Animation Costs vs. Value: Does Video Pay For Itself?

From our research, we know that the average cost of an animated video for your company is around $9000 (£6000), or $4000 (£2,500) if you get one from Wyzowl.

However, the most important question is not how much video costs, but how much value it can add to your company.

Does video pay for itself?

Short answer: Yes.

Videos are an investment for your company, so no matter what the flat cost is, you will be set to make returns. We are so confident that video pays for itself that in this blog we’re going to list, not 5, not 10, but 15 reasons why video is a valuable investment for your company!

1. Customers watch videos

Video is one of the most popular marketing tools with customers. Studies have found that 44% of customers prefer to learn about a new product or service by watching a video.

2. Videos humanize your brand

No matter how personal we try to make our online businesses, nothing will compare to meeting someone in the flesh. Shaking a hand, touching a product, these are things that online customers miss out on. A video of yourself or your product is the next best thing, and so will encourage people to do business with you.

3. Videos are clickable

Videos are great because they capture our attention, tease us with juicy details, and then ask us if we want to know more with a clever call-to-action. More often than not, we do want to know more. In fact, 65% of those who view a video click through to the vendor website.

4. Videos increase conversions

71% of marketers agree that their video content’s conversion performance is higher than any of their other types of marketing content.

5. Videos are searchable

Having one or more videos can vastly improve your SEO. Studies have found that pages with video are 53x more likely to rank of the first page of Google.

6. Videos have emotional benefits

Videos have the power to evoke emotion from us, whether that be laughter or compassion, or anything in between. So many brands have used videos to create an emotional resonance with their customers. Check out this Nike ad below, and ask yourself ‘What emotions does this video bring out in me?‘:

7. Videos reduce your bounce rate

A high bounce rate can be really annoying. It suggests that visitors to your site either didn’t find what they were looking for, or found your website too difficult to navigate. Having a video on your home page can help customers stick around for longer, and reduce your bounce rate by a significant amount.

8. Videos make you a real competitor

Everyone has a video these days, the big companies, and the small ones. In order to compete, you need a video. But, in order to stand out you need a great video. If you pay for a high quality, original video, then it will pay for itself.

9. Videos build trust

One of the most effective ways to build trust with your customers is to create a video that tells a story about the history and/or journey of your brand. It’s human nature to prefer the familiar, and we all feel comfortable doing business with companies who we are familiar with, so use video to make your brand familiar.

10. Videos are shareable

How’s this for a statistic: more than 500 years worth of YouTube videos are shared and watched on Facebook each day. A staggering amount by anyone’s standards. The key word from this stat is ‘videos’. Blogs aren’t being shared this extensively, or banner ads, or any other form of content, videos get all the attention.

11. Video increases brand awareness

Videos are a visual medium, which gives you the perfect opportunity to visually represent your brand. If you think of a brand right now off the top of your head, chances are that you’ll think of a logo, or brand colours before even thinking of the actual name of the brand. That’s because we remember 80% of what we see (compared to 20% of what we read).

12. Videos are mobile

People love to watch videos on the go because they’re quick, easy, and fun ways to digest information. In fact, over 50% of YouTube views come from mobile devices alone. And, with the popularity of mobile devices only set to increase in the future, this figure is sure to rise.

13. Videos improve email CTR

There are more email accounts out there than all of the Facebook and Twitter accounts combined, which is why email is such a rich marketing platform. However, it’s also highly competitive. To improve that all important click-through rate, you should begin to incorporate videos into your marketing emails. A study showed that 90% of companies who used videos in emails improved their campaign results, and 75% saw CTRs improve.

14. Videos increase productivity

How much time do you waste answering support calls and emails? If the answer is ‘a lot’ then a video would definitely be of value to your brand. Videos have been proven to reduce 30% of support calls.

15. Videos are fun

Everyone loves videos, especially animated ones as they are the most fun! At Wyzowl, we get to make fun videos all day, every day. Check out this one we created for last year’s World Cup:

We also make videos under our Sketcha brand. The one below includes a crocodile drinking a cocktail whilst swinging on a hammock, and a dog flying a blimp. Who wouldn’t want to watch that?!

Animated videos like this are great for explaining your brand in a fun way.

And finally…

BONUS: Videos offer positive ROI!

Video pays for itself in many ways — by increasing productivity, instilling trust in your customers, and improving your SEO. But, above all else (and we know it’s what you’ve been waiting to hear), video literally does pay for itself, in cash. 52% of marketing professionals worldwide name video as the type of content with the best ROI.

Closing thoughts

It’s plain to see that animation costs are minuscule when compared to the value that video adds to your company. In fact, 68% of marketers believe that video is such a valuable investment that it is essential for their business. I’m sure after reading this article that you’ll agree.