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Explainer Videos: A Comprehensive Guide for 2024

Let us explain - explainers!

Explainer videos have become an extremely popular and effective marketing tool. These short, animated videos help brands clearly communicate the benefits of a product, service or idea to their audience. However, developing an engaging explainer video requires time and expertise.

What Drives the Cost of Creating an Explainer Video?

The costs can range quite a bit based on the components needed to bring your vision to life.

Let’s examine the key factors that determine the budget for producing a professional explainer video.

Length of the Video

The length of your explainer video is a major cost driver. Shorter videos require less time and resources to create.

1-2 minute videos are ideal for capturing audience attention while explaining your key message. They result in lower production costs.

2-3+ minute videos allow you to include more details but come with extended project timelines and higher budgets.

The length will determine how much scriptwriting, VO narration, animation, and editing is needed. Keep your video concise to minimize costs.

Type of Animation

The animation style you choose significantly impacts the production process and cost. Popular options include:

2D Animation

  • Uses hand-drawn illustrations, characters and visual assets.
  • Warm, personal and nostalgic feel.
  • Takes more time to create but is cost-effective.


3D Animation

  • Uses computer animation for 3D models and environments.
  • More realistic and modern look.
  • Involves higher upfront costs.

2.5D Animation

2.5D animation combines elements of 2D and 3D animation. 
The technique involves the use of 2D graphics and various elements such as characters and backgrounds, which are seamlessly integrated into a three-dimensional environment. This creates a captivating illusion of depth and motion.
This animation is a more affordable option for making an explainer video. It takes less time and resources compared to 3D animation. That said, it may be more expensive than 2D animation.

Motion Graphics

  • Relies on animated text, shapes, icons and simple illustrations.
  • Fast turnaround time and budget-friendly.
  • Can look generic if not done well.

When it comes to using motion graphics in your project, it’s essential to carefully assess your budget and objectives. Understanding the costs and potential benefits will help you determine if motion graphics align with your overall goals. By taking this approach, you can ensure that your resources are well-utilized and that the end result delivers the impact you seek.

Whiteboard Animation

  • Simulates hand-drawn sketches on a whiteboard.
  • Quirky, DIY aesthetic.
  • Affordable and quick but may appear unpolished.



  • Uses real human presenters and settings.
  • Most expensive and time-intensive to produce.


Storyboards visualize each scene in sequence to align on creative direction.

Minimal storyboards save time for lower costs.

Highly detailed storyboards offer clarity but increase expenses.

Voiceover Narration

Professional voiceover artists deliver high quality but cost more than amateur recordings.

Pick-ups and re-records to refine the narration add to the timeline and budget.

Animation, Music, Revisions

Other elements like extensive animated characters and scenes, original music composition, and multiple rounds of revisions also contribute to higher video production costs.

The Bottom Line

The combination of your goals, target audience, video length, animation style and production value determines the budget for an engaging, effective explainer video. Carefully balance these factors when planning your project to get the best return on your investment.