460 for a live-action explainer video.
The average price range for explainer videos is between $10,200 and $17,560.
However, it would be best to consider the main video production factors driving the cost of producing explainer videos.
The type of explainer video you want to produce is the first factor determining its production cost. An explainer video can be stock footage, live-action, or animation; production costs will vary accordingly.
In general, animated videos require much more work than live-action videos and are more expensive. It is essential to understand that the camera does most of the work with live-action video. In a way, it is all about recording and editing the video.
However, an animated explainer video requires a slightly more meticulous process and more creativity. Animation designers and other video production professionals produce these videos from scratch.
Unlike stock footage, they first design graphic elements driven by shapes, characters, environments, etc., and then animate them to create the animation video, which affects the production costs.
The length of an explainer video largely determines the cost of its production. As you can imagine, the shorter the video, the cheaper it is—and the longer the video, the higher the cost.
The idea is to produce videos that are 60 seconds long or around. Video marketing statistics show that these videos have the same results as longer videos.
Also, in light of the human attention span that’s constantly shrinking, short videos are better, may it be live or animation.
The platform on which you intend to publish the live-action or animated video may not directly impact the cost of the output of the video. However, it helps producers to define the best format and specifications to achieve the perfect video for optimum results.
As a result, video production companies consider the target platform when setting the production cost. Think about it: a video intended to be broadcast on TV and one meant to be shown on social platforms can have different production standards.
Typically, writing the video script is an integral part of the explainer video production, and video production companies will set the explainer video cost, taking into account the script.
But if you can better describe your product to your audience, you can use your own script. The video production company has no reason to charge for the script in this case. Therefore, you will end up spending less on the video production.
Studio script writing costs between $250 and $2,500, so it can be an excellent way to cut the explainer video cost if you can write the script.
The project scope will also determine how the production company charges the production cost. A customer who buys products in bulk and one who buys a single unit will be charged a different price. The same rule applies to video production.
Explainer video costs will vary depending on whether you want a one-time video, a project (i.e., producing multiple videos as part of a campaign), or a retainer subscription—you’ll need regular production as part of a consistent content marketing strategy.
The idea is that the more videos you ask the company to produce, the more flexible they can be on video production costs.
A video production company’s portfolio can also impact the explainer video’s cost. It’s just like with any service; you set the price based on the experience and quality of the promised result.
So a company that produces videos for brands like Amazon, Apple, Shopify, or Google may have higher prices than other companies in the industry.
Another thing to remember is that the company may set prices based on the quality of the video production tools they work with.
For example, there are different kinds of cameras delivering different video qualities. Undoubtedly, the best quality cameras are the most expensive, and a company that works with such tools may charge more than the norm.
Ideally, the company also invests in getting a quality video you will like, so it tries to quote the production cost accordingly.
The explainer video production process and the required equipment can also give you a better understanding of how much does an explainer video cost.
Here is an overview of the explainer video production process to make sense of its cost.
The best way to make an excellent live-action explainer video is to take the time to understand what features matter to your audience and how to highlight them best. That’s why conducting research and interviews with clients to understand the product is essential.
In animated explainer videos, it is essential to understand the product so that the visual and audio elements can complement each other and effectively communicate the target message.
Your research at this stage will also determine many variables, such as the ideal video length, the best format to rock the audience, the right vertical for the script, sound, voiceover, etc.
The script is the storyline and narrative used in your explainer video. Developing a good explainer video script requires expertise and product experience. The video production team will research your product, audience, and industry before achieving a quality script.
If you, as the client, provide a script, this section won’t matter, resulting in a lower production cost. But it’s always best to let the video production company produce the script.
They usually have experts who can craft unique stories and break down your product into powerful scripts that captivate the audience.
Whether it’s an animated explainer video or a live-action one, video professionals take the time to hand sketch everything that will happen in the video.
Technically, they paint the video on a paper or board. The storyboard will include the characters, environments, objects, and everything else that needs to go into the video and, most importantly, “how” they go in.
It only applies to live-action explainer videos, and it is time-consuming. At this stage, the production team will prepare the setting for the shooting.
This stage may include choosing a location and installing video production equipment like cameras, props, lighting tools, reflectors, microphones, etc.
It applies to both live-action and animated explainer videos.
Characters in your live-action explainer video should be actual people. If you prefer, you or your employees can be the actors in your video. But it’s always best to shoot for a professional video. We always recommend hiring professional actors to nail the scenes for you.
For an animated explainer, while you may not need actors to perform in animation videos, you might need to hire someone to record the voiceover and choose background music or suitable sound for the animation.
It is the stage where the video is actually produced.
Editing is the last stage, where the production team combines all the elements into an explainer video you’ll use for your marketing activities.
For example, the animation team will add sound effects, attach the audio or voice over to the video, and do all the tweaking the video needs to be ready.
Nailing this stage might include paying for and using video editing and production software like Adobe Illustrator, Biteable, Vyond, and the like.
The production team will likely let you weigh in at this stage so they can use your insights to make the video exactly what you want.
Are there different pricing models for explainer videos?
Yes, pricing models can include fixed, hourly, or per-second rates, so technically, you will pay depending on the service you prefer. Some studios offer package deals.
When considering which pricing model to choose, it’s essential to discuss your project’s specific requirements and budget with the video production company to determine the best approach for your needs.
How can I ensure I get a quality explainer video within my budget?
To ensure you get a high-quality video with the money you will invest, be clear about your goals, provide detailed guidelines, and choose a reputable studio that aligns with your budget and expectations.
Remember that whiteboard videos, stock footage, animation, and more costs can vary widely, so discussing your specific needs and budget with potential video production companies to get accurate quotes is essential.
Pricing may vary depending on your video’s specs. Therefore, it is essential to make sure that you define the specifics of the explainer video you want to be sure of the correct price range you should consider. That’s why you need a tool like VidiFit.
VidiFit allows you to choose the attributes you need for your explainer video and deduces the exact margin for production cost. Try it now.
