👉 “How Much Does an Explainer Video Cost? (2025 Updated)

One of the first questions businesses ask when considering an explainer video is: How much does it cost? But a better question might be: How much is it worth to achieve your business goals?

A well-produced explainer video isn’t just another marketing expense—it’s an investment in your brand’s success. High-quality videos help communicate your message clearly, keep your audience engaged, and increase the chances of reaching your objectives, whether it’s generating leads, improving conversions, or strengthening brand awareness.

In this article, we’ll break down the different pricing tiers of explainer videos—ranging from freelancers to explainer video production companies to broadcast-level studios—so you can understand why prices vary and what you get at each level. We’ll also explore the factors that influence pricing, from animation styles to production quality.

Curious about the cost of your explainer video? Try our Video Cost Calculator and get an instant estimate in less than a minute!

What Are the Video Production Costs of an Explainer Video?

The cost of an explainer video ranges from $500 to $20,000+ per minute, depending on the company’s track record and expertise, the video’s style (animation or live-action), the level of customization, and so on.

It’s important to note, however, that an explainer video can be the very first thing your potential customers see about your brand. And while higher explainer video costs doesn’t always equate to better results, you should always aim at having a high-quality video that stands out. When you’re trying to show your brand off, a bad video can damage your image, and that can be very detrimental to your efforts (and even more expensive!).

An $8,000 Explainer Video that Raised over 3 Million Dollars!

Speaking of making your brand stand out from the crowd, here’s a fantastic example with a video our explainer video company, Yum Yum Videos, made for MedVector. This company created a landing page to acquire investors and raise funds, and included the explainer we made for them in it. The result? More than 55 investors and over 3 million dollars in funds! 

What’s even more impressive is that the last time we spoke to them, they were still raising more money. We’re truly proud of this project and the results it brought for our client.

While we know that explainer video prices might scare people off at first, they should be taken as an investment. Just look at everything MedVector got from $8,000!

Explainer Video Price: Key Factors That Influence It

When it comes to explainer video pricing, there’s no one-size-fits-all answer. The cost of producing a video can vary significantly based on several key factors that shape the overall scope and quality of the project. 

Understanding these factors can help you better anticipate the budget required for your video and ensure you get the best value for your investment. So, let’s discover what might make your explainer video cost go up:

1. Provider’s Expertise

First and foremost, experienced video production companies have the expertise to transform your brand’s unique message into a captivating explainer video—one that not only reflects the latest design trends but also resonates with your audience and drives them to take action.

When you collaborate with a professional video production team, you gain access to a wide range of specialists, all working together to bring your vision to life. From writers and directors to illustrators, animators, voiceover artists, sound designers, and project managers, each expert contributes their skills to craft the explainer video your business needs.

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Additionally, partnering with a reputable production company ensures a high level of professionalism and efficiency throughout the entire process. These companies have the resources, experience, and tools to handle multiple projects simultaneously while managing any contingencies or setbacks that may arise during production.

That’s why one of the key factors influencing the cost of your explainer video is the production company’s expertise. The more experienced and accomplished the team, the higher the production price is likely to be—reflecting their ability to deliver top-tier results.

2. Quality

When it comes to explainer video pricing, quality is one of the most important factors that influence the cost. But what exactly does “quality” mean in the context of video production? It’s not an easy question to answer because quality is determined by several variables—many of which are subtle and embedded within the production process.

You may have experienced this firsthand when comparing budgets from different video companies. What seemed like similar video projects often came with vastly different price tags—one significantly higher than the other. In most cases, quality is what accounts for that price difference.

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However, recognizing the difference between high-quality and lower-quality videos isn’t always straightforward. It requires a trained eye to distinguish what sets a top-tier video apart from one that’s less effective.

So, how can you tell when a video is truly high-quality and worth the explainer video cost? And, more importantly, how can you spot when it’s not? These features are what you should focus on:

• High-quality videos have crisp visuals with smooth animation, a clear and engaging script, clear sound, and professional voiceover. Moreover, they’re unique and tailored to a company’s identity and audience.
• Low-quality videos, on the other hand, are blurry and choppy, with a confusing or generic script, and distorted or unbalanced sound. They also often rely on templates or stock footage, which is why, more often than not, they feel disconnected from the brand’s identity.

3. Video Length

When discussing explainer video costs, the conversation between the agency and client often begins with video length. While these videos are typically short—1 to 2 minutes being the ideal length—establishing the target duration is crucial. Why? Because producing a two-minute video requires nearly twice the effort and resources as creating a one-minute one.

Defining the explainer video length helps the production studio accurately estimate the scope of work involved and give a more accurate explainer video pricing. It determines the number of animators, designers, and other specialists needed, as well as the time required for each stage of production—such as concept development, style creation, storyboarding, animation, and editing.

In short (pun intended 😜), the longer the video, the more work and resources are required, which ultimately increases the overall cost of the explainer video.

4. Customization

To stand out from the competition, your explainer video needs to be fully aligned with your brand’s guidelines, core values, and identity. This means it should be custom-made from scratch and tailored specifically to your project’s unique needs.

When you outsource to a creative partner—whether it’s a freelancer or a video production company—they will ask for all relevant information about your brand and project. This helps them gain a deep understanding of your goals and how best to achieve them.

The aim is to enrich your initial concept, develop a cohesive storyline, and establish a clear art direction. This ensures that the video reflects your brand’s voice and communicates your message effectively, creating a piece that feels authentic and resonates with your audience.

That said, producing a fully customized explainer video requires significant time, expertise, and effort. As a result, custom-made videos tend to have higher production costs compared to generic, template-based alternatives—but the investment pays off in a video that truly represents your brand and delivers maximum impact.

5. Number of Revisions

Every agency follows a process that influences its video production pricing, and a key part of that process is the number of revisions allowed for client feedback. Typically, agencies include a set number of revisions, giving clients the opportunity to review and request changes during video development.

However, some agencies offer fully customizable production processes, allowing clients to request additional rounds of revisions if needed. While this added flexibility can be beneficial, it’s important to remember that more revisions often lead to a longer production timeline—ultimately impacting the overall cost of your explainer video.

So, the more rounds of feedback and changes required, the longer and more expensive the production process becomes.

6. Turnaround time

Just like the number of revisions, turnaround time depends on the video production company you choose to work with. It’s important to keep in mind that creating a high-quality explainer video is a time-intensive process. From concept to final delivery, producing an animated video typically takes between 8 to 10 weeks.

While it’s possible to expedite the process, speeding things up will inevitably increase the cost of your explainer video. This is because tighter deadlines require additional resources and increased production effort to ensure the final product maintains the expected quality standards.

How Much Does Explainer Video Cost Per Tier?

To make it easier to understand, video production is often broken down into pricing tiers, each of which offers different levels of service and production value. By understanding what each tier includes and how it impacts pricing, you’ll be better equipped to choose the right option for your needs and budget. Let’s explore them!

1. Templates, Free Tools, and AI — Between $50 and $500

If video content isn’t a top priority in your strategy, or you haven’t had the time to develop a solid plan for high-quality video production, using explainer video makers, templates, or animation apps can be a quick alternative. These tools rely on ready-made templates and stock images, allowing you to create a video in a fraction of the time compared to custom production.

One of the biggest advantages of using these platforms is affordability. Explainer video templates range from $50 to $500, and some companies even offer monthly subscription services starting at $50 per month. This makes it a cost-effective option for those on a tight budget.

However, while templates may save you on explainer video costs, they come with significant limitations. They rarely offer the level of customization needed to align with your brand’s identity, aesthetic, and messaging, often resulting in generic, low-quality videos with overused content.

Additionally, even with templates, there’s still work to be done. You’ll need to develop a concept, write a script, record a voice-over, and customize the template to suit your needs—or hire someone to handle these tasks. So, while templates can significantly reduce your video production costs, they are a limited solution, similar to AI explainer videos.

2. Freelancers — Between $1,000 and $3,000

If you’re working with a limited budget but want something one step above templates, hiring a freelance video producer can be a practical alternative for creating a simple explainer video. Freelancers often “wear many hats” and independently handle various aspects of production, including writing, storyboarding, and animation.

Moreover, freelancers often offer personalized services since they tend to focus on one project at a time—or at least, that should be their approach! This level of attention can lead to a more tailored final product than what you’d get with a free video maker.

However, it’s important to note that freelance productions can come with challenges, particularly regarding quality. When a single person is responsible for every aspect of the project, certain elements may be overlooked due to limited expertise in specific areas or simply a lack of time to devote to each task.

While the final product may not match the quality of a video produced by a full-fledged agency, hiring a freelancer can be a great starting point for businesses on a budget. To check out freelancer options, you could go to sites like Fiverr.

In terms of explainer video costs, they typically range from $1,000 to $3,000 for freelancer-produced explainer videos.

3. Small-Sized Video Companies — Between $3,000 and $8,000

Also known as “boutique agencies,” small video production companies typically operate with a lean team of one to three professionals. While their staff may be limited, they can outsource additional talent for specific projects as needed.

Despite their small size, boutique agencies often possess the equipment, expertise, and knowledge necessary to produce high-quality explainer videos. They pride themselves on delivering excellent, personalized services, with a dedicated team focused solely on your project.

However, one potential drawback is that these agencies may not be able to handle multiple projects simultaneously, often resulting in longer turnaround times. This could be a concern if you are on a tight schedule.

If time is not a pressing factor, partnering with a small video company can yield solid work at a reasonable price. Typically, explainer video costs with these agencies range from $3,000 to $10,000.

Some companies within this price range include:

• VCM Interactive, pricing around $5,000 per minute of video.
•  Anideos, pricing around $5,000 per minute.
•  Web Design Marvel, pricing around $5,000 per minute

4. Video Production Companies — Between $8,000 and $50,000

When you partner with a video production agency, you receive a comprehensive, full-service experience from the very beginning until the final delivery. These companies assemble specialized teams of professionals—including writers, illustrators, animators, marketers, and project managers—who work collaboratively to create effective video content tailored to your message, brand identity, and marketing goals.

Production agencies boast extensive portfolios filled with hundreds of videos that showcase their creativity, professionalism, and the quality of their work. With their wealth of experience, they eliminate much of the guesswork from the animation process, guiding you in determining what will resonate best with your brand, audience, and industry.

Moreover, these agencies have refined their processes and guidelines over the years, enabling them to consistently deliver projects on time. If you’re facing a tight deadline, many agencies can even expedite production without sacrificing quality.

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

As for pricing, explainer video costs can range from $8,000 to $50,000. This broad range reflects various factors that influence pricing, such as the complexity and quality of the video. 

Here are some examples of companies within this price range:

• Yum Yum Videos, explainer video price between $8,000 and $15,000 per minute of video.
• Vidico, price between $10,000 and $25,000 per minute.
• Demo Duck, price between $15,000 and $25,000 per minute.
• Switch Video, price between $10,000 and $15,000 per minute.
• Epipheo, price between $20,000 and $35,000 per minute.

Looking for a high-quality video within this price range? Need a real quote tailored to your project’s specific needs? Chat with us! With over a decade of experience making explainer videos for brands like Amazon, Thermofisher, McKesson, Walmart, and many others, Yum Yum Videos is the expert explainer video company you are looking for!

Curious about the cost of your explainer video? Try our Video Cost Calculator and get an instant estimate in less than a minute!

How Does the Style Affect the Explainer Video Pricing?

To establish an explainer video price, the animation style plays a major role. From creation to revision, some types of videos require more time, energy, expertise, and money than others. This results in higher, more complex marketing video production costs.

So, how much does animation cost? Does explainer video pricing increase when you want to develop a live-action piece, or is it the same as the cost of an animated video?

In hopes of providing some clarity, let’s take a look at all the different explainer video styles and how their processes can affect explainer video costs.

Screen Capture and Live Demonstration Styles

Screen capture involves recording the screen of a computer or device to showcase how a software application, website, or digital tool works, allowing the viewers to see the interface in real-time and understand the functionality directly.

Live demonstration videos, on the other hand, feature a real person showcasing a product or service in a real-world setting. This could involve a host explaining how to use a physical product, demonstrating a process, or presenting features in an engaging way.

Both styles can be quite affordable, ranging from $500 to $2,000.

2D Animation Style

2D animation, often referred to as digital animation, is one of the most popular and widely used video styles today. From animated films and video games to explainer videos and advertisements, an increasing number of businesses are opting for this technique to effectively promote their products and services.

This style involves creating characters and scenes within a two-dimensional space, which means they possess only width and height. Perspective is employed to create the illusion of depth, enhancing the visual experience.

The 2D animation style is highly versatile, and can be used in a video where there’s just a single character on a static background or in highly complex animations with fluid movements. The latter can be really challenging to make, but the final result is worth it because it makes the video stand out. Just take a look at this example:

When it comes to 2D animation explainer video pricing, you’ll find options from $3,000 to $15,000 per minute.

Whiteboard Animation Style

Whiteboard animation is a popular video style that simulates the process of someone drawing or writing on a whiteboard while explaining a concept or telling a story. The technique is often accompanied by a voiceover narration and background music to keep viewers engaged. It’s a simple, yet highly effective way to break down complex ideas and present them in an easy-to-understand, visually appealing manner.

The difference between whiteboard and 2D animation is that the former doesn’t feature complex animations with fluid movements.

For this reason, the explainer video pricing for this style tends to be lower, ranging from $2,000 to $10,000 per minute. The main factor influencing cost here will be the production company’s expertise and creativity.

Live-Action Style

Even though most explainer videos are animated, live-action still is a viable alternative. In fact, when done right, live-action explainer videos can help you create a stronger bond with potential buyers—something particularly important when you’re using video content to increase your conversions.

Now, regarding explainer video costs for live-action pieces, I’m sorry to say that they, too, vary widely here. How many sets need to be built? How many actors will be featured? Are they famous? How much equipment are you going to need?

All of these factors can make a big impact on the final price, but on average, a live-action explainer video could cost around $35,000. The final result should look like this:

Motion Graphics Style

In essence, motion graphics is a form of animated graphic design where text plays a central role. It’s an ideal choice for businesses looking to present complex information—such as statistics, data, or technical facts—in a visually compelling and easy-to-understand way. This makes motion graphics particularly popular in industries like technology and finance.

What makes motion graphics videos so effective is their dynamic, engaging nature. They capture attention quickly and can be even more impactful when combined with character animation, adding a personal and relatable element to the visuals. To achieve this level of quality, however, you typically need a team that includes at least two skilled animators—one focused on character animation and another specializing in motion graphics.

In terms of explainer video cost, a motion graphics explainer video typically ranges 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

Lastly, we have two styles that are quite expensive (although you can probably find some cheaper alternatives with low quality): 3D and stop-motion.

If well-executed, 3D animation is great for catching your audience’s attention and creating an impact on them. Thanks to its unique aesthetic—where actions can rotate around or zoom in for narrative emphasis—it makes it easier for the viewer to feel instantly immersed in what’s being shown. However, it’s important to highlight here that 3D animation calls for a bigger, more experienced team, especially for certain processes or techniques, like rigging, texturing, lighting, and so on.

Stop-motion, on the other hand, combines live-action filmmaking principles with traditional character animation. Technically, stop motion is based on a simple yet very detailed process. In it, a person places the object that’s going to be animated and takes a photograph. Then, that object is moved to slightly different positions, all while taking photos of each new placement. Once the process is finished – often involving hundreds of photos – the animator digitally and rapidly displays the images in order to create the illusion of movement.

The bottom line here is that whatever style you may choose, it’s a long process that needs an experienced, qualified, and detail-oriented team of professionals.

This means that the final explainer video cost is higher than other types of animated pieces, resulting in higher explainer video prices that start at $20,000 and can go higher than $70,000.

How Can I Reduce the Cost of an Animated Explainer Video?

There are some tips you can take advantage of to lower your video costs a bit without sacrificing quality, let’s go over them:

• Write a Shorter Script: 1 minute of video equates to 160 words in a script. So, if you’re on a tight budget, a shorter script will be cheaper.
• Pick the Right Style: It might sound a bit obvious, but if you’re trying to reduce costs, don’t go for a 3D video. Of course, the final choice will depend on what you want to achieve with your video, but 2D animation is the most widely used style because, among other things, it offers the best price for quality.
• Don’t Request to Rush the Project: The faster you need your video to be done, the pricier it’ll be. To ensure good quality while rushing the process, it’s necessary to hire more animators or other team members, and even pay extra hours sometimes. All of that makes the final price rise.

How Much Does an Explainer Video from Yum Yum Videos Cost?

Before talking about cost, let’s think about value. A high-quality video isn’t just an expense—it’s an investment that can make a real difference in how your audience perceives your brand, understands your message, and takes action.

For example, MedVector trusted Yum Yum Videos to create an explainer video that helped them clearly communicate their offering—leading to $3.5 million in funding. That’s the power of a compelling, professionally crafted video.

So, how much does an explainer video cost? Our pricing starts at $6,000 per minute for our simplest animations and around $10,000 for premium productions. But the real question is: How much is it worth to you to achieve the results you’re aiming for?

If your goal is to generate leads, increase conversions, or build trust with your audience, quality matters. A well-executed video can be the difference between getting noticed or being ignored.

Try our Video Cost Calculator and get an instant estimate in less than a minute!

Why Trust Yum Yum Videos?

Choosing the right team for your video is key. That’s why companies like Amazon, Thermo Fisher, and McKesson have trusted us to bring their stories to life. Here’s why:

✅ Proven Results – MedVector raised $3.5 million with our video.
✅ 12+ Years of Experience – One of the most recognized explainer video companies.
✅ Best Price-Quality Ratio – High-end production without the excessive costs of U.S. agencies.
✅ A Streamlined Process – From script to animation, we take care of everything.

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

Here’s an example of our work:

And a quick simplification of the process to get to that wonderful piece:

We’re also sharing a testimonial video from our client at McKesson, where they talk about their experience working with us on their explainer video.

Answering Your Doubts about Explainer Video Production Costs

Before you go, here are some of the most common doubts people have about explainer video pricing:

1. Why Are Animated Explainer Videos Expensive?

Are they expensive? It depends. If an explainer video helps you achieve your goals, the return on investment will make the cost seem minimal.

Compared to other types of content, animated explainer videos require a team of professionals—scriptwriters, animators, designers, and voice artists—who ensure high quality and effectiveness. This level of expertise is what turns a simple video into a powerful tool for engagement, conversions, and brand impact.

At the end of the day, it’s not just a cost—it’s an investment in your success.

2. How Much Does It Cost to Make a 1 Min Explainer Video?

The answer to this question will vary depending on the tier you go for and the style you choose. But to you an idea, the price range for a 1 minute explainer video is between $500 to $15,000+ per minute.

3. How Long Does It Take to Make a Video of 1 Minute?

Creating a high-quality 1-minute explainer video is a time-intensive process that typically takes a professional production company between 4 to 6 weeks to complete, with expedited services often available for a premium. Freelancers and smaller companies don’t usually have a big production team, so it might take them even longer to finish your piece. The exact timeframe also depends on the complexity of the video, the style of animation, and the production team’s workflow.

4. Is Scriptwriting Included in the Price?

Freelancers and smaller companies might sometimes charge separately for scriptwriting, byt most production companies include it as part of the package. So, you should make sure to always clarify whether the price includes this service.

5. Do I Need to Pay for Background Music and Sound Effects?

In most cases, the music and sound effects are included in the explainer video cost you’re quoted. However, if you need custom compositions or special sound effects, you might incur additional costs.

6. Are there hidden costs I should be aware of?

Professional explainer production companies won’t go out of their way to purposely hide costs from their clients, but sometimes, the final price might end up being higher for one (or more) of these reasons: 

• Extra revisions beyond the agreed-upon limit.
• Licensing fees for stock images, music, or additional assets.
• Voiceovers in a different or multiple languages.

7. What Factors Influence the Cost of an Explainer Video?

When it comes to explainer video pricing, several key factors determine the overall cost. While prices can vary significantly depending on quality, style, and production complexity, here are the main aspects that influence explainer video cost:

1. Video Length

A longer video requires more animation, scripting, and editing, which increases the explainer video price. Most companies charge per minute, with high-quality animations starting at $6,000 per minute and premium productions reaching $10,000 or more.

2. Animation Style

• 2D Animation – The most common and cost-effective style.
• 3D Animation – More detailed and realistic but significantly more expensive.
• Motion Graphics – Clean and professional but requires expertise.
• Whiteboard Animation – Typically simpler and more budget-friendly.

The more complex the style, the higher the explainer video pricing.

3. Customization Level

A fully customized explainer video, with unique illustrations and tailored animations, costs more than one using stock assets. If you need a completely brand-specific and original video, expect to pay more.

4. Script and Storyboarding

A strong script is the foundation of an effective explainer video. Some production companies include scriptwriting in their packages, while others charge extra. High-quality storyboarding ensures a clear visual direction, adding to the overall explainer video cost.

5. Voiceover and Sound Design

Professional voiceovers, sound effects, and background music improve engagement but can increase the explainer video price, especially if you need multiple language versions or a well-known voice actor.

6. Revisions and Turnaround Time

• More revision rounds increase costs.
• Rush projects (3-4 weeks) are more expensive than standard timelines (6-8 weeks).

7. Production Team Expertise

Choosing an experienced team like Yum Yum Videos, which has worked with Amazon, McKesson, and Thermo Fisher, guarantees a high-quality result. Investing in a professional company ensures your video effectively communicates your message and engages your audience.

Final Thoughts on Explainer Video Costs

Investing in a high-quality explainer video can significantly enhance your brand’s communication and engagement. While the initial cost may seem substantial, the potential return on investment—through improved audience understanding, increased retention, and higher conversion rates—often makes it well worth it.

As discussed in our guide, explainer video pricing varies based on style, length, and production quality. Choosing the right tier and focusing on quality will help you create content that resonates with your audience and drives meaningful results.

Want to Know the Exact Cost of Your Video?

If you’d like to get a quick estimate of your explainer video cost, click here to take our Online Quiz! In less than a minute, you’ll get an estimated price for your video:

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