Updated: 5 days ago
How do businesses generate leads and sales from explainer videos?
How can you begin creating explainer videos for your brand?
Crazyegg.com, an online software startup that provides eye-tracking features and tools to businesses, was able to increase monthly revenue by $21,000 by including an animated explainer video on their landing page!
Did you know that your product video makes around 52% of your potential customers more confident in swiping their cards and making the purchase?
Sounds like more leads and sales for your business, right?
JellyFish was also able to close an $800,000 deal 7 days after including an explainer video in their sales pitch.
Here are 2 things :
You may have read a dozen articles on why you should create more video content.
Or heard from someone that explainer videos can boost your leads, conversions, and customers.
Video content is super effective today!
85% of all the internet in the US watches video and yields around 66% more leads (qualified).
Also; visuals are processed 60,000 times faster than text by the brain.
In this blog post, I’ll unveil a dozen stats to back your video animation strategy.
Why Your Business Should Create Explainer Videos to Increase Sales
Why are explainer videos important for business?
Why explainer videos are essential for business success?
Video content consumption has been on the rise and more businesses are now going for it today.
87% of businesses and startups use video as a marketing tool.
In fact, according to Wyzowl, 59% of those who don't currently use video, say they plan to do that.
There are so many reasons why you should go all in on creating explainer videos for your business or startup.
1: Explainer Videos Generate More Qualified Leads (85% of all the internet in the US watch video & yields 66% more qualified leads)
Your business needs more leads right?
Think about how impactful a 60-second explainer video could be.
Using a written sales page to pitch people to buy your products or services might require long and expensive copywriting.
A potential customer reads your long sales page to understand your brand which could take 10 to 15 minutes depending on what you sell.
On the other hand, your potential customers can get and process the same information faster in a 60-second explainer video.
When a prospective customer lands on your business website, videos help boost page performance as they increase leads and sales conversion rates.
This research reveals that a homepage video can increase the conversion rate by over 80%. It also reports that around 70% of B2B marketers say that including an explainer video hugely impacts marketing Return on Investment (ROI).
2: Explainer Videos Have the Highest Click-through Rate in Content Marketing.
Do you create blog posts, tutorial videos, or joint webinars to generate leads and sales for your business?
Let's look at a few case studies:
Crazy Egg, an online software startup, was able to increase monthly revenue by $21,000 by including an animated explainer video on their landing page.
CrazyEgg ran a campaign with a single (animated) video which was able to increase their revenue by over $20,000 per month.
This means more people clicked on the Call to Action (CTA) and paid for their software service.
Think about it...
How many people clicked through your YouTube, tutorial videos and bought your products?
JellyFish was also able to close a $800,000 deal 7 days after including an explainer video in their sales pitch.
3: Videos Allows Businesses to Tell Brand Stories (in 60 seconds or less).
This is probably one of the favorite reasons startups use explainer videos - it lets you create and tell really captivating stories in short clips.
Let’s take this Explainer Video from Dollarshaveclub.com.
Pretty effective right?
They didn’t just create an animated video explaining their features, benefits, etc. Instead, they focus on telling their brand story.
Considering long copywriting sales pages, you might have to use a lot of words to tell longer stories.
Reports find that explainer videos that last around 60 seconds convert better!
According to respondents, no explainer video should be longer than 2 minutes, and most prefer videos that are no longer than 60 seconds.
Remember the CrazyEgg.com explainer-video campaign?
That video is exactly 2 minutes and 38 seconds which generated an extra $20,000 in monthly sales.
Long stories can be cut short in explainer videos and can save you a ton of time in content creation & business marketing.
4: 65% of Executives Visit Your Website & 39% Call You After Viewing a Video About Your Product or Service [Hubspot research].
About 40% of executives would go on a call with your brand after watching a video about your products or services.
This is even more effective with explainer videos about your products.
It’s also effective with ads.
Your target audience watches the video ad (probably on YouTube or Facebook), and according to this research by Hubspot, 39% would jump on a call with your brand afterward.
Here’s the thing…
How much is one customer worth for your business?
$10, $199, or $999 monthly?
Let’s assume you run a video ad with a super-targeted audience using an engaging explainer video that describes your products and how they can help your target audience.
You then run a $1,000 Facebook ad, that could yield a great ROI from that single landing page.
5: Explainer Videos Improve the Understanding of Brand Products in 93% of Cases, (Backed by Wyz Owl study)
There's no better way to explain your products than using explainer videos. Let’s take a look at how Airbnb explains what their service does and who it is for.
You see, creating explainer videos sort of depends on how entertaining it is. Entertaining in a way that generates engagements, shares, sign-ups, etc.
According to reports by Wiz Owl, explainer videos improve how your potential customers (or audience) understand your product.
Going into details writing about your product features might be long and can easily get boring, sending users away.
Think about the last explainer video you watched!
Most are quite entertaining! And you pretty much get the ins and outs of the product or services within a shorter time frame.
This is why I prioritize video content when designing web pages or blog pages and posts.
6: Explainer Video Tells Stories that Strike your Customers Emotions!
As an SEO and blog writer for businesses and entrepreneurs working in the B2B space, I’ve learned that customers or clients don’t buy features, they buy emotions.
That’s why stories are super entertaining and captivating. And things get better as these videos can easily tell captivating stories in seconds.
Think about it…
Explainer videos make potential customers say things like:
“That’s exactly how I feel”
“That’s what I’m struggling with!”
And at this point, you get first-time visitors to trust your brand (and products).
7: Whiteboard Explainer Videos are High-Converting Today
In recent years, there’s been a debate as to why businesses should use whiteboard explainer videos for their startups & businesses.
90% of video marketers feel the level of competition has increased in the past year.
90% of video marketers feel the level of competition has increased in the past year.
For this reason, marketers, startups, and businesses are now creating engaging whiteboard explainer videos for their audience.
Here are the various types of explainer videos your software startup should be creating right now!
Types of Explainer Videos:
Animated explainer video
Whiteboard explainer video
Live-action explainer video
Screencast explainer video
Side Note: Be sure to join me and follow my blog journey here as I'll be publishing more guides weekly in the forum :)
Unbounce.com estimates that you can expect as much as a 20% increase in page visits if you include explainer videos on your web pages.
It significantly decreases your page bounce rates as visitors tend to stick longer watching your videos.
Another study by Wistia, reports that visitors tend to spend an average of 2.6 times more time on pages that have a video than ones that have no video.
8: Better Email Click through Rates for Your Email Marketing Campaigns.
Email marketing is no doubt one of the best forms of digital marketing and it’s been that way for more than a decade.
However, some reports and industry experts say email marketing click-through rates are gradually declining.
Research by Forrester states that including an explainer video in your email can increase the click-through rate by over 200% to 300%. That’s more than double your normal click-through rates.
While most data out there say that participants already use video (83%) as part of their website marketing content, a lot more marketers say they’re now using it specifically for video email marketing.
9: Mentioning “Video” in Your Email Subject Line Boosts Open Rates by 53%
Talking about email marketing, your brands can improve open rates by about 53% by inserting the word "Video" in the subject line.
This is one of the most ignored email marketing techniques for businesses.
According to this research by Capterra, for every $1 spent on email marketing campaigns, you get an average return of $44.25.
Thus creating great email campaigns that include engaging explainer videos.
Here’s a piece of advice:
Never forget to include the word ‘video’ in your email subject lines whenever you’re sending email campaigns with a video or an explainer video.
10: Your Landing Pages Could Rank!
Google’s algorithms are constantly changing but here’s what we’ve noticed working as a content manager for businesses.
Videos can boost your search rankings.
I have used video content to improve my client's search rankings and we strongly believe it’s key, especially in a “noisy” content space.
You can upload your explainer videos on YouTube and your web pages, landing pages, or blog posts.
In fact, including videos on your web pages drives a 157% increase in organic traffic from SERPs.
Finally, All the Above Stats Lead to “More Sales” [data backed up]!
Explainer videos increase email open rates, tell better stories, strike emotions, and generate more leads & conversions which then leads to more sales.
As a software business, leveraging explainer videos is worth it.
Here are a few tips to get started with explainer videos for your business:
Focus on identifying the specific problem your target audience is facing.
Focus on keeping your watchers super engaged. (A whopping 76% of respondents say they would share an explainer video even if it’s a marketing video – as long as it was entertaining).
The shorter the explainer video, the better. 60 to 120-second explainer videos perform best.
Repurpose every content on various content platforms (like Meta, Reels, Facebook, X, YouTube Shorts, etc).
More importantly, your CTA (call to action) should be super clear and concise.
Explainer videos can attract tons of leads and customers for your business quickly.
What are your thoughts on this week's blog post?
Are you using explainer videos for your SaaS or startup?
If Yes, how effective is it? Let me know in the comments below :)
Do you plan on creating well-written search-engine-optimized blog articles for your business but don't have the tie or required experience?
Work with me to help you create outstanding blog content weekly to grow your organic traffic, leads, and customers through blogging.
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Talk to you soon,
Simon Taki Zaku,
LinkedIn: Simon Taki Zaku