What is Animated Video? Types, Best Uses, and Budget Breakdown

Animated video marketing is a powerful, versatile and cost-effective way to make your organisation look professional and deliver your message simply and quickly. But with many people unsure of how the process works, how much it costs, and what ROI animated videos deliver, we’ve put together the ultimate guide to get you informed!

We will cover the different types of animation available, the best ways to use it, and of course, the budgets.

Animated video is back and better than ever

Just as trends in fashion and music come and go, so do trends in marketing & advertising. Back in the 20-teens, animation was the undoubted King, Queen, Don, Daddy and Boss of video marketing. Everyone was using animated videos to promote, inform and engage. Large brands like Tesco, Apple and Money Supermarket would use animation for their global TV advertising campaigns. Small and Medium organisations would use animated videos for their online and social marketing content AND their educational communications.?

Since then, the trend swung away from animation back to live-action.

But in recent months at Reels in Motion, we have seen a huge increase in demand for animated videos and after speaking to other marketing professionals, it appears the appetite for animation is on the rise once more. So right now is a fantastic time to join a growing trend and get back on the animation train.?

This handy guide will tell you everything you need about animated video and how to use it to enhance your marketing strategy. If you’re a beginner to the world of video, check out our 6-Step Guide to the Perfect Video Marketing Strategy.

Firstly, what is the difference between 2D & 3D animation?

Without getting into dictionary definitions or philosophical inter-dimensional debates (I’m looking at you Marvel), think of 2D Vs 3D like this. We are making an animated video about a new Smartphone on the market. In a 3D animation, the smartphone would be like having a real-life smartphone in your hand. You can turn it around to look at all of its sides, you can bring it up close to your face and rotate it, you could even throw it against a wall and watch its inexplicably expensive screen shatter into little 3D pieces.?

?In a 2D animation, you would be holding a printed photograph of the smartphone and essentially we work with ‘flat’ illustrations or graphics, whereas in 3D, we work with models of specific objects, buildings, people.

The different types of animated video and how to use them

Let’s look at how use animated to supercharge your marketing activity. We’ve rounded up the best uses for the different types of animation alongside some examples so you can see just how powerful animated video can be!

2D Animated Video

2D animation strikes a great balance between budget and high-quality results. It is typically combined with both voiceover and music but can be used with or without.

Best used for:?

• Marketing Videos?
• Social Media Videos?
• Explainer videos?
• Software/Platform videos?

Benefits:?

• Mid-level budget?
• Energetic/dynamic style?
• Great for graphical or illustration style?
• Versatile?
• Works brilliantly with Voiceover?
• Works brilliantly with text and icons?
• Easy to make amends/changes later on?

Infographic Animation

For videos that need to share a lot of data, stats, targets or diagrams, an infographic animation is perfect. Typically, Infographic Animations work well without voiceover and are accompanied by music and sound effects.?

Best used for:?

• Awareness Raising?
• Explainer videos?
• Training Videos?
• Marketing videos?

Benefits:?

• Low-mid budgets?
• Deliver stats/results quickly and dynamically?
• Quick turnaround?
• Simple and bold designs?
• Great for cutting down into multiple short social media videos for regular release?

Text Animations???

Text animations can be the most dynamic, attention-grabbing and exciting videos around. When there is a great script, and the words are timed to perfection with a high-energy music track, text animations will transform your message.

Best used for:?

• Product or service videos?
• Promotion/offer videos?
• Social Media videos?

Benefits:?

• Low budget?
• Quick turnaround?
• High impact?
• Clear messaging?
• Branding promotion?

3D Animation???

If you’re looking to promote the technical specifications of a product, create visualisations of places or environments, or create photo-realistic human characters, 3D Animation can you give you that wow factor. It is typically more expensive than other types of animation but as technology (and render times) are improved, costs are not as prohibitive as they used to be.?

Best used for:?

• Product demos?
• Technical Demonstrations?
• Character-based storytelling?
• Visualisations?

Benefits?

• Promote product design?
• Show parts, processes, and places that can’t be seen in person?
• Wow audiences?

5 Ways You Can Use Animated Video

Now we know the different types of animation, let’s explore the way you can use them.

1. Software, platform and data animated video

For organisations that offer software, cloud or platform solutions, it can be hard to produce marketing materials that a) present your platforms dynamically and interestingly and b) show the things that CAN’T be seen e.g. back-end processing, systems or AI capability. This is where animated videos shine. Not only can you present User Interfaces (which, let’s be honest, are not always built with aesthetic beauty in mind) in a visually attractive and exciting way, but you can also represent the details and benefits of all the work behind the UI in a simple, easy to understand way. This could be achieved in 2D, 3D, or even Infographic styles.?

2. Animated explainer videos

The days of watching 10-minute-long training videos, process videos, or explainer videos are (mostly) behind us. Modern audiences, even those who are desperate to learn new/vital information, want it short, snappy, to-the-point and easy to understand. A scripted, voiceover-led animated explainer video can achieve more in 60s of screen time than 10 minutes of talking-head or presentation slides.??

3. Social Media & Marketing Videos?

With both attention spans shortening, and the volume of content increasing, it is more critical than ever to grab the attention of scrollers and visitors as quickly as possible. A fast-paced, bold, and to-the-point animated video is a highly effective way ensuring eyeballs (and fingertips) are focused on you. Add in the ability to deliver multiple key messages, products, services and offers, animation can be a consistent way to drive results for video marketing.

4. Advertising Animations?

Many of our clients need advertising solutions that will educate, inform, and entertain WITHOUT the use of sound. Whether this is for use at conferences or event stands, billboard advertising in public areas or sports stadiums, or in ‘captive audience’ environments such as showrooms, shops, or waiting areas, animated videos can be a great solution. Animation provides attention-grabbing bold colours, simple and clear messaging, and quick visual representations of what you do and the benefits you offer.??

5. Visualisation Animation?

Many organisations need to promote something (or somewhere) that isn’t possible for their target markets to see. It could be a complex manufacturing process that happens in a sealed environment. It could be a location or facility that isn’t open or built yet. Or it could be a consultancy or knowledge-based service where a tangible ‘thing’ doesn’t exist. Animation allows us to not only see these, but to explore them in microscopic detail, understand the processes behind them, and see the technical innovations that can be taken for granted once behind closed doors.? Whether through photo-realistic 3D animation or simple 2D animated diagrams, video animation can make the unseen, seen (and heard).??

What impacts the budget for an animated video?

As with all video production, budgets can be affected by a range of factors, but with animation, it essentially boils down to two things: The style of the animation and the duration of the video.??

The duration of the video is a critical factor in most animation projects. The budget for a 1-minute animation will likely be doubled for a 2-minute animation. With live-action video content, the difference in cost between a 1-minute edit and 2 minutes would be minimal – all of the footage exists so it is just a case of editing more of it in! Whereas in animation, an additional 1-minute of screen time will result in double the amount of assets.

The style of animation also dictates the budget, especially between 2D and 3D. The more complex or advanced the visual style, the longer it will take to create. On the flip side, a simple text animation will require hardly any illustrations, so the time required and budget will be significantly lower.??

There are also two ‘optional’ considerations when it comes to budget. Firstly, the script. If you require your production company to produce the script, this will add costs to the average price. Having said this, many of our clients see the costs for the script as a cost-saver. An experienced and skilful animation writer will take your key messages and deliver them in 60s engagingly and compellingly. Whereas an in-house script supplied to a production company may end up closer to 2 minutes and the budget moves significantly upwards.?

If you require a voiceover artist, this can add anything from ￡200-600 onto the total budget.

So, how much does an animated video cost?

Let’s put aside all the many variables that can affect budgets and look at some average costings for different animation types.?We will assume these do NOT include scripting and voiceover artists and will set a duration of 60 seconds: ??

• 60s of Text Animation would on average cost between ￡400-1000?
• 60s of Infographic Animation would on average cost between ￡1000-2500?
• 60s of 2D Animation would on average cost between ￡1500-3000?
• 60s of 3D Animation would on average cost between ￡2500-5000?

These are, of course, approximate numbers – Reels in Motion have delivered these video types at both under and over these figures. But the bottom line is screen time. More duration = more budget.??

So, why should you allocate your marketing budget to animated video?

In conclusion, animation is not just making a comeback—it’s proving once again how powerful and adaptable it can be in modern marketing. Whether you’re looking to grab attention on social media, explain a complex product, or showcase unseen processes, animation offers endless creative possibilities.

By understanding the different types of animation, how they can be used, and what factors influence the budget, you can make an informed decision that maximises your ROI. As animation continues to rise in popularity, now is the time to harness its potential and make your message stand out.

If you are ready to start with animated video, Reels in Motion can help. Give us a call on?01782 454054?or?click here to get in touch.