Figuring out the budget? Take this quiz and learn the estimate, tailored to your goals.
Start Quiz ⚡️

How to Hire the Perfect Video Agency for Your Business

blog author
Rees
Chief Technology Officer
Updated:
June 14, 2026
Published:
November 3, 2024

This guide will help you choose the perfect video agency for you. And if you find this guide biased in any way, I will send a box of cookies to your home. And that’s my guarantee.

A few months ago, I had a call with a prospect. They needed an explainer video, and I had to turn them down.

Why? Because we were not the perfect agency for them.

I know this is not good for business. But we are creative folks, not traders.

The truth is, 6 out of 10 prospects have no idea what to look for in a video production agency. They find us on Google, compare us with other premium-level agencies, and choose one that feels right. 

It is like shopping in a mall. You go there, forget what you wanted to buy, and end up filling your cart with things you don’t need. And who likes malls?

To show you how dangerous this mall-shopping approach can be, let me tell you a story about a client of mine named Jimmy (name changed).

The $75,000 Cautionary Tale

Jimmy is the CEO of a reputable company that sells a subscription-based digital product. We’ve been friends since our first project, and I was with him when he secured his first seed funding. 

It was a great night, eh. But before he found What a Story, Jimmy tried his luck with several other agencies for web design, marketing, and explainer videos.

He is not afraid to say that he "burned" almost $75,000 on the wrong agencies. He felt completely scammed.

When he launched his SaaS product, he knew he needed an explainer video. So he Googled, found one agency, hired them for $18,000 for a 2-minute video agreement, and forgot about it.

One day he woke up and realized it had been over 3 months, and he hadn't heard a single word from the production agency. He called them, had a massive squabble, and finally received his 2-minute video.

It was a complete disaster.

The script was going nowhere, they used cheap public domain music (remember that stupid corporate tone from almost every cheap video?), and the animation was so ridiculous he had to fire the agency and mourn his hard-earned 18 grand.

He then moved to another agency. This time, he decided to be way more involved. He even left his core business unattended and paid full attention to this production company. 

They charged him less than the previous agency, but they couldn't comprehend his SaaS product fully. Result? 

Unclear messaging. The video was so confusing Jimmy requested a remake. Of course, the agency asked for more money because Jimmy had already utilized his 2 standard revisions.

At that point, Jimmy knew he screwed up. His marketing was diving into the dung, and it's a yucky feeling to be a CEO at that position.

When he finally found us on LinkedIn, he had already lost a massive chunk of his investment and couldn't afford a premium explainer video anymore. 

Because I liked his product, we came up with an agreement to get him started and magnify his marketing efforts. He used the video we produced in Facebook ad campaigns, amassed loyal buyers, and generated enough revenue to re-invest in a second, fully-customized video with us.

That second video got investors hooked, premium vibes were delivered, and he cashed his luck by securing seed funding.

I want to save you from Jimmy’s initial $75,000 nightmare. 

Today, we will understand how to determine which agency is best for your business so you never get burned.

Here you will know the real cost of an Explainer Video

Phase 1: Understand Your Position & Goals

Before even approaching a video production or marketing agency, you need to understand your own positioning. Sit down and answer these questions:

  • What kind of clients do you want?
  • Are you working in a B2B market or B2C?
  • What is the core of your business?
  • What is your primary USP?

If you are the founder of your company, you must have read and revised your business plan plenty of times. You know the ins and outs of it. 

If you have just bootstrapped, then sir, you might not even need a fancy video yet. Focus on the essentials of your business first unless you have funding backing your investment.

Budget vs. Concept

Do you have a budget? Do you have a concept? If you have either, you’ll get the other.

  • Case A: You have a budget. Let the agency know your budget. They will tell you exactly what they can offer for that dollar number, giving you a precise benchmark of expectations and deliverables.
  • Case B: You have a concept. If you have a clear vision, share that with these agencies. They will give you an estimate of their fees, and you will have numbers from several agencies to compare.

Know Your Audience and Goals

Why do people need YOUR business? Set your goals and write them down. Whether you need a product demo video, a social media video, or an animated explainer video - let your agency help decide the format for you based on your target audience.

I remember a client who rejected us for another agency. They were suppliers of non-branded clothes targeting retail shop owners. They were adamant about having one long video featuring everything about their brand. 

We advised them to create several short videos instead because retail managers are busy people who won't watch a long video.

Another agency offered them a longer video for the same price. The client wanted to hit two birds with one stone, but they missed miserably.

Moral of the story: Hire an agency that researches well and understands your audience’s behavior, rather than just blindly taking orders from you. Take care of the messaging, clarity, and outcome, and leave the execution to the experts.

Phase 2: Knowing the Difference (Agency vs. Studio)

Nowadays, there’s no significant visual difference. Some add agency to their names, and some add studios. But we are very detail-oriented. 

Let us tell the difference with a quick example.

A man walked into a bar. There were two bartenders - an agency and a studio.

The agency asked the man what he wanted. 

The man said, A whiskey.
Agency: Had a rough day?
Man: Yeah, I want to relax a bit.
Agency: Then why don’t you try Château Corton (red wine)? It is far more relaxing for a long night.

Another man walked into the bar. He said, I want a beer.
The studio replied, Here you go, and here’s your check.

This is the major difference. A studio or production company will do exactly what you ask for with the resources they have. An agency will figure out what works best for your business goals, no matter what it takes.

Studios are people working for you. Agencies are people working with you.

Phase 3: The 7-Step Shortlist Checklist

When you are ready to vet and shortlist your options, look for these seven critical indicators to separate the great agencies from the scams.

1. Specialization and Expertise

Every agency invests heavily in SEO to list on top of search results. Do not blindly trust Google rankings. 

Research their information deeply.

  • Maybe they don't specialize in your specific industry?
  • Maybe they are leaders in Live-shoot, but you specifically need a customized animated explainer video? Don't lose sight of your goals. Try to hire an agency whose core expertise aligns perfectly with your project needs.

2. Work Culture Alignment

Every agency is different, and you need to find one that fits your own work culture. Ask them about this on discovery calls or look through their website:

  • Do they value strict processes or flexible client servicing?
  • Do they have young, creative folks or veterans and practical marketers?
  • Do they outsource their talent or rely on an entirely in-house team?
  • Do they communicate using Slack, WhatsApp, Project Tools, or standard Phone Calls?

3. Proactive Communication

Ensure they are communicative and ask a lot of questions about your business. If they are not asking the right questions during early talks, they are not even trying to understand your business core.

A communicative agency will tell you straight away the things they can do and the things they can't. Steer clear from production companies that shoot empty rockets into the sky and promise the world without details.

4. Streamlined Production Processes

An experienced agency understands how to streamline production with excellent processes, milestone check-ins, and admin control. They have been doing this for years and know how to achieve quick results. 

Ask about their production process straightaway in your first email or discovery call. If they are reluctant to share it, they probably don't even have a real process in place.

Here we will know about our 7 step video production process

5. Authentic Portfolio and Past Work

This is pretty obvious, but look thoroughly. Make sure IT IS actually their project and not a bought template (ewww).

Look for authenticity and creativity. Check to see if they have past experience with a company or product similar to yours. If their past work genuinely impresses you, click that contact button and jump on a discovery call.

6. Verified Testimonials and Reviews

Everyone claims big names like Apple, Google, and Twitter on their landing page. Make sure they are not fish-hooking you. I know several agencies in the USA (good friends of mine) who have created videos for massive companies, but those videos got completely lost in the marketing materials.

Check if their clientele actually benefited from the video. Look for video testimonials, case studies, and Clutch reviews. If an agency is not on Clutch, they are barely in the business world. 

You can make fake website testimonials with made-up names like John Smith and no company listed, but you cannot easily hire real CXOs to praise an agency's worthiness publicly on video or verified third-party platforms.

If you are bold enough, I even advise contacting companies they claim they worked for to double-check. It is much easier to do than you realize.

7. Complete Pricing and Human Transparency

It all boils down to this: Are they honest with you? Is their pricing quote fully transparent, or are their hidden fees for extra revisions and music licensing? Are they human? 

If you feel a lack of transparency during your initial interaction, move to another agency immediately.

The Final Call

Having a video made is nothing less than an adventure. Are you prepared for that? Does your chosen agency support your decision?

Advising and guiding a client on publishing, distribution, and how to maximize the value of a production house is the true sign of a great agency.

Is What a Story your ideal agency? Maybe yes... Maybe not.

I am not trying to sell you any service here. The entire goal of this guide was to help you decide which partner aligns with your exact business objectives.

There are certain things we don't do (like wedding shoots!). But if you are in the search for a strategic explainer video company, What a Story ticks all the good checkmarks.

If you need to talk to me directly or have any doubts - call us directly. Ask for Rees or any of our experts. We will help you.

If you liked what you read, make sure to follow me on LinkedIn and join our newsletter, where we broadcast knowledge and tips for smart people like you. Trust me, it's worth it.

Rees

As CMO and resident AI engineer, Rees has spent over a decade weaponizing technology to tell better stories. He is the bridge between deep SaaS strategy and bold creative execution, ensuring every campaign is as ruthlessly efficient as it is compelling.

Chief Technology Officer
|
I love solving unsolvable problems