“What is the cost of an explainer video?” This is one of the first questions businesses ask when considering video production. There’s no one-size-fits-all answer, like asking, “How much does a house cost?”. The cost of an explainer video can range from $500 to $10,000 and beyond, depending on several factors!

Before you start, let’s break down explainer video pricing! Inside, you’ll uncover the 9 key factors that drive cost, the 6 sneaky “gotcha” fees to watch out for, and how to craft a budget that gets you a killer video – without any nasty surprises. But that’s not all – even more cost-saving insights and expert tips await you within… keep reading to discover them!

Why Understanding the Cost of An Explainer Video Matters

Investing in an explainer video is a strategic decision, and understanding the video production, and average cost upfront empowers you to make informed choices. Knowing the factors influencing pricing allows you to align your budget with your goals and avoid overspending on unnecessary features.

When you know what to expect with costs, you can prioritize what matters most – creating a video that delivers results and drives conversions without breaking the bank.

Explainer Video Pricing Overview (2025 UPDATED)

This overview provides a comprehensive look at explainer video pricing as of 2025, helping you make an informed decision that aligns with your budget and marketing goals. Here’s a breakdown of what you can expect at different pricing tiers:

Tier		Price Range (USD)	Description	Pros & Cons
DIY & AI Solutions (Basic AI/Online Tools)		Under $500	Utilizing AI tools like Synthesia or online video makers. Ideal for those with very tight budgets and basic video needs.	Pros: Extremely affordable, quick turnaround. Cons: Limited customization, potentially generic output, may lack professional polish.
Freelancer Market		$200 – $1,500	Hiring freelancers for different aspects of production (scriptwriting, animation, voiceover, etc.). Suitable for simpler projects or specific tasks.	Pros: More affordable than agencies, potentially specialized skills.  Cons: May save costs but comes with risks like inconsistent quality, delays, and limited resources (such as high-end software, quality voiceovers, or post-project support). Without careful selection leads face copyright issues or costly revisions.
Professional Studios	Basic Package	$1,500 – $3,000	Simple videos with basic animation or whiteboard style, suitable for social media clips or internal use.	Pros: Cost-effective for basic needs, faster production. Cons: Limited complexity, may not be suitable for all marketing purposes.
	Standard Package	$2,500 – $8,000	More detailed animations, custom graphics, professional voiceovers, and a higher degree of customization.	Pros: Good balance of quality and cost, more engaging visuals. Cons: Requires a larger budget, and longer production time.
	Premium Package	Starts at $10,000	High-end productions with intricate animations (potentially 3D), advanced storytelling, and premium voiceovers.	Pros: Exceptional quality, strong brand alignment, effective for complex topics. Cons: High cost, longer production timeline, requires careful planning.

Note: These price ranges are estimates and can vary based on specific project requirements. It’s always recommended to obtain custom quotes from multiple providers to compare services and pricing accurately.

Feeling overwhelmed by these prices? Don’t worry – stick with us! We’ll break down the key factors that influence these costs, helping you understand why explainer videos are priced this way. At the end, we’ll introduce an affordable yet high-quality solution that ensures you get the best value for your investment.

9 Key Factors Influencing the Cost of an Explainer Video

Creating an effective explainer video involves many moving parts, and each one contributes to the final price. Before you can accurately estimate the average cost, it’s crucial to understand these key factors.

No.	Factors	Description	Potential Cost Impact
1	Video Style and Complexity	Different animation styles impact production time and expertise required. 2D motion graphics are cost-effective, while 3D animation and live-action require specialized skills and resources.	More complex styles demand higher expertise, leading to increased costs.
2	Video Length	Longer videos require more scripting, animation, and editing, but shorter videos have a higher cost per second due to fixed production expenses.	A longer runtime increases production workload, while shorter videos demand premium-quality execution.
3	Quality and Customization	Template-based videos are budget-friendly but lack uniqueness, whereas fully customized videos require original artwork, animations, and strategic storytelling.	Higher customization leads to increased production time, effort, and costs.
4	Voiceover and Scriptwriting	Costs vary based on the choice of AI-generated voiceovers, professional voice actors, and in-house or expert scriptwriting.	Professional narration and scriptwriting enhance quality but add to the overall cost.
5	Revisions and Feedback Rounds	The number of revisions affects production time and budget. Basic packages include limited revisions, while premium services offer more flexibility.	Additional revisions extend timelines and increase overall expenses.
6	Project Timeline and Urgency (Rush Fees)	Tight deadlines require additional resources, including more animators and editors working on shorter turnarounds.	Faster delivery demands higher production costs due to increased workload.
7	Geographic Location of the Production Company	Companies in regions with higher labor costs, such as the US and Western Europe, charge more than those in Asia or Eastern Europe.	Location impacts pricing due to differences in labor costs and industry standards.
8	Production Company’s Expertise and Team	More experienced studios with a skilled team of animators, scriptwriters, and voice actors deliver higher-quality videos.	Greater expertise leads to premium pricing for quality and strategic input.
9	Music and Sound Effects	Custom compositions and professional sound design add to production value, while stock music is a cost-effective alternative.	Original music and sound effects elevate production quality but increase costs.

6 Potential Hidden Fees to Consider for Explainer Videos

When budgeting for an explainer video, additional costs may not be immediately obvious. These “hidden” fees can impact the overall cost and should be considered during the planning phase. 

Cost Type	Description	Potential Impact
Initial Costs	The upfront expenses for initial concept development, brainstorming, and storyboarding.	These are often necessary for setting the foundation of the video, and failure to account for them can lead to project delays or underestimation of the budget.
Customization Costs	Custom-made elements such as unique animation styles, custom illustrations, or personalized characters.	Customization enhances the uniqueness and brand alignment of the video, but significantly increases the production time and costs.
Assessment & Certification	Fees for getting the explainer video certified or evaluated by industry bodies or third-party assessors (if applicable).	Certification or professional evaluation can add credibility but comes with added fees and administrative time.
Facilitator or Consultant Fees	If a facilitator or external consultant is hired to guide the video strategy, messaging, or storyboard.	Hiring experts for specialized input can improve the quality of the video but raises overall expenses.
Ongoing Support & Resources	Post-production support for video updates, modifications, or re-edits after the video is delivered.	Ongoing support ensures the video remains current, but it can result in unexpected recurring costs.
Lost Productivity	Time spent by internal teams (e.g., marketing, training) in reviewing, revising, or providing feedback during production.	Delays in decision-making or feedback rounds can lead to lost productivity and additional internal resource costs.

4 Must-Know Steps in the Explainer Video Production Journey

Now that you understand how pricing works and the factors influencing the cost of an explainer video, it’s essential to grasp the overall production process. Understanding these core steps gives you foundational knowledge, allowing you to make informed decisions and, ultimately, optimize costs when choosing and working with video production providers.

Stage	Why it Matters	Key Activities	Pro Tip
Pre-Production	Strong planning ensures a clear message, smooth production, and fewer revisions.	Concept development, scriptwriting, storyboarding, scheduling.	Define your audience and their pain points early.
Production	Brings the script to life; style impacts cost and effectiveness.	Voiceover, animation/filming, sound design.	Give clear feedback to minimize revisions.
Post-Production	Refines raw footage into a polished video.	Editing, transitions, compliance checks.	Always review before final delivery.
Distribution & Marketing	Ensures your video reaches the right audience.	Uploading, promotion, and performance tracking.	Integrate the video into your marketing strategy.

How to Budget for Explainer Video Projects Effectively?

Having a solid grasp of the production process – as we outlined earlier- is key to building a realistic and effective budget. Understanding each step involved, from pre-production to distribution, allows you to accurately assess the resources needed and anticipate potential costs. 

Now, let’s break down the key steps to creating a budget that sets you up for success:

Strategy	How to Do	Why it Works
Set Clear Objectives	– Define the key purpose of the explainer video (e.g., brand awareness, product demonstration, etc.) – Outline the target audience and desired outcomes. – Establish the specific message the video must convey.	Helps prioritize what’s most important, avoiding unnecessary features and ensuring focused spending on what matters most.
Prioritize Essential Elements	– Identify core elements that are essential for the video’s impact, like messaging, animation style, and voiceover. – Determine what customizations are necessary versus what can be kept simple. – Limit any add-ons that do not directly contribute to your goals.	Ensures that the budget is spent on the most impactful components, keeping the video effective without overspending on non-essential features.
Choose the Right Production Company	– Research companies with experience in your industry or video style. – Review portfolios to assess the quality and style of their previous work. – Look at the range of services offered to ensure you get the best value for your needs. – Get quotes from multiple companies to compare costs and services (reach out to at least 3 different video production companies for quotes). – Check reviews and testimonials to evaluate customer satisfaction. – Compare not only prices but also what is included in each quote (e.g., number of revisions, animation style, scriptwriting).	Ensures a high-quality video within your budget, leveraging the company’s expertise and avoiding overpaying for services that aren’t needed.
Account for Revisions	– Include a set number of revisions in the initial agreement. – Clearly communicate feedback and expectations during the production process. – Allocate extra budget for potential additional revisions if needed. – Plan for a reasonable timeline that allows thorough review and adjustments.	Provides flexibility in the production process, ensuring that the video meets your expectations and avoiding unplanned extra costs.
Factor in Hidden Costs	– Include costs for customization (e.g., unique animation, branding), certification, or licensing if applicable. – Factor in post-production support for updates or minor edits. – Consider ongoing costs for maintaining video quality and relevance (e.g., repurposing content for other platforms).	Prevents unexpected financial surprises and ensures a comprehensive budget that covers all necessary aspects of production.
Plan for Future Updates	– Allocate a portion of your budget for potential future updates or changes to the video. – Set aside resources for making improvements as your business evolves or to refresh outdated content. – Discuss maintenance and update options with your production team for a long-term plan.	Allows your content to remain relevant over time, saving money in the future by preemptively budgeting for updates.
Be Realistic with Timelines	– Set realistic deadlines based on the complexity of the video. – Allow sufficient time for feedback and revisions, avoiding rushed production. – Discuss with the production company to determine an appropriate timeline for each stage (e.g., scriptwriting, animation, etc.).	Prevents rush fees and ensures that the video is completed with adequate time for quality control, avoiding unnecessary costs for expedited production.

6 Key Benefits of Investing in Explainer Videos ROI

An engaging explainer video isn’t just a visual asset; it’s a powerful tool that can drive significant returns for your business. When done right, the benefits far outweigh the initial investment. Below are 6 key ways explainer videos can boost your ROI:

Get Professional 2D Animated Explainer Videos at a Reasonable Cost with F.Learning Studio!

Why Animation is the Best Choice for Explainer Videos

While live-action has its place, animation often reigns supreme for explainer videos. Its versatility, visual appeal, and ability to simplify complex concepts make it a particularly effective medium. Here’s why animation stands out as a top choice for explainer videos:

Affordable Pricing and Various FREE Options

F.Learning Studio has been crafting engaging explainer videos for over 9 years, completing 54 successful projects for 30 satisfied clients across approximately 15 countries, including the U.S., Finland, Germany, and the UK. 

We’ve had the privilege of working with notable organizations like Stanford University, the University of New South Wales (UNSW), the National Health Service (NHS), Simple Nursing, IntelyCare, the World Wide Fund (WWF), and NYU.

We believe high-quality animated explainer videos shouldn’t break the bank. That’s why we offer affordable pricing models designed to fit a range of budgets. To help you get started, we provide several valuable FREE options:

Free Service	Description
Free Animation Demo	Experience a no-cost demo to see how our animated explainer videos simplify complex topics and engage audiences.
Free Consultation	Discuss your goals with us, and we’ll customize a video solution tailored to your needs.
Free Script Consultation	Get a free script review to ensure smooth integration into your video.

Read more: How Much Does 2D Animation Cost Per Minute: $100, $1,000, or $8,000?

Early Consultant with a Streamlined Animated Explainer Video Process

Not sure where to start? That’s perfectly fine! Whether you’re leaning towards a 2D animated explainer video or considering 3D animation with flexible prices, our early consultation is designed to guide you in the right direction – even if you don’t know where to begin.

Moreover, we streamline the production process with efficient workflows, detailed feedback guides, and specialized tools to minimize revisions and costs. Track progress, give real-time feedback, and enjoy faster turnaround times. Our 24/7 support ensures a smooth process and a high-quality final product tailored to your needs.

With over 9 years of experience, we have received numerous positive feedback from clients. Here’s one of them:

Successful Case Study: A Leading Organization Benefits from Investing in Explainer Videos When Collaborating with Us

👉 Client: The University of New South Wales (UNSW) Sydney on their civil engineering program

🔴 Challenge: Sciences like geology can often be perceived as dry and inaccessible. The traditional methods of teaching these subjects sometimes fall short of capturing students’ attention. UNSW recognized the need to breathe new life into their online courses and make learning more effective.

🔵 Solution: Animated Explainer Videos

UNSW partnered with F.Learning Studio to create engaging animated videos that simplified complex geological processes. Using provided storyboards, scripts, and voice-overs, we focused on enhancing designs with artistic concepts, selecting scientifically accurate colors, and leveraging 2D motion graphics. This approach emphasized movement and change, making the content more engaging and easier to understand.

✅Benefits:

• Simplified Complex Concepts: The animated explainer videos effectively simplified the intricacies of metamorphic rock formation, making it easier for students to understand.
• Increased Engagement: The vibrant visuals and clear storytelling captured and maintained students’ attention, fostering a more engaging learning experience.
• Enhanced Knowledge Retention: The combination of visual and auditory elements aided in long-term knowledge retention, helping students better remember and apply what they learned.
• Improved Accessibility: The videos made the subject matter more accessible to a wider audience, breaking down barriers to learning and making science more enjoyable.

Final Thoughts

So, we’ve covered a lot, haven’t we? From understanding that the cost of an explainer video can vary (remember that $500 to $10,000+ range?), to uncovering those sneaky hidden fees, to the essential steps of video production… 

Investing in an explainer video isn’t just about spending money; it’s about investing in results. It’s about connecting with your audience, simplifying your message, and, hopefully, seeing a good return. 

At F.Learning Studio, we try our best to be more than just animation studios; we see ourselves as storytellers and problem-solvers dedicated to bringing your vision to life – and we work hard to do it with transparency and fairness. Curious to see what’s possible? Don’t just think about it – feel the potential! 

Click here to schedule your free consultation – because we believe your story deserves to be heard. We’d be honored to be a part of it.

• Email: [email protected]
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• Website: https://flearningstudio.com/ 
• LinkedIn: ​https://www.linkedin.com/company/f-learning-studio/​

Don’t stop here – there’s so much more to discover!:

• Animation Cost Calculator: Get A Draft Quote for Your Project
• Top 8 Different Types Of Explainer Videos To Match Your Corporate Needs
• What are good animated explainer videos for fintech?

FAQs

1. Are there various pricing models for explainer videos?

Yes, pricing can be based on fixed rates, hourly charges, or per-second costs. The best model depends on your project and budget. Communicate your goals clearly to choose the right option.

2. How can I make sure I get a high-quality explainer video within my budget?

Be clear about your goals and provide specific instructions. Choose a reliable studio that fits your budget and discuss factors like animation style and stock footage for precise estimates.

3. Software for DIY Explainer Videos

Here are 5 software options you can use to create explainer videos yourself, suitable for varying skill levels and budgets.

• Vyond: Easy to use with pre-designed templates and drag-and-drop features. Great for beginners. (Paid)
• Animaker: Similar to Vyond, with flexible animation styles and affordability. (Free & Paid plans)
• Powtoon: A drag-and-drop tool for animated videos and presentations. (Free & Paid plans)
• VideoScribe: Specializes in whiteboard-style animations, ideal for simplifying complex topics. (Paid)
• Adobe After Effects: Advanced motion graphics tool with full creative control. Requires technical skills. (Paid)