What Is an Explainer Video and Why Does Your Business Need One?
An explainer video is one of the most effective ways to communicate what your business does in a clear and engaging way.
In a digital environment where attention is limited, businesses need a format that can quickly explain their product or service and guide potential customers towards action.
This is where explainer videos work best. They simplify complex ideas, capture attention, and help viewers understand value quickly.
In this guide, we’ll answer the key question: what is an explainer video, how it works, and why it has become a core part of modern video marketing.
What is an explainer video
So, what is an explainer video?
An explainer video is a short, visually engaging video that explains a product or service in simple terms. Most videos are between 60 and 120 seconds and aim to provide a quick overview of what a business offers and why it matters.
The purpose of an explainer video is to:
communicate ideas clearly
simplify complex ideas
highlight a value proposition
guide potential customers towards a decision
In many cases, it acts as a visual elevator pitch. Instead of relying on long text, businesses use video to quickly communicate their key message and keep viewers engaged.
Explainer videos are widely used across websites, landing pages, and social media channels to introduce a company’s product and answer common questions.
Types of explainer videos
There are several types of explainer videos, each suited to different business needs and audiences.
Animated explainer videos
Animated explainer videos are one of the most popular formats. They use animation, motion graphics, and engaging visuals to explain abstract concepts or services that are difficult to show in real life.
They often include animated characters, fun animation, and a consistent visual style to make content more visually appealing and easier to understand.
Live action explainer videos
Live action explainer videos feature real people and environments. These are particularly effective for service-based businesses that want to build trust and connect with viewers on a personal level.
A well-produced live action video can help explain a company’s product while reinforcing credibility.
Whiteboard explainer videos
Whiteboard explainer videos use hand-drawn visuals and whiteboard animations to break down complex topics. This format is often used for educational explainer videos where clarity is the priority.
Screencast and product demo videos
These videos use screen recordings to demonstrate software or digital workflows. They are useful for explaining products in detail, especially in SaaS or technical industries.
Choosing the right type depends on your target audience, your message, and how you want to communicate your value proposition.
Why explainer videos are effective
Explainer videos work because they combine visuals, audio, and storytelling into one format.
People tend to engage more with video than text, especially when trying to understand complex topics or new services.
Key reasons why explainer videos are effective include:
they simplify complex ideas into clear, easy-to-follow visuals
they capture the audience’s attention in the first few seconds
they keep viewers engaged through storytelling and visuals
they help communicate key points quickly and clearly
Most importantly, they focus on solving audience pain points. Instead of listing features, they explain how a product or service makes life easier.
This is why explainer videos are often used as part of a wider marketing strategy to guide viewers towards a clear call to action.
Where businesses use explainer videos
Explainer videos are versatile and can be used across multiple channels.
On a website, they are often placed on landing pages to provide a quick overview of a product or service. This helps reduce friction and improve conversion rates.
On social media channels, short video content is highly effective for capturing attention and increasing reach. Explainer videos are also widely shared across platforms like YouTube, where they can reach a broader audience.
Businesses also use explainer videos in:
email campaigns
sales presentations
product launches
onboarding processes
Because online videos are easy to share, they help increase visibility and ensure your message reaches potential customers at different stages of the buying journey.
How explainer videos improve conversions
One of the biggest benefits of explainer videos is their impact on conversion rates.
By clearly explaining a product or service, they reduce confusion and help viewers make faster decisions.
A well-placed video on a landing page can significantly increase conversions by:
providing a quick overview of the offer
answering key questions early
building trust through professional visuals
guiding viewers towards a clear call to action
Many businesses find that explainer videos improve engagement and help qualify leads before they reach the sales team.
This makes them a valuable tool not just for marketing, but for the entire sales process.
DIY vs professional explainer video production
It is possible to create your own explainer video using online tools and templates.
These platforms allow businesses to create animated video content at a relatively low cost using pre-built visuals and audio files.
However, there are limitations.
DIY videos often lack:
strong messaging
professional visuals
clear structure
high production quality
While they can work for basic use cases, they rarely deliver the same level of impact.
Professional explainer video production focuses on:
developing a clear script based on business goals
creating engaging visuals aligned with your brand
ensuring audio and sound effects support the message
producing a polished final video that builds credibility
Businesses investing in professional explainer video production often achieve stronger engagement, higher conversion rates and a more consistent brand message than those relying solely on DIY video tools.
This is particularly important when the video is used on key pages or as part of a wider marketing strategy.
What makes a good explainer video
The best explainer videos share a few common characteristics.
They:
focus on one clear message
address specific pain points
keep the audience engaged from the start
use visuals to support understanding
include a clear call to action
A good explainer video should not try to cover everything. It should provide a quick overview that helps viewers understand the value of the product or service.
One well-known example is the Dollar Shave Club video. It used humour, a simple narrative, and a strong value proposition to quickly communicate what the company offers. Despite a relatively low budget, it generated millions of views and significantly increased brand recognition.
This shows that clarity and messaging often matter more than complexity.
Conclusion
Explainer videos have become a key part of modern marketing because they make it easier to communicate ideas, explain products, and engage potential customers.
Rather than relying on long-form text, businesses can use video to simplify complex ideas and guide viewers towards action.
Understanding what an explainer video is, and how it fits into your marketing strategy, is the first step.
The next is using it effectively.
When done well, an explainer video does more than explain. It helps build trust, improve engagement, and drive measurable business results.
Looking to explain your product or service in a way that engages customers and drives enquiries? Our professional explainer video production service helps businesses create clear, compelling videos tailored to their audience. Learn more about our explainer video production services and see how video can support your marketing strategy.
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FAQ
What is the purpose of an explainer video?
The purpose of an explainer video is to clearly explain a product or service in a short, engaging format that helps potential customers understand its value.
How do you create an explainer video?
To create explainer videos, businesses typically follow a process that includes planning the message, writing a script, creating visuals, adding audio, and producing the final video.
What is the difference between an explainer video and a tutorial?
An explainer video provides a quick overview of a product or service, while a tutorial gives step-by-step instructions on how to use it.
What is another term for an explainer video?
Explainer videos are sometimes referred to as product videos, marketing videos, or introductory videos, depending on their purpose.
How long should an explainer video be?
Most explainer videos are between 60 and 120 seconds long. This is typically enough time to explain your product or service, highlight its key benefits and include a clear call to action without losing the viewer's attention. More complex products or services may require a slightly longer video, while social media versions are often shorter.
Are animated or live-action explainer videos better?
Neither format is universally better, as the right choice depends on your business, audience and objectives. Animated explainer videos are ideal for explaining complex ideas, software or abstract concepts, while live action videos help build trust by featuring real people, products or locations. Many businesses also combine both styles to create a more engaging final video.
Where should I use an explainer video?
Explainer videos can be used across a range of marketing channels, including your homepage, landing pages, product pages, social media, YouTube, email campaigns and sales presentations. Placing an explainer video where potential customers are making decisions can improve engagement and help communicate your message more effectively.
Can explainer videos improve SEO?
Explainer videos can support your SEO strategy by increasing user engagement, encouraging visitors to spend more time on your website and improving the overall user experience. Videos can also increase the likelihood of earning backlinks and being shared online. While a video alone will not improve rankings, it can complement high-quality content and contribute to better search performance.
How much does professional explainer video production cost?
The cost of professional explainer video production varies depending on factors such as the video's length, animation style, script development, voiceover, graphics and overall production quality. Every project is different, so it is best to discuss your requirements with a video production company to receive an accurate quotation tailored to your business goals.
Do explainer videos work for B2B businesses?
Yes. Explainer videos are highly effective for B2B businesses because they simplify complex products, services and processes into an easy-to-understand format. They can help educate decision-makers, build credibility, answer common questions and support lead generation throughout the buying journey. Many B2B companies use explainer videos on their websites, in sales presentations and during customer onboarding.