When researching any sort of product or service before purchase, one of the driving questions many consumers have is: How much is this going to cost? The answer usually depends on numerous variables that act in tandem to form the optimal solution for a client. Regardless, the process of those variables coming together can oftentimes be confusing or stressful, especially when they are put after a dollar sign. As in all industries, this is also true of video production. Depending on the video project, the cost could be anywhere from 20 minutes to hundreds of thousands of dollars and up. Regardless of your experience in video, your potential budget, or the scope of your project, we are here to help simplify the process and work with you to make a video that will impress both you and your audience.
All projects begin with an idea. That can be a specific, detailed vision- or it can be a vague idea driven by the need to add more video components to a marketing plan. At this point, the only cost to you is the time you spend thinking and talking about the idea. However, your time is valuable. If your team’s specialized skill set does not include video production, now is the time to vet the idea with someone who has knowledge of video production and can offer you honest feedback. If after consultation the idea still seems like the right solution for you, the next step is to find the right video partner to make it happen. Depending on the video idea, the right video partner could look like a friend with a phone or a Hollywood film studio. In the end, the total cost to you will vary most based on which production option you choose.
Factors that Influence Cost
If the budget is already set, this list is a great guide of points to consider to stay within your budget and create a video solution that is sure to impress.
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- Clarity of the Goal – Having an established goal will lead to bids from video vendors that are more accurate. When the project goals, intended audience, or overarching message are unclear, it is common for bidders and clients to try and make the video project a catch-all solution. Often, this fails, leading to an expensive video product that underperforms.
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- Pre-Production – Pre-Production is arguably the most important step in determining the success of your project. The cost here for a DIY approach is either time doing the work, time learning how to do the work, or money and time for education on how to do the work. As mentioned previously, time is valuable, and if video is not a strength already present in-house, hiring a professional is more likely to yield higher returns for the same investment of time and money. Many clients are also unaware that most video professionals are trained in pre-production planning and are happy to assist you in getting your idea off the ground with your vision at the forefront.
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- Travel/Lodging – Travel is usually a line item for video productions as well. How is the crew getting to the shoot location? How far away is the shooting location? How is the on-screen talent getting to the shooting location? Where are they parking? Will they need meals while traveling? Gas? Do they need a hotel? Crew and talent time has a price. In most cases, production professionals will not charge a full hourly rate for their travel time, however, they do expect compensation for their time out of the office. You can reduce travel costs by hiring locally or considering other travel options. In some instances, the cost of a round-trip flight could be more cost-effective than driving.
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- Video Type – There are numerous types of videos which all require different equipment and skills to produce. For example, an animator is needed for an animated video, and a film crew is needed for a high-end live-action commercial. Some videos may require specific equipment that only certified staff can use, like drones for aerial footage. This step will be decided during pre-production, so you will understand the costs associated with your video type well before shooting.
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- Locations – If the project is not an animated video, at least one location will be needed for filming. That could be free if it’s on company property or property owned by a friend on the team, however, it is important to consider in your budget a location fee. This fee might cover rental, insurance, or compensate for any lost business when filming in a retail space. These fees can often be avoided by filming outside of business hours, when possible for you and your team. Even if it is a friend’s place, it is best to compensate them for the use of their space. The quality of a space can also play a role in your overall costs as well. Great spaces are usually always in demand and their location fees will reflect that. Many factors are associated with the cost of this component, so there are also specialists who will help you find locations- like BLANK out of Chicago.
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- Crew – At minimum, a camera operator is needed. If this is an inexperienced friend with a phone, buying them lunch to thank them for their help will likely suffice for compensation. At maximum, a Hollywood film crew could be hired. Film crews consist of numerous positions and departments including a director, director of photography, camera operators, sound department, craft services, and many more. As the complexity and size of the crew increases, the cost will increase. Typically, you will want to reach out to a videographer or team of videographers. They have the skills to wear most of the hats of a film crew and can adapt to many project scopes and needs.
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- Food – Morale is higher on sets with well-stocked craft services. Higher morale leads to better work and a happier crew which leads to better experience for everyone and a better video for you. Plan to feed the team. Avoid skimping in this area. While pizza delivery is good for a night at home, it is not often a choice that will honor the hard work of your team. On a large shoot, opt to order something nutritional and hearty that can flex to various dietary restrictions.
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- Talent – This is an industry term for who appears on screen. Most commonly this means actors, but it can also mean trained animals. Both have agents with fees. Most video production companies will have connections with talent agencies and can help you narrow the selection of actors that could fit your project and price range. In many cases, interviews of non-actors are a great alternative that will save on actor fees, but be aware that not everyone does well on camera. Difficulties with talent may add to shoot time as the crew tries to get exactly what is desired for the project out of an interview.
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- Video Equipment – Cameras, lenses, tripods, filters, drones, gimbals, sliders, microphones, audio recorders, headphones, memory cards, high-end computers, custom specialized rigs, etc… all have a cost whether you rent or purchase them. All video production equipment requires training, maintenance, and periodic upgrading. This is an area where costs can plummet or balloon. If you are hiring a video production specialist, their equipment is often included in their hourly fees.
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- Production Time – Production is the time spent filming. Professionals in video production may charge an hourly rate, a day rate, or a project rate for their time. Having good pre-production planning can help cut down this time significantly.
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- Set Dressing – These are the tangible items, the props, set furnishings and decor, and the costumes for the actors. Whether it’s a bit of greenery from a local flower shop to add color to the background of an interview, or a suit of armor for a period piece, these things will need to be purchased, rented, or borrowed.
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- Makeup – This could be the cost of a single-use makeup kit to take care of shine for a nervous interviewee, or it could scale up to hiring a makeup artist or team for one or multiple actors.
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- Data Management – Safe data storage is critical. If your data doesn’t exist in at least two places (local, cloud, offsite location), then it doesn’t exist. A solid video partner will have a file management plan with built-in redundancy to keep the footage and finished video files safe. This creates a library of easily accessible footage that can be repurposed for future projects. Safe data management is one of the unique, and often overlooked, reasons to invest in and nurture a long-term relationship with a video partner.
- Post-Production (Editing) – If the project is scripted and planned out well in pre-production, this stage tends to be smoother. If not, it can become a long and expensive process spent trying to fix the video after it has been shot, which, by then, is often far too late to get the content you want. Editors are happy to collaborate on your revisions to bring your vision to life, however, your early planning and clean execution makes their job much easier and less expensive for you.
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- Music licensing – There is always a fee for music licensing unless the music is produced in-house, included on a free site like freesound.org, or an artist is willing to let their music be used in the project for free. At ATCP, we use Artlist and Storyblocks, whose services are included in project costs at no additional charge.
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- Distribution – This usually falls on the client or marketing agency to execute, but is a crucial step and cost to consider. Where will the video live? Social media? Company website? Broadcast? How much money will be put into distributing the investment made in producing the video? A video partner can make the best video in the world, but it will have zero impact on the bottom line if an investment of time and money is not made in the strategy to properly distribute it. Distribution methods also impact how the video is produced which ultimately affects the cost of a project, as well.
There is much more to a video than what meets the eye and even more that meets your wallet. Understanding many of these key factors when considering making a video project is crucial to saving you and your team significant time and money. We strongly recommend doing your research before jumping right into a video project. If you are looking to budget for your next video, read articles like this one or talk to a trusted video professional for a quote. At Around the Corner Productions, we have many options to meet your video and financial goals.