8 Reasons Why Businesses Need Animated Explainer Videos

Posted by Guest Contributor: Vidico on May 19, 2022
Guest Contributor: Vidico

Can I promote my product or service without using animated explainer videos? Well, sure you can. But you’ll be missing out a lot—chances are you’ll easily get crushed by the competition. 

Below, we share eight unique reasons you need to create animated explainer videos to grow your company. You’ll learn why animated explainer videos are effective and crucial to the success of your business. 

TL;DR? Watch our quick explainer video which summarizes the 8 reasons why businesses need animated explainer videos. Plus if you like what you see, you can create the same using VideoScribe, with a subscription or a free trial. Get animating today!


1. Your customers are looking for explainer videos

Our current lifestyle involves checking social platforms such as TikTok, Youtube, or Instagram to make product decisions. A 2022 GWI Gen Z report reveals that 46% of Gen Zers use TikTok to find out about products and brands, and 69% rely on Instagram. As a marketer, logic dictates you must create explainer videos for your company and post them on social media. 

Since you should offer relevant content consistent with your market and its customers, not only will this allow you to be present where your customers are, but it will also allow you to provide for what they are looking for.


2. Tells and paints your story

Storytelling is one of the most effective marketing strategies. It allows you to cast your brand and service in a way that your audience relates to and helps you elicit an emotional reaction. You can easily connect with your customers and strike a better chord. But using animated explainer videos enables you to take your storytelling to the next level. 

Animated explainer videos help you do more than tell the story; they enable you to paint it even further. You can give your audience a more vivid and realistic feel of the story you’re trying to tell. To do this, marketers usually leverage whiteboard animation to draw and illustrate their thoughts into a creative explainer video that conveys their message and tells the story plainly and effectively. Here is an excellent example from Dropbox.


3. Makes even the most complex topics easy to digest

One of the main reasons you should dig into creating animated explainer videos is that they help you break down even the most complex concepts, ideas, and features of your product. You can leverage the power of whiteboard animation, illustrations, 3D and 2D models, and Motion Graphics to bring any concept to life and get your message across properly. 

For example, you can use 3D and 2D models with motion graphics to portray your tool’s interface and give your users a feel of its use. You can also provide a demo of how to use your tool and break down even the most intricate part while explaining how the tool works. Here is an example from Phonexa. 


Or you can use whiteboard animation and illustrations to paint a situation or draw illustrative elements that help you better explain to your audience what your product or concept is about. Below is a good example of how the creator used an animated explainer video composed of whiteboard animation and illustrations to show how proteins function in our bodies. 

As you can see, this gets his message across and makes his information and content more digestible, even for the least protein literate. 


4. Explain what your product does in seconds

Today’s world of short attention spans has marketers running for marketing strategies that are fun, concise, and brief yet still granting enough to allow them to convey their messages thoroughly. Animated explainer videos are best for this. An explainer video is a more engaging way to communicate with your prospects than having to give them an extended presentation.

They help you explain what your product does succinctly and efficiently. Better still, you can compress your product offering and benefits (using illustrations and motion drawings) into explainer videos of 60 to 120 seconds. This allows you to quickly grab the attention of your target audience and get them to watch the full video. Here is a great example from Christian Weaver who uses VideoScribe.. 

It’s fair to say most people have very little knowledge of the law. Furthermore, it can sometimes be challenging to understand the terminology and ideas in this field. Still, Christian Weaver was able to break down our protest rights in 60 seconds using an animated explainer video. 


5. Increases conversion rates

Animated explainer videos help companies clearly convey their value proposition and capture attention, and for that reason, they are ridiculously effective when it comes to converting clients. Dropbox has conducted an experiment that further supports this.

The startup created a stellar explainer video and removed all the content on their homepage but the video. The video counted 750000 views in one month and increased its conversion rates by 10%. This 10% conversion rate translated into thousands of extra sign-ups per day. 

The main reason animated explainer videos are effective for conversion is because they combine images, motion, and audio to ensure your message is clear and memorable. In other words, they leverage visual and verbal cues to effectively convey the brand’s message, which has proven to improve message retention

For example, Dr. Richard Wiseman discovered that whiteboard animations help learners retain knowledge by as much as 15% compared to talking head videos. On top of that, explainer videos communicate a straightforward story that viewers can easily relate to. You can quickly outline the ins and outs of your product or service along with their unique benefits—to offer an immersive understanding to your audience. 

As a result, viewers gain more knowledge and have a better experience with your service or product, and they’re more likely to make a purchase decision. Interestingly, studies show that 85% of people are more likely to buy a product after watching an explainer video, and explainer videos convert 20% more visitors into customers than text alone.


6. Improves your SEO

First of all, animated explainer videos explain things better than any content. They give you more flexibility to provide a more relatable context, tell a story, and offer more lifestyle examples and things people can better relate to. As a result, the average person would spend more time watching videos on your site than reading a 4000-word blog post. 

Second, as people click on and spend time watching videos on your site, this improves your click-through rate and the amount of time people spend on your website—aka, increased dwell time. These are strong indicators that your site has quality content that people value and are ready to spend time-consuming. In fact, the click-through rate and dwell time are two of the strongest quality indicators that Google considers when ranking websites on the SERP. 

Consequently, Google loves and prioritizes video on the SERP because it provides a better response to what the user is looking for. That’s why a page with video content is more likely to rank on the SERP than a page without video. Case in point, video content ranks well on Google and is 50 times more likely to rank on the first page than plain text.


7. Tells your brand’s narrative

Not only will an animated explainer video showcase your product’s features to your target audience and increase sales, but it will also help create a brand personality for your company, which can help win over prospects.

The characters, storyline, and animations in your video work together to create an image that helps prospects visualize your brand in a unique way. This will help heighten your brand awareness and help you stand out from the competition. You can easily set your company apart from competing brands, and your prospects will have a unique image to associate your brand with. 

Two companies that do this very well are Nike and Adidas. Whenever we think about sportswear and jerseys, these are the top companies that come into our minds because of their brand personality. 


8. Guaranteed ROI

Animated explainer videos also guarantee a return on investment for every dollar you spend on creating them. And according to a study, 88% of marketers are satisfied with the ROI of their video marketing. 

As you’ve seen above, they convert easily, facilitate your SEO efforts, keep your site into the good books of the Google algorithms, and are very cost-effective. It’s no secret that an animated explainer video will cost you far less money than a live-action video. 


Create your first animated explainer video today!

You now know a few solid reasons why creating an animated explainer video for your business is a good idea and why they are so effective. By leveraging animation videos, you can convey your message more effectively, and prospects will better understand your offering as a solution to their problem, which will result in more customers.

You can craft your animated videos yourself by leveraging the power of VideoScribe or if you’re looking for expert help to create your animated explainer videos,  check out this video production company and their pricing. 


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