10 Factors affecting the cost of animated videos

Learn about the 10 factors that can affect the cost of animated videos. Whether it's animation style, duration, or revisions, this guide will help you understand the key influences on pricing and budgeting for your animated video projects.

10 Factors affecting the cost of animated videos

Animated explainer videos play a crucial role in digital marketing strategies these days. These videos have become an important tool for businesses to deliver complex ideas and messages to the audience in an engaging manner. The popularity and demand of these videos have increased over the past years due to this reason.

They are used for digital marketing and other purposes. However, creating a high-quality animated video is a substantial investment. You have to retain the service of a skilled animator. Therefore, it’s essential to have a clear understanding of the costs involved in developing animated explainer videos.

What is the cost of an animated explainer video?

The explainer videos are short and informative videos, such as how-to videos, product demos, or educational videos. They are made to explain a concept, service, or special features of a product to the viewers in an engaging manner.

In the explainer, videos, simple language, and visuals are used to ensure that the topic is comprehensible to everyone. The cost of developing explainer videos ranges from $5,000 to $35,000. It depends upon a variety of factors, such as the complexity of the content, or animation style.

Factors that affect the cost of explainer videos

1. Length

The cost of producing explainer videos depends largely upon their length. These videos can be categorized as short (last for 30 seconds to 1 minute), medium-length (last for 1-2 minutes), and long (last for 2-5 minutes).

It requires more time and effort to develop a lengthy explainer video. There may be a need for using complex animations or voiceover work. Therefore, the cost of developing explainer videos increases in direct proportion to their length.

2. The style of the animation

The style of animation also affects the cost of developing an explainer video. This type of video may be developed using –

  • Whiteboard animation

In whiteboard animation, viewers watch static images being drawn on the screen. This animation style is simple yet engaging. The audience receives an explanation of the video through narration.

  • Motion Graphics

Animated graphic designs are known as motion graphics. In this scenario, several pieces of animation or digital footage are used to create the illusion of motion or rotation.

  • 2D Animation

The media design and artistic technique are used to create the illusion of movement in a 2D environment.

  • 3D Animation

This graphic technique uses motion to create computer-generated animated 3D images. The cost of creating explainer videos using motion graphics or whiteboard animation is less than the cost of creating explainer videos using 2D or 3D animation styles.

3. Refinement

The cost of making an explainer video also depends upon the level of refinement or detail used in the work. It is costlier to make animated videos with complex backgrounds and multiple characters in comparison to making animated videos with simple line work.

4. The Quality of the Voice over

The cost of making an explainer video also depends upon the quality of the voiceover. It has to be developed by a professional since the overall feel of the video content depends upon the quality of the voice-over. An explainer video may be developed without adding any voice-over. However, a video with a narration of the topic is more influential than a video without any voiceover.

Additional Read

2D vs 3D Animation: A Comprehensive Difference

5. The Script of the Video

The script that is used to produce an explainer video also influences the overall cost. The production agency which is responsible for making a video usually includes the script in the package. Some production agencies do not include the script. Thus, clients must pay separately for the inclusion of the script.

6. Complexity

The complexity of making an explainer video is another factor that affects the cost of production. The videos with simple animations are less expensive than the videos with moderately or highly complex animations. Moderately or highly complex animated videos must be developed by skilled animators and different animators must work on different segments of the video. It takes longer to develop an explainer video with moderately or highly complex animation. The cost of developing such videos is high due to this reason.

How to choose an animated video production company?

The explainer videos with high-quality animation and voiceover can effectively deliver the message to the viewers and keep them engaged until the end of the video. Thus, you must carefully select the production company. Here are a few factors to analyze before making the hiring decision.

  • Experience and expertise of the animators
  • Portfolio of a company and client reviews to learn about the quality of their work and communication style
  • Capability of providing clients with clear and detailed estimates for a project


Explainer videos are a valuable investment. The value of these videos is likely to increase in the coming years. They can effectively communicate the messages to the audiences. The cost of making explainer videos depends upon a variety of factors, such as length, animation style, quality of voice-over, complexity, and details.

The cost of making explainer videos also depends upon the agency that takes on the project. The production companies are responsible for handling everything related to the making of animated videos. Therefore, the cost of making an explainer video depends upon the hourly rate of a production company as well as the skills and time required for the project.


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