What do you do when your business reaches a snag and no one is interested in your product? How do you grow your business and increase sales?
Sure, you may spend a lot of money on SEO, Facebook advertisements, PPC campaigns, and other forms of advertising to get the word out about your product and capture the attention of your prospects.
However, the issue isn’t just about locating prospects… It’s more about turning those leads into paying clients.
According to Rand Fishkin, the founder of Moz, you must “gain the notice, respect, and trust of people who could buy” in order to sell your product. Sure, cultivating a relationship with your prospects takes time… Explainer videos, on the other hand, may help you accomplish all of this in 60-90 seconds.
Explainer videos, dubbed the “21st century sales machine,” employ graphics and storytelling to capture prospects’ attention, educate them about the product, thrill them with customised images, and build an atmosphere for purchase.
Here are a few examples of successful entrepreneurs who used explainer videos to educate, excite, and convert their prospects and increase revenue. Let’s hear them out.
A Growing List of Case Studies for Explainer Videos:
1. Dropbox: An Explainer Video attracted 10 million new customers and generated $48 million in additional revenue.
Dropbox (the popular file hosting business) had invested in “sponsored search” during its early stages and was unsatisfied with the results. They were spending between $233 and $388 each new customer for their $99 product.
As a result, Dropbox was dissatisfied with its AdWords, affiliate programme, and other advertising initiatives. Their income was dwindling.
Dropbox’s founder, Drew Houston, has previously utilised a demo video to validate the concept and prove a market demand for Dropbox. Drew had this to say about the video’s success:
“Hundreds of thousands of individuals visited the website as a result of it. Our beta waiting list grew from 5000 to 75000 persons in a matter of hours. It completely astounded us.”
Drew decided to spend in making a product video this time after seeing a tremendous return on his self-recorded screencast. He enlisted the aid of a professional video production business to develop an explainer video that would help his potential customers grasp the Dropbox concept and encourage them to buy.
The new explainer film, which cost under $50,000 at the time (in 2009), was a great success.
This 2-minute whiteboard explainer video resulted in a 10% conversion rate, resulting in 10 million additional clients and a $48 million revenue increase. Dropbox used a referral campaign and other smart marketing strategies in addition to the explainer video to grow their client base from 0 to 100 million users.
2. Crazy Egg: Explainer Video Increased Conversion by 64% and Added $21,000 in Monthly Revenue
Crazy Egg is a well-known heat map tool that allows you to “visualise where your visitors click.” You may use this web tool to better understand and optimise the degree of engagement of website visitors, as well as build better landing pages to increase your company’s conversion rates. Crazy Egg, on the other hand, needed to enhance its own conversion, so creator Neil Patel invested in an animated instructional film.
The animated film is 158 seconds long, which is a little too long for an explanation video, but the end effect is fantastic. Crazy Egg saw a 67 percent increase in conversions, and the founder said that the video helped them earn $21,000 more each month.
3. Rypple: Explainer Video Increased Conversion by 20%
Rypple, a social performance management platform, aimed to increase the number of people who signed up for their free trial. They, too, had heard about the conversion potential of explainer videos. Rypple, on the other hand, wanted to see how effective an explanatory film would be in increasing their conversion rate. They set up three landing pages and ran an A/B test after obtaining their explanatory video:
1. Text and image on a landing page
2. Facebook live action testimonial video on a landing page.
3. Explainer video on the landing page
The landing page with the explanatory video received the most votes. The visual explanation and tale were well received by the target demographic, resulting in a 20% increase in conversion. Bingo!
4. RankWatch: Explainer Video Increased Conversions by 27%
RankWatch’s conversion difficulty was similar to that of other SaaS products in that, although being a wonderful web service, it struggled to communicate its worth in words. As a result, he was losing ground.
RankWatch recognised the need for a visual description to help visitors comprehend the product and convert.
The construction of RankWatch’s explainer film began in this manner, and it resulted in a 27 percent increase in free trial users and increased revenue.
5. CaseComplete: Explainer Video Boosted Conversions by 23%
CaseComplete, a requirements management application, is another explainer video success storey. Visitors to the site lacked the time and patience to learn about the software’s features (a result of the human attention span’s 8 seconds and a general attitude toward software that it’s too complicated for me).
As a result, CaseComplete was losing clients.
CaseComplete tried out an animated explainer film after hearing about Dropbox and Rypple’s sales success with explainer videos. They expected at least a 5% conversion rate.
Their expectations were exceeded by the outcome. The conversion rate increased by 23% as a result of the explainer video.
6. Dollar Shave Club: Within 2 days of releasing the video on YouTube, 12000 new orders were placed.
It cost $4500 to make and stars Michael Dubin, the founder of Dollar Shave Club. He also wrote the script for the video. The commercial was directed by Lucia Aniello, and the video was later posted on YouTube.
You might think Dollar Shave Club’s explanatory film is too brash with punchlines like “our blades are f**king awesome” and “your handsome-as* granddad had one blade- and polio.” It’s brazen, but they’re able to get away with all that beautiful profanity because they know their audience will enjoy it. Dollar shave club Club has done some research and discovered that the majority of their customers are men in their 20s and 30s. As a result, their explainer video successfully appeals to their target group through language and humour. With over 20 million views, it was a resounding success.
Dollar Shave Club became an instant sensation thanks to the video, which resulted in 12,000 additional orders in just two days.
7. Jellyfish: In 7 Days, An Explainer Video Helped Close A $800,000 Deal
An explanatory video was utilised by Jellyfish, a freight management company, to warm up their cold calls. They made a good impression on a client who had never heard of Jellyfish before. Jellyfish was able to close a $800,000 contract in just 7 days thanks to the explanation video. Yes, it was a cold call, as the customer had never heard of Jellyfish before.
And you’re well aware that cold pitches only have a 1-3 percent success rate in securing an initial meeting with a client.
In this case, however, that is not the case! The client reached out to Jellyfish for a meeting before the salesman could send the follow-up email to start the conversation from their end, and the purchase was closed. And it was all because the client watched their explainer film, understood what Jellyfish did, and realised that was exactly what they needed.
8. Autocad WS: 10 million downloads and media coverage
Let’s hear it from the source: the founder.
“Here’s an example of how we worked hard to improve the appeal of our app. As a mascot, we created ‘Andy the Engineer,’ and the app’s video included an architectural version of Andy with plenty of ‘Andy’ jokes. That video has over 1 million views, which is incredible considering it’s for a CAD app. It also helped us receive coverage on blogs that cover Android apps, such as the ones I mentioned before. When we had fantastic photography and a video, we witnessed a tremendous difference in our success rate when trying to get bloggers to cover us.” Similarly, Stuart Hall, the founder of Appbot, produced a Software Preview for his fitness app “7 Minute Workout” in a matter of days (available for free download now). As a result, Apple Australia, where he lived, highlighted the video in the App Store, increasing the visibility of the app and influencing app downloads.
That is all there is to it. The success and sales achieved by these companies and entrepreneurs as a result of explainer videos.
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