Video reigns supreme in the digital age. It’s true. Video content is all around you, whether you’re scrolling through social media, tuning into a live stream, or catching up on your favorite blogs.
So what does this mean for you?
It means that if you aren’t leveraging video, you are falling behind—way behind. Utilizing video will boost engagement, increase your ROI, and build a true connection with your audience.
Before you start your next project, it’s important that you understand all the factors that go into making a great video. Let’s break it down!
Breaking Down The Cost of Video Production
It’s extremely challenging to provide a detailed breakdown of video production costs without a clear understanding of your specific vision. Video production involves numerous elements, whether on-set or off-set, including actors, studio time, lighting, and makeup. Each of these factors must be considered to estimate costs accurately.
Depending on the team you hire, a video project can range from $2,000 to $100,000, largely influenced by your goals and requirements. Additionally, don’t overlook the budget for video marketing. Effective promotion to reach the right audience will depend on your campaign’s purpose (whether to build awareness or drive conversions) and the chosen platform for promotion. Costs can range from a few hundred to several thousand dollars.
Factors Impacting Video Production Costs
1. Length and Complexity
When deciding on the length of your video, consider social media platforms and other areas of distribution, brand goals, and, of course, your target audience. These will help define your video’s vision and determine how much and how complex your animations might be, how detailed your script should be, and how much editing you will need. While these factors will raise costs and require more time, if the decisions are justifiable, the result will be well worth it. Just remember: longer length + more complexity = higher price.
2. Equipment
Always consider the equipment needed to create a quality video. Professional cameras, lighting gear, and audio equipment are essential when shooting a video that interests your audience, compels them to watch it in its entirety, and encourages them to take action. Higher-quality equipment comes with a price tag, but it will translate into a better experience for your audience and more accurately represent your brand.
3. Location and Production Design
After on-camera talent, production design and location are the two biggest cost influencers for most productions. After all, these two items are all you see when watching any video. Do you want your video to be shot in a studio? Downtown in a metropolitan city or in a cool office space? Perhaps you want to capture footage on the lawn of a university? Whatever you decide, the environment you capture plays a significant role in cost. Think about how you will arrange the set, obtain the necessary props, and secure location permits. The bottom line is that these things cost, but your video will lack authenticity without them.
4. Talent and Crew
Skilled professionals, including actors, directors, cinematographers, and editors, can make a big difference in the final product’s quality, so consider hiring a professional team. A professional video production company can alleviate pressure and anxiety, leaving less work for you and a better outcome for your video. Investing in proficient talent and crew raises production costs, but their expertise will prove to be incredibly valuable.
5. Post-Production Requirements
Post-production is truly where the magic happens. Editing, visual effects, color grading, and sound mixing are all essential aspects of the video creation process that can make your next project stand out. Unless you have an editing team in-house, it’s important to outsource to a high-quality production or post-production company. The complexity and extent of these processes vary depending on the project’s requirements, but with so many options, you can easily find a company that will be the best fit for you.
Phew! That wasn’t too bad, right?
Now that you understand the factors that go into video production rates let’s explore the variation in costs across video styles.
Variation in Costs Across Video Styles
1. Explainer Video
Want to break down a complex concept into a simple message? Consider using an animated explainer video. Explainers are short, concise videos aimed at clarifying an idea or demonstrating a product or service. Typically, they use animations or live-action shots coupled with voiceovers. Relative to a video production with crew and, cameras, and gear, the cost is lower for this type of video.
2. Company Video and Brand Anthem Videos (non-fiction)
As a bridge between brands and their audiences, company videos offer insights into your company’s values, culture, and positive offerings. They may involve interviews and testimonials, voiceovers, demonstrations, small sections of animation, and additional footage of the company culture. Due to the use of a crew and a corporate location, it’s important to keep a higher budget in mind for these projects. The good news is that you will have more footage than you know what to do with. In addition to your original vision, you will have media for social clips and internal comms and will likely be able to cut additional videos down the road.
3. Promotional Videos (non-fiction)
From flashy ads on YouTube to sponsored posts on Instagram, promotional videos have dominated the digital world. Simpler videos involve straightforward filming and editing techniques, but high-quality promotional content requires extra resources in the areas of creative direction and writing, on-camera talent, and editorial. Investing in these videos may appear to be more expensive, but the potential return on investment can be substantially more than other necessary videos – improving your engagement while strengthening your online presence.
4. Documentary Videos
Documentaries vary widely in style, scale, and duration. As such, pre-production costs can be significant due to extensive research, travel, and pre-interviews. Shorter documentaries tend not to cost as much because the subject matter is less complex, requiring less pre-production. To be effective, documentaries should have a high level of quality storytelling and visual elements that keep the viewer watching and drive the message home.
5. Scripted Videos
Scripted content usually costs the most because when you have to create the reality of the video from the ground up, every part of the process requires attention in the most precise way. Everything takes longer and requires a more critical eye, from casting to set decoration, script writing to editing. However, like any video you will endeavor to create, if it’s appropriate for your audience and promotes your product or service accurately, investing in this type of unique, one-of-a-kind video(s) has a higher potential return on investment.
Pre-Production
Concept Development & Scriptwriting
- Cost Range: $500 – $5,000
- Details: Includes brainstorming, storyboarding, and scriptwriting.
Location Scouting & Permits:
- Cost Range: $200 – $2,000
- Details: Finding and securing locations for shooting, including any necessary permits.
Location Fees:
- Cost Range: $500 – $10,000
- Details: Costs for renting specific locations for filming, including any additional costs for location-specific requirements.
Casting:
- Cost Range: $500 – $5,000
- Details: Hiring actors or models, including casting calls and auditions.
Production
Director & Crew:
- Cost Range: $1,000 – $10,000 per day
- Details: Fees for the director, camera operators, sound technicians, and other essential crew members.
Equipment Rental:
- Cost Range: $500 – $5,000 per day
- Details: Cameras, lighting, sound equipment, and other necessary gear.
Set Design & Props:
- Cost Range: $500 – $5,000
- Details: Designing and building sets and sourcing and renting props.
Wardrobe & Makeup:
- Cost Range: $200 – $2,000
- Details: Costumes and makeup artists for the talent.
Post-Production
Editing:
- Cost Range: $1,000 – $10,000
- Details: Assembling the footage, adding effects, and color grading.
Sound Design & Music:
- Cost Range: $500 – $5,000
- Details: Sound editing, foley, and music licensing or original composition.
Visual Effects (VFX):
- Cost Range: $1,000 – $10,000
- Details: Adding CGI, animations, and other visual effects.
Motion Graphics:
- Cost Range: $500 – $5,000
- Details: Creating animated graphics and titles for the video.
Additional Costs
Voiceover & Narration:
- Cost Range: $300 – $1,500
- Details: Hiring a voiceover artist and recording the narration.
Licensing Fees:
- Cost Range: $100 – $1,000
- Details: Licensing stock footage, images, or music.
Marketing & Distribution
Digital Marketing & Advertising:
- Cost Range: $1,000 – $50,000
- Details: Online ads, social media promotions, and influencer marketing.
Media Buying & Placement:
- Cost Range: $5,000 – $50,000
- Details: Costs for TV spots, online ad placements, and other media buys.
When thinking about your next video project, the best course of action is to treat your video production project like any big project (think house painting, car repair, landscaping project).
Get a few quotes and compare the cost against the approach. Video creation is one of the few creative services that can be successfully achieved using different approaches. Find the video creator who aligns with your point of view, and the rest will take care of itself.
Most importantly, the data supports the facts: investing in quality production yields valuable returns in engagement, brand visibility, and audience impact.
We hope that our breakdown of the intricacies of video production empowers you to make well-informed decisions about investing in your video projects.
We’d love to help you develop the perfect video project for your brand. To learn more about Bottle Rocket Media’s virtual production services, video production services, and other services like motion graphics services, connect with us to start your video project.