How Much Does A Video Cost?
When it comes to video production costs, we feel confident in saying that it depends. We get video production inquiries from companies with only $500 and companies with budgets exceeding $250,000. And while HADJI Studios will always turn away $500 leads, the fact is that video can be made for free on your smartphone while Hollywood production studios could make it for millions. So when someone asks us about video production costs, there is not a universal answer.
If you know how you want your video to look and how long it should be, we can help guide you with the overall costs of production.
Factors that influence production costs
Their are two main factors that drive video production costs:
RESOURCES. The physical resources required to bring a project to life - hours spent in pre-production, the people needed on the project (talent/crew), quality of equipment used, location permits, hours spent in post-production - will all influence the cost. A high-ticket shoot might use a cinema camera like an ARRI or RED whereas a budget shoot may use a DSLR or mirrorless camera to capture both video and stills. The difference between a week of editing and a half-day of editing can be the difference between something professional, well-paced, and polished versus something that looks like stock-footage stringed together from iMovie (nothing against those that use iMovie, it’s a brilliant tool for entry-level editing). In addition, higher budgets means access to better motion design, animation, and detail.
PROCESS. Although less tangible, it’s just as important. A much cheaper video might be visually indistinguishable from a more costly one: it might use a similar grade of camera or similar animation style, and it might have high-quality sound. The difference lies in that corners will have to be cut in pre-production, production, and post-production. A minimal crew using recent graduates and novices rather than a 5-6 person team of seasoned veterans could lead to mistakes, delays, and communication problems. Whatever you may think you are saving in overall costs, you will pay for with inconvenience and hassle. Of course, some lower-risk projects could warrant a smaller, less-experienced crew, but on projects where your brand’s image is at stake, it’s worth considering the extra investment with a more experienced video production company.
What the ideal video budget should cover
With the right video production budget, it will cover both resources and process:
PRE-PRODUCTION
Concept + story development
Location scouting
Line producing
Script Writing
Video marketing strategy
Project Management
PRODUCTION
Producer/Director
Director of Photography + Camera Operatora
Production Assistant
Sound mixer
Talent
Set design + Hair/Make-up + Wardrobe
Equipment + Gear rentals
Travel expenses + Food Per Diem
POST-PRODUCTION
Editor standard day-rates
Editor Revisions
Motion Designer
Music - Licensed/Custom
Voice Over talent
This is not a definitive list , but think of your budget as the amount invested in a well-oiled filming factory that delivers business results. The right video production budget gives you a deeper relationship with the overall resources + processes required to meet your goals. You get what you pay for.
How costs are affected by where the video sits within the marketing funnel.
As a general rule of thumb, we charge according to where the video sits on the marketing funnel. You want to spend more on the top of funnel videos than the bottom.
When a prospect is at the top of the marketing funnel they’re being introduced to your brand for the first time, and so making a good impression is paramount. A high quality brand awareness video will reflect the trustworthiness of your offering. By the time they’re at the bottom of the funnel they’re familiar with your brand and are often looking for an extra nudge or some social proof to help them make the right decision. These videos can be produced inexpensively. There’s no one-size fits all pricing but showing them different price brackets might help them allocate their budget better.
Top of funnel: Brand videos / Promos: $15k - $50k+
Middle of funnel: Explainer videos / Animations / Case study / Testimonials: $5K - $15k
Bottom of funnel: Interviews / social media content edits: $2.5 – $5k
D.I.Y. (almost free)
The cheapest option is to use your smartphone or a DSLR, but make sure the audio is crisp. If you and your team decide to take the DIY route and forgo higher production value, focus on quality content needed to carry the weight. This means your message and purpose need to be spot on in order to be effective.
Just remember not to be too ambitious if you don’t have the resources to pull it off. There are plenty of online courses in video production to enhance your skill set while making sure you avoid some of the obvious mistakes.
Our tips:
Invest in good audio - Amazon has a good selection of budget lav mics that can do the job
Leverage the natural light. Make sure the scene is well lit.
Tripods are the truth. Use them to your advantage
Film at the highest resolution and quality possible, preferably 4K. This offers more flexibility during edits.
Let your audience know you are filming this project yourself. It adds personality and additional compelling content for your audience
NOTE: even if you’re able to borrow all the equipment for free and don’t have to spend a cent, you still have to spend your time to learn and become proficient. So is it still considered free?
Video Creation Platforms($50-$300)
There are some decent platforms that allow you create your own content. Promo and Canva are a few examples. While we may not use these ourselves, they can be great for social content, especially when you need content in volume. It still requires a creative eye and some understanding of design, and you’ll have to educate yourself with design process of messaging, copy, and imagery. An alternative is looking into Fiver or Upwork who understand content creation, though these can be hit or miss.
Freelancers (approx $500 – $3000)
Freelancers can normally do the job for less than a video production company. Ideally, you want someone that is skilled in both production and editing who can help with conceptualizing and shooting. Though there are many freelancers who are jack-of-all-trades, with due-diligence you can find a freelancers who have high-production quality experience and expertise.
Though more affordable, the drawback with finding an all-rounder freelancers is that they won’t be good at everything. You will be a at the mercy of that person - especially if they have a single style, or if they have other clients, or they go on vacation. Also consider that turnaround times might be slower. Unfortunately, many freelancers don’t take much of a strategic approach either, so don’t expect any heavy decisions on digital strategy or optimization.
To find a good freelancer you can look on directory websites like mandy.com and Production Base. Alternatively, just ask around, take a look at their Vimeo and showreels and contact them directly. If you do happen to land a freelance outlier who specializes or has mastery on several skills you need, expect to pay the price. At HADJI Studios, we leverage our network of amazing freelancers and scale according to the project.
Production company (approximately $5,000 – $50,000+)
When you work with a reputable video production company, you can guarantee that you’ll have a team of people working on your video. That means you’ll get specialists in each discipline (creative direction, filming, editing, digital strategy) that will elevate the whole product. By bringing multiple creatives into the project, you get their collective experience and professionalism. A good production company also takes all the management off your hands – the whole process should be a lot more strategic and methodical, with an emphasis on results. They’ll likely have experience in creating result-driven videos, and they will be able to advise on distribution while creating your video with this strategy in mind making them more reliable and effective. When actors, talent, and voiceovers are needed, the production company negotiates on your behalf. These are typically discussed and approved right at the beginning of the project. Not to mention, a good production company will have access to better equipment, meaning they can scale up to handle larger projects or multiple projects at once.
NOTE: A $3k-$5k budget video can still look very good even for simple filmed content. However, 2D animation and motion design pricing is charged differently and start higher.
So, that’s the short answer to “how much does a video cost?”
Other questions we get asked:
What about that cheap video production company?
So you found a company that can do it for much cheaper? If price is important to you, you get what you pay for. You won’t get something that is high-quality and effective for cheap. If you can’t afford to use a quality agency, then find a good freelancer. You may be removing the margins, but you’ll have to manage them, which requires more investment of your time and brings more risk – especially if you have no experience managing video projects. Cheaper may sound attractive at first, but be sure to consider what else is being sacrificed.
What’s the ROI?
When investing video, a good production company will provide a clear understanding of ROI.
ROI comes from strategy which any good video production company will help you build. If you are looking to generate leads, then that needs to be built into the strategy right from the start. If your video production company doesn’t think the video will deliver the ROI you are after, it will be communicated right from the start.
Conclusion
It’s important to know that your video does not have to break the bank. A crane shot or a highly cinematic approach won’t guarantee success. Think of it like this: a bad idea well executed is still going to make a bad video, but a good idea poorly executed can still be effective. Let your priorities dictate your video production budget.
Good work isn’t cheap.
Cheap work isn’t good.
If it’s worth doing, it’s worth doing right.
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