Cost & ROI of Explainer Videos for Your Startup

Startup life. It's a wild ride, isn't it? An unending coffee marathon and countless brainstorming sessions to market your product. Amidst all this, there's one question that keeps rearing its head like a nosy neighbor over a fence: "Should we invest in an explainer video?"

Let's unpack this, shall we? We need to look at two things here: cost and return on investment (ROI). And compact cars... keep reading, you'll understand.

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1. Cost

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You've got your digital marketing budget spread out on the table like you're planning a military campaign. There's a line for pay-per-click (PPC) advertising that's eating up funds faster than a teenager at a pizza buffet. A modest PPC campaign on Google AdWords? That can easily run you $1,000 to $5,000 per month. It's like... renting a luxury apartment in Manhattan - except you can't even live in it!

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Now, let's shift gears. We have our explainer video sitting in the corner, unassuming but alluring. That Cody guy is offering it for $50 per second. Yes, you heard that right. A 60-second video for $3,000. It's like getting a luxury sedan for the price of a compact car - high-end quality, without the exorbitant price tag! And the best part? It's not a recurring expense. This is a one-time investment.

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My rate includes all parts of production and their fees, like script creation, storyboards, illustration, animation, voice over and music/sfx. You can use this video in countless ways without additional cost: liven up your landing page, spice up your newsletters, stop folks in their tracks at your trade show booth, or create engaging social media posts and YouTube ads. Oh! And I even provide the option of obtaining full rights and usage of the source files for all designs in which you can use across other marketing content.

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2. Return on Investment (ROI)

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And speaking of YouTube, that brings us to ROI. Our explainer videos are like the compact car that unexpectedly gives you the performance and longevity of a luxury sedan - they defy the price tag and exceed the mileage. They're engaging, informative, and superb at boosting online visibility and conversion rates.

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Let’s put some numbers on this. Your product sells for $100. Your explainer video inspires 1% of its viewers to buy. So with 10,000 views (a modest estimate), that's 100 new customers bringing in $10,000 in sales. Suddenly, your initial $3,000 investment has tripled, while PPC keeps nibbling away at your budget like it's a bottomless brunch.
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When weighing the cost and potential return of an explainer video against other forms of marketing, it becomes clear that our video could be a pivotal step towards elevating your startup to new heights of visibility and success. Need more convincing? Read my post on Why you need an explainer video

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