Budget realisation has hit video marketers hard. Having a low budget to create video content and marketing videos is the biggest challenge they are facing right now.
Today we are going to unveil how much marketers usually spend on video marketing strategy and campaigns and along with other expenses, and how you can create marketing videos even with a low budget.
Spending On Video Marketing
According to a report by HubSpot video marketing is the top choice for type of marketing for brands. 31% of brands accolated between 20 and 40% of their total marketing budget towards video form content. Other 30% brands went even further spending between 40 to 60% on video marketing from their total marketing budget.
This is because they get good ROI, they engage more audience, and convey their message clearly. All in all, it’s crucial that more than 50% of brands increased their budgets in 2022 and invested more than last year in video marketing. Note that this trend is more active in B2B brands than B2C.
The part of the video creation process that takes most of their budget is production. Most of the marketers reported that it takes 65% of the budget, on average. Meaning this is the most expensive part of the creation process. This is because of getting the equipment, lighting, setup, props and costume (if needed), audio, and capturing the footage. In addition to the budget this part also takes most of the time.
Production takes somewhere between 20-25% of the budget. Pre-production i.e. idea, writing the script, casting; and post-production i.e. editing and publishing are the tasks that consume the most budget after production. Pre and post-production expenditures are directly related to the distribution and on-camera talent.
More than 90% of marketers are spending up to $50,000 on producing video marketing content only.
According to a report, since 2015 video marketing budgets have increased 15 times and will continue to grow because video content it’s more engaging and effective.
1. Weigh your options
Weight your options on everything; the budget, what suits you most, and what is most effective then go with the suitable option. About 70% marketers have or buy their own equipment, 10% rent the equipment, while the remaining do both.
If you create videos frequently, buying equipment and doing the production yourself can be cheaper. Conversely, outsourcing companies give you better quality content and higher production value. So, you have to weigh your options and take the right step.
Smaller brands and companies outsource production of video content because it offers them a better ROI, quality, and production. Renting might seem beneficial and cheaper or a smart move but survey reports it is not. In fact, in-house production is the cheapest option.
To make informed decisions, analyse the type of content you produce, the equipment needed, how much time, effort, and money you are investing into it, and how often you do it. Then compare to what outsource companies charge for the same and compare. Now you can easily determine which method is beneficial.
For instance, if you don’t need any props, costume, and prepare sets then doing it yourself would be cheaper in the long run, otherwise it would be cheaper to outsource.
2. Need VS Optional
Every few months there comes a bigger gear with more high-tech specs and features. Do you think buying more camera gear and accessories would improve your production quality? If yes, you’ll end up spending too much and the results would only improve by a small percentage. Contrary to that, if you spend on better lighting and the person behind the camera, it would result in much greater quality content and cost you less.
Lighting and perspective are what make the video zero or hero, these two are what you need to hook the viewer on your video.
What is a great looking video with low quality audio? Nothing, TBH! Second most important thing to invest in is sound quality, the mic specifically. Excellent sound quality can even outshine a video from a high-end camera.
The add-ons are great but only if they are worth it, especially when you are on a budget. Remember it’s the operator that does the magic not the camera.
3. Work Smart
Producing video marketing content takes a lot of time, and marketers don’t have enough of it. What can you do about it? Play smart and leverage the content produced by others like your customers or royalty free content available.
Brands with a huge customer base and strong social media presence have loads of content produced by their users featuring their product.
Have you watched the video Rihanna posted
Before the launch of Fenty Beauty perfume the musician and founder posted a user generated compilation video of other celebrities saying how good she smells.
So, without having to produce a video for marketing they used UGC and added an authentication and user experience angle to it.
4. On-camera Talent
When it comes to hiring the magician behind the camera and face in-front of the camera, most brands struggle or cannot think of alternatives. They either hire a creator or professional, and their role can be diverse. Or they reach out to talent, which would cost them.
Another alternative is to hire new talent. You would be surprised to know how much talent newcomers have and they are willing to work for less, sometimes even just for the exposure. On top of that, they also have fresh ideas.
Almost everyone thinks of Adobe when it comes to editing software but it is not the only choice available. It is not very budget friendly when you have a tight budget. There are affordable options available and even some that are free. While they might not have all the features paid software provides, they will do the trick for simple editing. Be honest here, you don’t even use all the features anyway.
Are you still paying for the music you use? There are plenty of royalty free sources available with great music.
Video marketing is the future and if you are only staying behind because you cannot spend thousands then think again. These ideas were to motivate you and play smart, think out of the box and get in on the train. Video marketing drives more sales, so at the end it’s all good ROI.