Why Use an Explanation Video for Your Business?

Picture of Stephen Conley
Stephen Conley
Stephen is Gisteo's Founder & Creative Director. After a long career in advertising, Stephen launched Gisteo in 2011 and the rest is history. He has an MBA in International Business from Thunderbird and a B.A. in Psychology from the University of Colorado at Boulder, where he did indeed inhale (in moderation).

In an era where attention spans are shorter than ever, businesses face a serious challenge: how to effectively communicate their message in a way that not only captures attention but also drives results.

Enter the explanation video – a powerful tool that’s revolutionizing how businesses connect with their audiences.

Let’s take a closer look at what explanation videos are and how they can help your business.

Understanding Explanation Videos

An explanation video serves as your business’s digital storyteller. More than just a marketing tool, it’s a sophisticated communication medium that transforms complex ideas into compelling visual narratives.

Whether you’re launching a groundbreaking SaaS platform or introducing a revolutionary healthcare solution, an explanation video breaks down your message into bite-sized, engaging content that resonates with viewers.

The Impact of Explanation Videos in Modern Business

The numbers tell a compelling story about the effectiveness of explanation videos. In today’s online landscape, video content dominates internet traffic, accounting for over 82% of all online content consumption.

This isn’t just a trend – it’s a fundamental shift in how people absorb information. When businesses incorporate explanation videos into their marketing strategy, they typically see a 30% increase in conversion rates. This significant boost occurs because videos tap into how our brains naturally process information – we’re hardwired to engage with visual storytelling.

Crafting the Perfect Explanation Video

The magic of an effective explanation video lies in its careful construction. The ideal length hovers between 60 to 90 seconds – long enough to convey your message but short enough to maintain attention. The key is crafting a narrative that flows naturally, often beginning with a problem your audience faces, introducing your solution, and concluding with a clear call to action. In general, there are a number of ways to structure an explanation video script as we outline in this video:

Professional production quality is important. This includes crisp, clear animation or graphics that reflect your brand’s personality, professional voiceover work that guides viewers through the story, and a carefully selected soundtrack that enhances rather than distracts from your message. These elements work in concert to create a polished final product that builds trust and credibility with your audience.

The Art and Science of Video Production: A Behind-the-Scenes Look

Creating a powerful explanation video isn’t just about animation – it’s a carefully orchestrated process that transforms your message into a compelling visual story.

Let’s pull back the curtain and explore each stage of this creative journey. Here’s a breakdown of what a typical process when creating a 60-90 second video looks like at Gisteo:

Phase 1: Discovery and Planning (Week 1)

The journey begins with a comprehensive pre-production questionnaire that serves as the foundation for your video’s success. This crucial document captures your vision, target audience, key messages, and specific goals. During this phase, our creative team analyzes your responses and conducts additional research to ensure we fully understand your industry, competitors, and unique value proposition.

The script development process follows, where we craft a narrative that typically runs 150-180 words per minute of finished video. This isn’t just writing – it’s the art of distilling complex ideas into clear, engaging messages that resonate with your audience. Each word is carefully chosen to maximize impact while maintaining your brand’s voice and tone.

Phase 2: Creative Development (Weeks 2-3)

Once the script receives your approval, our artists begin creating style frames – key visual representations that establish the look and feel of your video. This includes:

  • Character design (if applicable)
  • Color palette selection
  • Typography choices
  • Visual style development

Simultaneously, we develop a detailed storyboard that maps out each scene, showing how the narrative will flow visually. This visual blueprint helps you envision the final product and allows for early adjustments before animation begins.

Phase 3: Initial Animation (Weeks 3-4)

With approved style frames and storyboard in hand, our animation team brings your story to life. Whether working in 2D animation, motion graphics, or mixed media, this phase involves:

  • Creating basic movement and transitions
  • Developing character animations
  • Building dynamic text animations
  • Crafting custom illustrations

Phase 4: Voice and Sound (Weeks 3-4) The audio elements of your video come together in this phase:

  • Professional voice-over recording with carefully selected talent
  • Custom sound design to enhance the viewing experience
  • Music selection and licensing
  • Audio mixing and mastering

Phase 5: Refinement and Delivery (Week 5)

The final week focuses on perfecting every detail:

  • Color correction and visual effects
  • Timing adjustments
  • Final animation polish
  • Quality control checks
  • Format optimization for various platforms

Industry-Specific Animation Techniques: Bringing Your Story to Life

Different industries require unique animation approaches to effectively communicate their message. Let’s explore how various animation techniques serve specific industry needs:

Healthcare and Pharmaceutical

In the healthcare sector, precision and clarity are paramount. Our animation techniques focus on:

  • Anatomically accurate medical illustrations
  • Microscopic-to-macroscopic zoom transitions
  • Smooth particle animations for drug delivery mechanisms
  • Color-coded system visualizations

Technology and SaaS

Tech companies require dynamic, modern animation styles that reflect their innovative nature:

  • Interface demonstrations with fluid screen recordings
  • Abstract data visualization
  • Isometric design for platform architecture
  • Seamless workflow animations

Financial Services and Fintech

For financial products, we use animation techniques that inspire trust while simplifying complex concepts:

  • Clean, professional graph animations
  • Secure transaction flow visualizations
  • Currency and payment process illustrations
  • Risk and reward scenario animations

Education and E-Learning

Educational content benefits from engaging, interactive-style animations:

  • Character-based storytelling
  • Step-by-step process breakdowns
  • Interactive element simulations
  • Whiteboard-style explanations

B2B and Professional Services

B2B content requires sophisticated, corporate-appropriate animation:

  • Professional infographic animations
  • Process flow diagrams
  • Statistical data visualization
  • Corporate environment illustrations

Flexible Solutions for Every Business

Understanding that different businesses have varying needs and budgets, professional explanation video services come in multiple tiers. The “Just Animate” package, starting at $2,250 for a 60-second video, provides everything needed for a professional explanation video while keeping costs manageable. This includes professional animation, voice-over, and music licensing.

The “Full-Service” option adds comprehensive creative development and consultation, perfect for businesses seeking additional guidance and creative input. For those with tight deadlines, the “VIP Fast Pass” service ensures rapid delivery without compromising quality. Each package includes unlimited revisions within each production stage, ensuring complete satisfaction with the final product.

Explanation Videos: The Investment Perspective

When considering an explanation video, it’s essential to view it as a strategic investment rather than an expense. With an average cost of $2,750 for a professional 60-second video, the return on investment manifests in multiple ways.

Businesses consistently report increased website engagement, with viewers spending more time on pages featuring video content. More importantly, these videos serve as tireless salespeople, working 24/7 to explain your product or service to potential customers across the globe.

Looking Ahead

As we progress through 2025, explanation videos continue to evolve. Interactive elements allow viewers to engage directly with content, creating a more immersive experience.

Personalization technology enables videos to adapt to specific viewer preferences and behaviors. AI-enhanced production tools are streamlining the creation process while maintaining high quality standards.

Final Thoughts

In a business landscape where 96% of consumers turn to videos to learn about products and services, having a professional explanation video isn’t just about keeping up with trends – it’s about staying relevant and competitive.

Whether you’re a startup looking to make your mark or an established business aiming to refresh your marketing strategy, an explanation video offers a proven path to better engagement, understanding, and conversion rates.

If you would like to discuss a video project for your business or brand, don’t hesitate to contact us or schedule a free consultation.

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