Explainer Videos for Business: Do Companies Need Them? [INFOGRAPHIC]

Building a business is one thing, but getting people to actually notice it is another.

No matter how long you’ve been running your company, your marketing strategy will always need a little fine-tuning.

I’ve seen many business owners get so caught up in day-to-day operations that they forget to step back and ask,

“Are people really getting what we’re about?”

From my experience, that’s where many marketing efforts fall short.

If you’re running a small business or startup, I’m guessing this sounds familiar.

The problem usually isn’t your product, but finding the right way to tell your story so people pay attention.

That’s where explainer videos come in, a budget-friendly yet effective marketing tool you can use to overcome the challenge.

At Breadnbeyond, we’ve helped hundreds of businesses turn their ideas into clear, engaging videos that actually connect with audiences.

Over the years, we’ve learned that when you make your message easy (and fun) to understand, people will remember.

Why Do You Need Explainer Videos for Business?

If you want to improve your online marketing strategy with new tools, amazing explainer videos are an out-of-the-box solution for you.

They combine moving text, graphics, animation, still images, and any other media you’d like to use to describe your business.

Using an explainer video is a great way to help potential buyers understand what you do without having to read a chunk of text.

When it comes to design, there are a variety of animation styles for explainer videos to choose from: whiteboard, motion graphics, 3D animation, kinetic typography, and you name it.

Essentially an explainer video is an easy way to guide your audience through the origins of your product while keeping them captivated with unique animation, catchy music, and resources of information.

In this blog, I’ll talk about whether you really need one.

Oh, also, let’s not forget about this staggering number on the video marketing statistics:

CISCO reports showed that at least 82% of the global internet traffic will come from video streaming and downloads by 2022. That’s an 88% increase in traffic share from 72.3% in 2017!

This means more and more people are watching videos, which is good news for your company IF you are using an explainer to promote your business.

Many businesses create products or services that didn’t exist previously.

They often find difficulty in introducing their one-of-a-kind offers to the public.

While you can just write blurbs about your start-up and what you sell, that method isn’t as prominent as it used to be.

Let’s break down some essential reasons why explainer videos should be one of the must-have content for your business, regardless of your business size and what industry you belong to!

1. Explainer Videos Convey Information Faster and Better

Psychologically speaking, explainer videos simply obliterate texts and images when it comes to delivering information to your users.

Only 2 out of 10 people remember the information they read, and only 1 remembers what they heard.

To make it even worse, the average internet user now only spends between 10-20 seconds on a page if they don’t see a compelling reason to stay longer.

The first ten seconds are crucial in providing that compelling reason by clearly articulating your value proposition.

With that short time frame, you shouldn’t rely too heavily on text and still images since they aren’t truly compelling for most of your users.

Keep this in mind: Most of your users have neither the time nor the desire to investigate why they should take you up on your offer.

Breadnbeyond made an explainer video for Galaxy Digital that provides their offer within the first 15 seconds. Check it out:

In addition to being more visually attractive and attention-drawing, explainer videos work because the human brain processes visual information 60,000 times faster than textual information.

Explainer videos harness visual and auditory elements to give your users a compelling reason to stay and to present your value proposition.

2. Explainer Videos Take Your Pitch Everywhere

As an animated explainer video production company in the luminous days (you know, because of screens everywhere) of everything online, I assume you’ve signed up your company for at least a website, a Facebook page, a Twitter account, and a LinkedIn account.

That’s already four different marketing channels in which you can make use of an explainer video.

Being digital content, explainer videos can take your pitch literally anywhere on the Internet.

You can share an explainer video on other platforms such as YouTube, Wistia, Vimeo, and Instagram, basically, any platform that supports video sharing.

Besides, 70% of internet users watch online videos.

So, go ahead and show them the best visual representation your business can have.

In the previous decade, having a video was secondary to and in support of a company’s textual marketing.

But things are different now, and it’s time to switch to using videos as the main form of marketing and text as a supplement for information that can’t be included in video format.

3. Explainer Videos are Better for Search Engine Optimization

You might not have noticed, but websites with videos are 50 times more likely to rank on Google’s first page.

If you were presented with a huge, inviting video thumbnail and a line of text, which one would you click first?

Of course, the thumbnail!

Your video is 41% more likely to get clicks compared to text listings, and that’s one way to increase brand awareness and improve your website’s authority.

4. Explainer Videos Have Trackable ROI

Every marketing specialist knows that any investments you make must be measurable to know which are really worth investing in.

An explainer video is among the measurable ones.

The great thing about investing in an explainer video is that you can track its performance more easily and more thoroughly.

On YouTube, for instance, you can see the exact times that your video was watched.

Using this data, you can further analyze which time of the day your audience is most active on the Internet.

One of our most successful videos, “What Is Pinterest?”, has more than 100,000 views and has given us valuable insights into our YouTube audience.

On premium platforms (such as Vidyard and Wistia), you can get more complex data about your video’s performance, such as how many re-watches come from the same user or the full viewership rate of your explainer video.

5. Explainer Videos Show Your Brand’s Culture and Personality

Explainer videos can emotionally engage your users with a 100% controllable visual representation of your company.

Using the market research you’ve done before, you can handcraft your script, illustration style, sound effects, music, and final call-to-action specifically to resonate with your audience.

In addition, should you find any mishap during the creation process of your explainer video, an animated explainer video company is easy to modify down the line.

6. Explainer Videos Can Fit Any Marketing Campaign

An animated explainer is not only the perfect content for your website, but it can also be shared through email campaigns and added to your business presentations or face-to-face pitches.

Not to mention that explainer videos are engaging AND mobile-friendly, making them perfect for social media.

Basically, with a single investment in an animated explainer video, you’ll get a one-for-all tool to show off your company’s brand, culture, and product all at once.

Animated explainer videos are also a cost-effective investment that generate true branding, boost conversions and sales, and can be used in every kind of online campaign.

On top of that, there are plenty of different styles of animated explainer videos. So, make sure you pick the best animation style for your company.

Most explainer video companies have different project packages that you can choose from. Here’s an example of ours.

How to Create an Effective Explainer Video?

From my experience, a video is truly effective when your audience instantly understands your message, without having to rewatch or guess what you mean.

When we create explainer videos for clients, our main goal is always clarity. Because no matter how stunning the visuals are, if the message doesn’t land, the video won’t convert.

Here are a few simple rules I always keep in mind:

• Keep it short and focused. The ideal length for an explainer video is around 45 to 90 seconds. That’s just enough time to make your point before your audience’s attention drops off.
• Put the good stuff upfront. People decide within seconds whether to keep watching. So, make sure the most important part of your message appears within the first 30 seconds of the script.
• End with a clear action. Every effective explainer video needs a strong call to action (CTA). Tell viewers what to do next, such as visit your website, sign up for a demo, or contact your team. If your video directs them to a URL, display it clearly at the end so it’s easy to remember.

In short, an effective explainer video should simplify, engage, and guide the viewer to take the next step.

That’s the sweet spot we always aim for when crafting videos for our clients.

Reach out to our team to know more about explainer video production.

How Do You Know If You Need an Explainer Video for Your Business?

If people still struggle to understand what your company does or why your product matters, you probably need an explainer video. It’s the simplest way to show what problem you solve, how your solution works, and why you’re different from competitors.

I’ll share with you three signs you need an explainer video for your business.

You Want to Stand Out from the Crowd

Your audience is bombarded with promotional messages every day. To stand out, you need to do two things:

1. Grab their attention long enough to make them curious.
2. Show—clearly and visually—how your business solves their problems better than anyone else.

That’s not easy to do with words alone. People naturally tune in to information that’s simple, clear, and visual, and that’s exactly what an animated explainer video delivers.

With a well-written script and thoughtful visuals, explainer videos help your audience see what makes your business valuable.

From what I’ve seen, using a quality explainer video can dramatically boost conversions and sales.

Even better, your message becomes more shareable, so your customers help spread the word for you.

You can tell your story with characters, animated silhouettes, motion text, or any creative idea that fits your brand’s personality.

You Want to Reach the Right People

Sometimes, your marketing message doesn’t land,  not because your product isn’t great, but because people don’t understand it right away.

Explainer videos fix that problem by turning complex ideas into clear, digestible stories.

Instead of long paragraphs or confusing product descriptions, viewers get a visual story that speaks directly to their needs and emotions.

You Want Customers to See Why You’re the Better Choice

An animated explainer video gives your audience a reason to choose you over competitors.

It shows how your solution works, why it’s better, and how it fits into their daily lives in just a few engaging seconds.

When done right, an explainer video doesn’t just inform; it persuades and inspires action, which can directly increase your sales and conversions.

Animated explainers might cost a big portion of your marketing budget because, let’s face it, video production is very time-consuming — not to mention the required software licenses.

But making an animated video guarantees you a high Return On Investment (ROI).

More Signs You Need to Create Explainer Videos

In short, you should consider creating an explainer video for your business if:

• You want to distinguish your service from your competitors
• You want to excel in video marketing
• You want to engage visitors to your website
• You want to have a strong social media presence (Facebook, YouTube, Twitter, etc)
• You offer new products
• You want to introduce your company
• You want to make your website look awesome (if you put it there)
• You want to deliver ideas that would be better presented through animation

So if you are planning a new company, working on a new product, or considering an innovative campaign to maximize your business capacity, including explainer videos in your promotional budget will be one of the best investments you’ve ever made.

We created an infographic that will help you decide quickly whether your business really needs an explainer video.

Feel free to embed it on your site; we’ve pasted the embed code just below the infographic!

Takeaway: Why Explainer Videos Matter?

We’ve seen explainer videos around the Internet, and they are very popular because they actually work. Why, exactly?

In a nutshell, here are the reasons why explainer videos work:

1. Explainer videos deliver information better and faster.
2. Explainer videos are more compact and shareable.
3. Explainer videos are an easy-to-track and multi-purpose investment.

I hope this article sheds light on the value of visual content for your company, especially for startups looking for breakthrough content to boost growth.

Mini FAQs on Explainer Videos for Businesses

1. How long should an explainer video be?

From my experience, the sweet spot is usually between 60 and 90 seconds. That’s long enough to explain your message clearly, but short enough to keep viewers watching until the end.

I write about this more comprehensively. Read here: How to Decide Your Explainer Video Length?

2. Are explainer videos only for startups?

Not at all. We’ve worked with startups, small businesses, and established companies alike. The great thing about explainer videos is how versatile they are.

What do you need it for? Launching a new product? Clarifying a complex service? Or training your team? The format can easily adapt to your needs.

3. How can explainer videos help increase sales?

A good explainer video makes people get your offer faster. When your audience clearly understands what you do and why it matters, they’re more likely to take action. I’ve seen clients use well-crafted videos to boost conversion rates, shorten their sales cycle, and strengthen brand trust.

4. How much does an explainer video cost?

It really depends on the animation style, duration, and level of complexity. At Breadnbeyond, we tailor every project to fit each client’s goals and budget. Our aim is to produce videos that look professional, perform well, and bring measurable results, without overspending.

5. Where should I use my explainer video?

Pretty much anywhere your audience spends time, including on your website, landing pages, social media, email newsletters, or even trade shows. The more places you share it, the more value you’ll get from it.

At Breadnbeyond, we offer a wide range of animated explainer video packages tailored to boost your company’s sales in your next campaign.

Want to know how much your explainer video might cost? Try our video cost calculator below to get a quick estimate in just a few clicks.