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Cost of Explanatory Videos (2025 Update)

Uncover the expenses involved in animation production, examining costs based on tier levels. Obtain an immediate estimate in a minute using our Video Cost Calculator!

Explore the prices of animation by production tier! Estimate the cost of explainer videos instantly...
Explore the prices of animation by production tier! Estimate the cost of explainer videos instantly within a minute using our Video Cost Calculator!

Cost of Explanatory Videos (2025 Update)

Here is the revised article:

How Much Does an Explainer Video Cost? A Straightforward Guide

If you're trying to figure out the cost of an explainer video, you're not alone. With numerous animation studios out there, explainer video prices can vary significantly. Don't worry! We've got you covered. Read on to discover the average costs based on different pricing tiers - from budget-friendly to high-end.

Curious about explainer video costs? Take a Crack at Our Instant Video Cost Calculator!

Looking for a quick estimation? Try our lightning-fast Video Cost Calculator and get your answers in under a minute!

Table of Contents:

Explainer Video Cost by Pricing Tier

To help you make an informed choice, we'll talk about various pricing tiers, outlining their offerings and impacts on explainer video costs. Let's dive in!

1. Template, DIY Tools, and AI - Explainer Video Cost: $50 - $500

If video content isn't your prime focus and you haven't yet developed a solid video strategy, utilizing explainer video makers, templates, or animation apps can be a smart shortcut. These tools rely on pre-made templates and stock graphics, allowing you to create videos swiftly compared to custom production.

The biggest advantage of using these platforms is affordability. Explainer video prices for templates range from $50 to $500, and some companies even offer monthly subscription services starting at $50 per month. This makes them a suitable option for those on tight budgets.

However, while templates may provide cost savings, they come with setbacks. They're unlikely to reflect your brand's identity, aesthetic, and messaging, often delivering generic, low-quality videos filled with overused content.

Furthermore, even with templates, there's still work to be done. You'll need to devise a concept, write a script, record a voiceover, and customize the template according to your needs - or hire someone for these tasks. So, while templates can significantly cut production costs, they are a limited solution, similar to AI explainer videos.

2. Freelancers - Explainer Video Cost: $1,000 - $3,000

Working with a freelance video producer is another flexible option, providing more customization while keeping explainer video prices in check.

Freelancers usually handle multiple aspects of production themselves, including writing, storyboarding, and animation, making them a practical solution for less complex projects. Because they often work on fewer projects at a time, their services can feel more personalized, which is always a plus when comparing explainer video costs.

It's essential to note that freelance productions may encounter issues related to quality. Since one person is responsible for every aspect of the project, certain details may be overlooked due to limited expertise in specific areas or lack of time to devote to tasks.

While the final product may not match the quality of a video produced by a full-fledged agency, hiring a freelancer can be a fantastic starting point for businesses on a tight budget. To find freelancer options, you can visit sites like Fiverr.

Explainer video prices for freelancer-produced explainer videos typically run from $1,000 to $3,000.

3. Small-Sized Video Companies - Explainer Video Cost: $3,000 - $8,000

Also known as "boutique agencies," small video companies usually work with a lean team but can scale by outsourcing talent when needed. They deliver high-quality, personalized results with a more human touch.

Typical explainer video costs with these agencies usually fall within the mid-range, offering a balance between quality and flexibility. This tier offers solid value in the explainer video price spectrum.

As a drawback, these agencies may struggle to manage multiple projects concurrently, often resulting in longer turnaround times. This could be a concern if you're operating under tight deadlines.

Collaborating with a small video company can equate to excellent work at a reasonable price. Typical explainer video costs for these agencies range from $3,000 to $10,000.

Some companies within this price range include:

  • VCM Interactive ($5,000 per minute)
  • Anideos ($5,000 per minute)
  • Web Design Marvel ($5,000 per minute)

4. Video Production Companies - Explainer Video Cost: $8,000 - $50,000

Partnering with a professional video production company delivers a full-service approach and premium results. This tier of providers typically offers customized content tailored to your brand, audience, and objectives-making it a premium option when considering explainer video prices.

Although explainer video costs are significantly higher for this tier, they reflect the expertise and collaboration behind every project. At this level, explainer video prices cover everything from concept creation to final delivery, ensuring a polished and effective video.

Moreover, these agencies have refined their processes and guidelines over the years, enabling them to consistently deliver projects on time. If time is not a pressing concern, many agencies can even speed up production without sacrificing quality.

In short, collaborating with a video agency can elevate your marketing efforts and deliver results while guaranteeing top-tier quality, expertise, and exceptional service.

Explainer video costs for video production companies can range from $8,000 to $50,000.

Here are some examples of companies in this price range:

  • Yum Yum Videos ($8,000 - $15,000 per minute)
  • Vidico ($10,000 - $25,000 per minute)
  • Demo Duck ($15,000 - $25,000 per minute)
  • Switch Video ($10,000 - $15,000 per minute)
  • Epipheo ($20,000 - $35,000 per minute)

Ready for high-quality video within this price range? Need a real quote tailored to your project's specific needs? Feel free to reach out to us! With more than a decade of experience creating explainer videos for renowned brands like Amazon, Thermofisher, McKesson, Walmart, and more, Yum Yum Videos is the expert explainer video company you're searching for!

Explainer Video Pricing Breakdown

Here's a glance at the average explainer video cost range across the various pricing tiers:

| Quality Level | Average Cost Range ||---------------------|-------------------|| Budget-friendly | $50-$500 || Freelancer | $1,000-$3,000 || Small Producer | $3,000-$8,000 || Video Production | $8,000-$50,000 |

A $8,000 Explainer Video that Raised Over 3 Million Dollars!

To illustrate the power of high-quality explainer video content, we'd like to share an outstanding example. Our very own explainer video company, Yum Yum Videos, created an explainer video for MedVector, which was instrumental in their fundraising efforts. They developed a landing page to gather investors and raise funds, incorporating our video in it. The result? An astounding 55 investors and over 3 million dollars in funds!

As we continue to work with MedVector, they're still raising more funds. We're incredibly proud of this project and the positive impact it had on our client.

Although higher explainer video costs might initially seem daunting, they must be considered an investment. Just take a look at what MedVector achieved with their $8,000 investment!

Key Factors Impacting Explainer Video Costs

Due to the multiple factors influencing explainer video pricing, there's no one-size-fits-all price for explainer videos. These are the key elements that contribute to the overall cost of your video:

1. Provider's Expertise

An experienced video production company has the expertise to convert your unique message into a captivating explainer video that not only aligns with the latest design trends but also resonates with your audience, driving them to take action.

Collaborating with a proficient video production team provides access to a wide array of specialists, all working together to make your vision a reality. From writers and directors to illustrators, animators, voiceover artists, sound designers, and project managers, every expert contributes their skills to bring your vision to life.

A reputable production company guarantees professionalism and efficiency throughout the entire process, giving you peace of mind during every stage of production.

2. Quality

Explainer video prices significantly differ based on the quality of the video. But what exactly constitutes "quality" in the realm of video production? Unfortunately, it's not always straightforward to define.

Quality is determined by several variables that are sometimes subtle and embedded within the production process. Quality can be discerned through clear visuals with smooth animation, a compelling script, clear sound, and a professional voiceover. Quality videos also should demonstrate a strong feeling of cohesion, specifically in terms of messaging, animation, and branding.

While distinguishing between high-quality and lower-quality videos can be a challenge, pay attention to the following features to determine if your video is worth the cost:

  • High-quality videos: Feature crisp visuals with smooth animation, a compelling script, clear sound, and professional voiceovers. The overall aesthetic should also be unique and customized, aligning with the brand's identity and messaging.
  • Low-quality videos: Typically, they display blurry, choppy visuals with a confusing or generic script. They also rely on templates and stock footage, making them feel disconnected from the brand's identity.

3. Video Length

The length of the video strongly influences explainer video costs. Generally, videos range in length between 1 and 3 minutes. Shorter videos require less effort and fewer resources, making them less expensive to produce. It's essential to establish the target duration to help the production studio accurately determine the scope of work and set the explainer video price accordingly.

4. Customization Level

To truly stand out from the competition, your explainer video needs to fully embody your brand's guidelines, core values, and identity. Customization is crucial for this purpose. Collaborating with a creative partner, whether it's a freelancer or a video production company, arms you with additional resources to enrich your initial concept, develop a cohesive storyline, and establish a clear art direction - ensuring a video that truly represents your brand and delivers maximum impact.

However, customizing a video requires significant time, expertise, and effort, which increases the overall cost.

5. Number of Revisions

Most production studios follow a process that impacts their explainer video pricing. This process includes a set number of revisions to allow for client feedback during the production phases. The more revisions you request, the longer the production timeline will be, ultimately increasing the overall cost of the explainer video.

6. Turnaround Time

If speed is a top priority, anticipate a higher explainer video price. Rushing the production process requires additional resources and accelerated work from the team, driving up the cost. To ensure high-quality results, it's best to plan for slower production times and work with the expected timeline accordingly.

How Animation Style Affects Explainer Video Cost

Different animation styles possess varying production costs as they each demand varying levels of time, expertise, and resources.

Screen Capture and Live Demonstration Styles

Screen capture involves recording the screen of a computer or device to demonstrate how software applications, websites, or digital tools function. The concept is straightforward, making it an affordable option, costing between $500 and $2,000.

Live demonstration videos feature a real person showcasing a product or service in a real-world setting, often via a host presenting or demonstrating features. These videos are also affordable, with prices ranging between $500 and $2,000.

2D Animation Style

2D animation is one of the most popular and commonly used video styles today. It features characters and scenes within a two-dimensional space, adding perspective to create an illusion of depth that enhances the visual experience. This style is highly versatile, suitable for many video projects, even those with only a single character on a static background.

2D animation explainer video pricing ranges from $3,000 to $15,000 per minute.

Whiteboard Animation Style

Whiteboard animation is another popular video style that emulates the experience of someone drawing or writing on a whiteboard as they explain a concept or story. These videos are typically characterized by a voiceover narration and background music to engage viewers.

The main difference between whiteboard and 2D animation is that whiteboard videos lack complex animations with fluid movements. They're generally less expensive, costing between $2,000 and $10,000 per minute.

Live-Action Style

Live-action explainer videos involve shooting actual footage of people or objects, making them feel more personable and authentic. However, the production process is more complex compared to animated videos, driving up the cost. On average, a live-action explainer video could set you back around $35,000.

Motion Graphics Style

Motion graphics videos focus on using text and visuals that move to effectively present complex information, such as statistics, data, or technical facts. They come in handy for industries like technology and finance. The visuals can be beautifully dynamic, drawing the audience in instantly and providing an engaging experience.

A motion graphics explainer video can cost between $5,000 and $15,000, with the final price largely determined by the video's length, complexity, and project scope.

3D Animation and Stop-Motion

3D animation and stop-motion are more advanced animation styles. These techniques require experienced video production teams, cutting-edge equipment, and a significant amount of effort. For this reason, 3D animation and stop-motion videos can be quite expensive, with costs starting at $20,000 and reaching $70,000 or more.

Reducing Explainer Video Costs

Here are some strategies to minimize the cost of your animated explainer video without compromising on quality:

  • Script Length: The shorter the script, the lower the cost. Keep your script concise and to-the-point.
  • Choose the Right Style: If you're trying to reduce costs, avoid 3D animation. The most common and cost-effective style is 2D animation.
  • Don't Hurry the Project: Rushed projects cost more. To ensure quality results, it's best to follow the standard timeline.

Explainer Video Cost from Yum Yum Videos

Choosing the right team is crucial to produce exceptional video content. That's why industry leaders like Amazon, Thermo Fisher, McKesson, and more trust us to bring their stories to life. Here's why:

Proven Results: MedVector raised $3.5 million with our help.✅ 12+ years of Experience: A reputable explainer video company.✅ Price-Quality Ratio: High-end production without the excessive prices of U.S. agencies.✅ Streamlined Process: From script to animation, we handle everything.

Ready to create a high-quality video that drives real impact? Let's talk! Request a quote today.

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