Video production costs are an important thing to consider when hiring a video production company. A single corporate or marketing video can cost quite a lot to produce, especially when you start aiming for more complex content ideas that take more effort to create.
If you are looking to save money when hiring a video production company, keep in mind that a higher video production cost is not usually a random number. Those costs pay for the video itself and there are times when cheaper options are not as good as you would hope.
Average video production cost from a video production company
It is hard to pinpoint a good average for video production prices. A typical video project could cost anywhere from $3,000 to well over $50,000, and even those numbers are not always accurate.
Each video production crew will use a different pricing scheme for their video products, and that can make it hard to nail down exactly how much you are paying. High-quality videos could be either four or five digits – or even higher or lower.
The important thing is to understand the factors that go into the costs. Sometimes you can estimate the budget of a video project based on how complex it is getting or a range of other factors that you might have overlooked.
What affects video production costs?
Video production pricing can be impacted by a range of factors, with the finished video taking multiple stages of production that all have their own associated expenses.
Aside from the usual overheads and the fee for the production, you need to consider the work and tools going into even the most basic training videos, explainer videos, or corporate video content.
The final video price comes from each part of the video projects required to create them. While many production companies manage this internally, they usually tell you where all of the pre, mid, and post-production costs come from. Or, at least, they should.
Planning and shooting
Planning the video production process can be costly. While usually a small part of video production rates, most production companies require fees for their creative services.
This can mean script development costs, concept planning, video shoot arrangements, location costs, video length limits and breakpoints, camera crew, and everything that makes the entire production possible.
Then, there is the cost of shooting the video. This means production houses moving their own equipment to a location or sound stage to record, then physically recording the video. It also means assets like a green screen, props, and anything else required to shoot.
Off-Screen and On-Screen Talent
Depending on the concept, your video production might require actors or “on-screen” talent. If you are not providing your own actors, then you usually need professional actors. Of course, you also need a good camera operator, and experienced crew members for a professionally produced video, or “off-screen” talent.
This means extra costs to get that production value and acting talent, especially if you go for notable names in the industry.
This can also include union costs, as well as a few factors regarding things like hourly rate and the food provided to the actors and crew. This depends on the companies that you work with, though.
Even a basic explainer video can need editors, a crew, voice actors, and potentially even an on-screen presence if you are not going the animation-and-stock-footage route. That can be upwards of twenty or thirty people involved in a video that may star a single person.
Editing can be a huge part of the budget. Over the past decade or two, editing software has improved, but this also means that it is more expensive. Video editing is a huge expense, especially if you are trying to replicate a complex video concept.
The total cost of editing depends on things like video production equipment, pre-production costs for preparing the editing work, stock video footage and stock images, good video footage editing quality, use of B-roll footage, and a lot of other factors.
If your next video project involves heavy editing, then you need to work with a video producer to get an idea of how much it will cost. Proper project management means understanding where the costs are coming from and how to cheapen them without ruining your vision.
For example, if small business owners want a corporate internal video made using specialized animations, they might be able to use cheaper animation templates rather than custom-created drawings and animation.
An animated video (or even partially animated) also has extra costs. Complex animation can make even a simple business video cost a lot more, even if the video producers use stock animation or cheaper methods to capture that video style and animation quality.
Most companies aim for the best possible animation for their clients as long as they are on the same page when it comes to animated videos. This could mean high-budget CGI, cheaper 2D animation, or a range of other specifics, depending on their needs.
Animation takes many forms, and some animation can be as simple as having text appear in the right place at the right time. Discussing animation work with the professionals is vital to getting a video you can be proud of and one that resents your brand properly.
Voice work and music
Voice acting and voiceover work matters too. This needs to be discussed in pre-production – are the voices going to be in-house, professional VAs from outside the company, or from another source entirely?
Beyond that, music can be a big expense. A large part of a video production cost can be getting the rights to use a character, piece of music, or even a certain actor’s voice. Proper pre-production planning is vital for making sure that videos cost a reasonable amount when audio work is involved.
These things impact the final product more than you may think. Imagine a popular movie trailer with no music or voice work, and it usually kills the atmosphere – the same can be said for corporate videos, advertisements, or even new hire welcoming videos.
At The Storyteller Studios, we believe we’ve struck the perfect balance between quality and value for investment. Our interview-style, story-driven approach to production helps us accomplish two important goals for our clients; creation of a trustworthy, authentic, and effective marketing message that makes an emotional appeal, and at much more economical costs than traditional video production. The results speak for themselves.