Best Explainer Videos for Small Businesses

Explainer videos have become a must-have for small businesses trying to stand out in a crowded market. Whether you’re a startup with a bold idea or a local shop trying to boost sales, a well-made explainer video can capture attention, simplify your message, and build trust quickly. In today’s fast-scrolling world, you often have only a few seconds to make an impression—and a smart, engaging video can do just that.

This article explores how explainer videos benefit small businesses, the different styles available, and what to look for when creating one. We’ll also walk through real examples, answer common questions, and help you find the right fit for your needs.

Why Small Businesses Need Explainer Videos

Small businesses often struggle with visibility and messaging. With limited budgets, time, and marketing experience, it’s easy to get lost among bigger competitors. That’s where explainer videos shine—they take your complex idea or service and turn it into something your audience can grasp within seconds.

Here’s why they’re so effective:

• Quickly Communicates Value
  Explainer videos summarize your product or service in a minute or less. No walls of text. Just a simple story that helps people “get it.”
• Boosts Engagement
  Video content performs better on websites and social media. It keeps visitors on your page longer, increasing the chances they’ll take action.
• Builds Credibility
  A professionally crafted video makes your business feel trustworthy and established—even if you’re just starting out.
• Improves Conversion Rates
  Studies show that adding a video to your landing page can increase conversions by up to 80%. That’s a huge edge for small businesses with limited traffic.
• Saves Time in Sales
  Instead of explaining your service over and over again, you can just share the video. It acts like a virtual salesperson, available 24/7.
• Strengthens Your Brand Voice
  Whether you go for fun animation or heartfelt storytelling, explainer videos help define your brand’s tone and personality.

Different Types of Explainer Videos and Their Use Cases

Not all explainer videos are the same. Depending on your audience, message, and budget, one style may work better than another. Let’s look at the most common types small businesses use and what they’re best for.

• Animated Explainer Videos
  These use characters, icons, and voiceovers to explain your idea in a playful and digestible way. Great for abstract services or startups that need to break down a new concept.
• Whiteboard Style
  Think of a hand sketching drawings as a narrator explains. It feels educational and is ideal for coaches or consultants who teach processes.
• Live-Action Videos
  These feature real people, locations, or your team speaking directly to the audience. Perfect for personal brands or businesses selling human connection—like a massage studio or bakery.
• Screencast Videos
  These are straightforward screen recordings, often with voice narration. SaaS businesses or software tools use them to show exactly how something works.
• Motion Graphics
  A bit more polished than animation, motion graphics rely on sharp transitions and bold text. They’re great for industries where you want to show data, like real estate or finance.

How to Create an Effective Explainer Video on a Small Budget

You don’t need a huge marketing budget to make a great explainer video. Many tools and services are designed with small businesses in mind. Here’s how you can make it work:

• Start with a Clear Script
  Your script is everything. Keep it short, around 60-90 seconds, and focus on the problem, your solution, and a call-to-action.
• Know Your Audience
  Are you targeting parents? Tech lovers? Small shop owners? The tone and style of your video should match their expectations.
• Choose the Right Style
  Animation works well if you’re camera-shy or don’t have a physical product. Live-action works better if your business is service-based or built on relationships.
• Use DIY Tools When Possible
  Platforms like Animaker, Powtoon, or Biteable let you drag and drop your way to a good-looking video without technical skills.
• Invest in Voiceover or Music
  Bad sound ruins a video fast. Hire a voice actor from Fiverr or add royalty-free music from sites like AudioJungle.
• Keep It Short and Punchy
  Don’t overload your video with features. Stick to the core message. Why should someone care? What can you solve?
• Add Subtitles
  Many viewers watch videos with the sound off. Including captions helps your message land anyway.
• End with a Clear Action
  Whether it’s “Book a Free Call” or “Visit Our Store,” your video should close with a direct next step.

Top Explainer Video Services for Small Businesses

If you’d rather outsource the video production, many agencies and freelancers specialize in affordable packages for small brands. Here’s a quick guide:

• Fiverr
  Ideal if you’re just starting and need something simple. Look for creators with strong ratings and clear portfolios.
• Animoto & Biteable
  These web-based platforms help you build videos yourself using templates. You’ll need time and a bit of creativity, but it can save you money.
• Wyzowl & Explainify
  These are best for businesses that want a polished, done-for-you video with branding baked in.
• Video Brewery
  A good middle ground. You describe your idea, and they match you with vetted video professionals.

Choose what works for your budget and timeline, but always review samples before hiring or signing up.

FAQs: Explainer Videos for Small Businesses

What makes an explainer video effective for small businesses?
An effective explainer video is short, clear, visually appealing, and tells a story. It identifies a problem, shows how your product or service solves it, and ends with a call-to-action.

How long should an explainer video be?
The sweet spot is usually 60 to 90 seconds. Longer than that, and you risk losing your audience. Focus on clarity and emotion rather than covering every single feature.

Do explainer videos really help increase sales?
Yes. Explainer videos have been proven to boost engagement, reduce bounce rates, and increase conversions. For small businesses, this can mean more leads, more signups, and better ROI.

Can I make an explainer video by myself?
Absolutely. Many tools make it easy even for non-designers. Sites like Animaker, Powtoon, and Canva’s video editor let you create simple, clean videos with no coding or editing experience.

What’s the average cost of a professional explainer video?
It ranges widely. You can find freelance creators on Fiverr starting at $100. Agencies may charge $1,000 to $10,000 depending on complexity. Most small businesses start around the $500–$1,500 range for a solid result.

Should I use animation or live-action?
It depends on your business. Animation is often cheaper and easier to produce, especially if you don’t want to appear on camera. Live-action is better for personal brands or businesses built on trust and human connection.

How do I use explainer videos once they’re made?
You can add them to your homepage, include them in email campaigns, post them on social media, or use them in paid ads. Pin it on your Facebook page or share it during online events.

Conclusion: Let Your Story Shine with the Right Explainer Video

Explainer videos are no longer just a nice-to-have—they’re one of the most efficient ways for small businesses to stand out, connect with customers, and grow faster. Whether you’re a solo entrepreneur or a local business with a small team, these short videos work around the clock to introduce your brand, sell your solution, and build trust.

You don’t need a huge budget or Hollywood experience to get started. What matters most is having a clear message, a story worth telling, and the right format to deliver it. From DIY tools to freelancer platforms, there’s a solution for every budget and need.

So if you’re ready to boost engagement, sharpen your pitch, and drive more action—an explainer video might be exactly what your small business needs. Take the leap. Script your story. Let your message move.

Now’s the time to tell your story, your way.