How Effective Are Explainer Videos? Statistics and How to Step By Step8 min read

animated hand using smartphone wanting to play a video

If memory serves me right the first company to successfully introduce an explainer video to audiences was Twitter. It was a small animated clip that detailed how users could use Twitter and viewers instantly fell in love with the concept, and businesses loved the idea of explainer videos.

Nowadays not having an explainer video is almost considered a sin with more than 81% of all companies showcasing video on their website, according to HubSpot. 60% of marketers used videos in their social media marketing in 2016. And by 2020, online videos will make up more than 80% of all consumer internet traffic (85% in the US).

More facts?

99% of those who already do use video, say they’ll continue using video.

65% of those who don’t currently use video, say they plan to start. (HubSpot)

We’re here to look at the effectiveness of explainer videos and discuss why they are or are not as instrumental in a companies success.

Before we begin let’s take a look at what explainer videos are.

Explainer videos are normally short animated clips that explain how the company‘s product or services work. They take complex ideas and transform them into easy to understand stories that everyone can understand.
an image of explainer video example animated

How Effective Are Explainer Videos?

Whether explainer videos are effective or not is largely based on the quality of the video. If you are able to explain difficult to understand concepts in an easy manner they are really doing their job and they will be well received. However, if you have an explainer video that leaves the audiences scratching their head it won’t be as effective as you would have liked.
For most companies though explainer videos have been really effective. Let’s look at some prime examples of how effective explainer videos can be.
It began with Twitter, the video created by the company common ground garnered 10 million views and established a solid user base foundation to help Twitter to grow. Even had conversions increase by almost 20% with the help of their explainer video.
Even DropBox was usually successful with their explainer video with their subscriber base jumping to 100 million users within a few months time.
The bottom line is explainer videos when used effectively can be extremely effective for your business. Here are some statistics to help convince you, mostly from HubSpot:
  • 83% of businesses say their homepage explainer video is effective. (Wyzowl)
  • 95% of people have watched an explainer video to learn more about a product or service.
  • Your consumers are more likely to make a purchase after watching a video online. 64% more likely in fact.
  • Did you know that when it comes to online product reviews, 79% of consumers prefer to watch a video as opposed to reading a text-based review?
  • 76% of marketers say it helped them increase sales.
  • 47% say it helped them reduce support queries.
  • 76% say it helped them increase traffic and 80% of marketers say video has increased dwell time on their website.
  • 56% of consumers believe that a company should have video content on its website. (Forbes)
  • People feel more comfortable about their purchase decisions if they have a product video to watch.  69% of people have been convinced to buy a piece of software or application by watching a video.  81% of people have been convinced to buy a product or service by watching a brand’s video.
  • 97% of marketers say video has helped increase user understanding of their product or service.

Explainer Videos in Email Marketing

  • Emails with video have 300% better click rates.
  • Interactive email letters improve click-to-open rate by 73%. (GetResponse)
  • Video emails have a 96% higher click-through rate.

Lead Generation Statistics

  • 93% of marketers said they got high-quality leads with the help of social media videos. (Oberlo)
  • Marketers also noted that it is possible to get 66% more qualified leads yearly with the help of the explainer video.
  • Landing pages with explainer videos convert 86% better.
  • The average conversion rate on the website with a video is 4,8% compared to 2,9% for the website without it.

Mobile Video Statistics

  • By 2022, 205 million users will watch videos via smartphones. For comparison, this figure was 187.7 million in 2019. (Statista)
  • An average time spent by adult users on mobile video consumption will reach 30 minutes in 2020.
  • This year, companies plan to invest nearly 16 million dollars in mobile video ads. By 2020, this figure is going to reach $22 million.

Why Are Explainer Videos So Effective For Businesses?

90% of all our mental stimulus comes from visual and audio aides. This is one of the primary reasons why explainer videos are so effective.
As per Andrew Angus from Switch Merge dual-coding is the principle behind the success of explainer videos. As per the dual coding principle, audio cues give users the ability to retain information of about 10% of what they’ve heard, on the other hand, when companies use both audio and video cues to stimulate users, users retain as much as 68% of all the information.
Explainer videos are so effective because they use both video and audio stimuli. This helps customers better remember the information being shared with them.
Think about how vividly you remember your favorite movie scenes. Not only do they activate your brain to a higher extent they also form a connection with you on an emotional level. This is another factor you need to consider while making explainer videos.

How To Make Effective Explainer Videos?

As we’ve mentioned before explainer videos need to be simple and follow a narrative that people can connect with. Like a good movie. When creating an explainer video you need to start with a script.
It needs to some sort of punch that hooks the audience rather than just stating facts. If you can humanize your company people will immediately fall in love with that.

Before you decide to use an explainer video:

Tell yourself if you need one.

Explainer videos are strong, but they aren’t always the best option for the story you’re trying to tell.

Decide how you’ll create it.

Although you can create with your own tools, success really depends on your goal and capabilities. If you’re making a short product demo, you will possibly get away with the charm of simplicity. Otherwise, you might suggest bringing in a video agency with the expertise and resources to execute.

Choose the best style.

Explainer videos not only needs to relay the perfect message, but its focus is in the art of the explainer that keeps them engaged.

Write the video script

The script is most important in creating a good video explainer. Your explainer video might have the world’s greatest visuals, and most Morgan Freeman-esque voiceover, and it wouldn’t mean falling behind without a solid script.

an animated desktop monitor with presentation software

Here are some steps to help create an awesome explainer video

1. Introduce your protagonist

They need to be relatable and likable. Your audience should be able to connect with the hero almost immediately if they are going to have some connection with your business. It takes time to develop a hero so make sure you put in the effort.

2. Introduce the problem the protagonist’s faces

When the first problem is introduced companies should focus on the most basic problem they’re trying to solve. Remember that simplicity is the key. If you have a common problem many people face chances are your customers are going to share it more often making the video reach viral status. You can add additional videos to explain what other complex problems you can resolve with your products in future releases.

3. Explain how your protagonist can solve his/her problems by using your products or services

The simpler the solution the better it is. use words like ‘with a click of a button’ ‘immediate results’ but also make sure your products are capable of fulfilling the customer expectations.

4. Try an invoke a call to action by asking people watching the video to try the product or service

This is an important step as without a call to action your prospective customers might not do what they’re supposed to and even though they like your video it wouldn’t amount to much.

5. Keep it simple and straight from the heart

This is an important step of creating an explainer video and one that should not be overlooked under any circumstances. The whole point of the explainer video is to make complex ideas simple so that a larger audience feels comfortable using your products/services.
Your video also needs to provide an emotional connect so audiences can be hooked to your brand. Make sure to be authentic and genuine while making an explainer video.
You can check out our article on
The best thing you can do in order to make an explainer video for your company is to hire a professional team to do it for you. A company that specialized in making explainer videos for businesses. You can contact us or check out our explainer video pricing.


Since everyone is making an explainer video for their business you have to really work hard to make yours stand out from the competition. It’s important to note that while explainer videos do play a huge role in your companies success they will only work if you follow some basic parameters as we’ve mentioned above. If you need help with your explainer videos get in touch with us today.

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