In today’s fast-paced digital world, businesses face a common challenge—explaining their services in a way that is clear, engaging, and easy to understand. Customers often struggle to grasp complex ideas, which can lead to confusion and lost sales. This is where animated explainer videos come in.

Animated explainer videos break down complicated concepts into simple, visually engaging stories. They help businesses communicate their value effectively, keeping customers interested and informed. In this article, we’ll explore how businesses can use animated explainer videos to simplify their services, improve customer engagement, and increase conversions.

What Are Animated Explainer Videos?

An animated explainer video is a short, engaging video that describes a product, service, or idea using animation. These videos use visual storytelling, voiceovers, and motion graphics to convey information in an easy-to-digest format.

Types of Animated Explainer Videos

Businesses can choose from different types of explainer videos based on their needs:

2D Animation – A popular choice that uses flat, cartoon-style graphics to explain concepts.

Whiteboard Animation – Mimics hand-drawn sketches on a whiteboard to illustrate ideas step by step.

Motion Graphics – Uses dynamic text and graphics to present data-heavy information in a visually appealing way.

3D Animation – Creates highly detailed, three-dimensional visuals for a more immersive experience.

Stop-Motion Animation – Uses real-world objects and frame-by-frame photography to create animation.

Each type serves a different purpose, making it easy for businesses to select the right style based on their brand and audience.

Why Businesses Should Use Animated Explainer Videos

Animated explainer videos provide several benefits for businesses looking to communicate effectively with their audience.

Simplifies Complex Services

Many businesses, especially those in technology, finance, and healthcare, offer services that are difficult to explain. Animated videos break down these complex ideas into simple visuals and storytelling, making it easier for customers to understand what the company offers.

For example, a fintech company can use an animated video to explain how its app simplifies online payments. Instead of reading a long article, customers can watch a 60-second video and quickly understand how the service works.

Increases Engagement and Retention

People remember visuals better than text. Studies show that viewers retain 95% of a message when they watch it in a video, compared to only 10% when reading text. Animated explainer videos capture attention quickly and keep viewers engaged, making it more likely that they will remember the message.

Boosts Conversion Rates

Adding an animated explainer video to a landing page can increase conversions by up to 80%. When potential customers understand how a product or service works, they feel more confident making a purchase.

For example, SaaS companies use explainer videos to demonstrate how their software helps businesses save time and improve efficiency. A clear video showcasing the benefits can convert visitors into paying customers.

Builds Trust and Credibility

Consumers are more likely to trust businesses that provide clear, helpful information. Animated explainer videos show that a company cares about educating its audience, which helps build credibility.

For instance, healthcare companies use animated videos to explain medical procedures, insurance policies, or patient care instructions. This reduces uncertainty and makes customers feel more informed and comfortable.

Saves Time and Money

Compared to traditional marketing methods, animated explainer videos are cost-effective and reusable. Once created, a video can be used across multiple platforms—websites, social media, email campaigns, and presentations—without additional costs.

Unlike live-action videos, which require actors, locations, and expensive equipment, animated videos can be updated easily. Businesses can make minor adjustments to keep content fresh without reshooting an entire video.

Best Practices for Creating Effective Animated Explainers

To get the most out of an animated explainer video, businesses should follow these best practices:

Keep It Short and Focused

Attention spans are short, so videos should be between 60-90 seconds. A clear, concise message ensures that viewers stay engaged until the end.

Use a Storytelling Approach

The best explainer videos follow a simple structure:

Problem – Identify the customer’s pain point.

Solution – Introduce the product or service.

Benefits – Show how it solves the problem.

Call-to-Action (CTA) – Encourage viewers to take the next step.

A well-structured story keeps viewers engaged and motivated to act.

Invest in High-Quality Voiceovers and Music

A professional voiceover makes the video sound credible and engaging. Background music and sound effects enhance the experience and keep the audience’s attention.

Add Captions for Accessibility

Not all viewers watch videos with sound, especially on social media platforms. Adding captions ensures that the message is clear, even without audio. It also makes content accessible to people with hearing impairments.

Optimize for SEO and Distribution

To reach a wider audience, businesses should:

Use relevant keywords in the video title, description, and tags.

Upload the video to YouTube, LinkedIn, Instagram, and company websites.

Embed videos on landing pages to increase engagement and boost search rankings.

For businesses looking to streamline their video creation process, using an AI storyboard generator tool can help automate the planning and visualization of animated explainer videos.

Real-Life Examples of Businesses Using Animated Explainers

Many successful companies use animated explainer videos to simplify their services and engage their audience. Here are a few examples:

Dropbox – Used an animated explainer video to explain cloud storage, which helped them gain millions of users.

Amazon – Uses animation to showcase how Alexa and other smart devices work.

HubSpot – Uses explainer videos to educate customers about marketing automation tools.

Healthcare Providers – Use animations to explain treatment plans and medical procedures to patients.

These businesses have proven that animated explainer videos drive engagement, conversions, and customer satisfaction.

Conclusion

Animated explainer videos are a powerful tool that businesses can use to simplify complex services, increase engagement, and boost conversions. They make information easy to understand, memorable, and engaging, which helps businesses build trust and attract more customers.