Explainer Video ROI: Is It Worth the Investment? (With Real Numbers)

Is an explainer video worth the investment? The short answer: absolutely. But let’s look at the data.

The ROI of Explainer Videos: What the Data Says

According to Wyzowl’s 2024 State of Video Marketing report, 90% of marketers say video gives them a good ROI. But let’s break down what that actually means for your business.

Conversion Rate Impact

Adding an explainer video to a landing page can increase conversions by up to 80%. That’s not a typo. Video gives visitors the information they need to make a decision — faster than reading paragraphs of text.

Time on Page

Pages with video see an average 2.6x longer visit duration. More time on page signals quality to Google, which can boost your SEO rankings.

Email Click-Through Rates

Including “video” in an email subject line increases open rates by 19% and click-through rates by 65%. A well-placed explainer video in your email sequence can dramatically improve engagement.

Real ROI Calculation

Let’s do the math for a typical scenario:

Current state: 10,000 monthly visitors, 2% conversion rate = 200 leads/month
With explainer video: 10,000 visitors, 3.6% conversion rate (+80%) = 360 leads/month
Extra leads per month: 160
If 10% close at $1,000 average deal: $16,000/month additional revenue
Video investment: $1,594 (one-time)
ROI in month one: 903%

How Long Does an Explainer Video Last?

Unlike paid ads that stop working the moment you stop paying, an explainer video is an asset. Most of our clients use the same video for 2-3 years before updating. That means a $1,594 video works for you 24/7 for years.

When Is an Explainer Video NOT Worth It?

Honestly? Almost never — but it depends on where you deploy it. If you put a video on a page nobody visits, it won’t help. The key is placing your video where it can influence decisions: homepage, product pages, landing pages, and email sequences.

Get a Free Quote

At ExpansionVideos, animated explainer videos start at $797/30 seconds, and AI videos start at just $197/30 seconds. Book a free consultation to discuss which option fits your budget and goals.

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