Airing a 30-second commercial on TV costs an average of $104,700. And for prime time, it costs far more than that. The actual cost of a commercial depends on many factors, such as airtime, location, and the size of the target audience.
The largest chunk of the budget usually goes towards paying for airtime during popular programs that have high ratings. For example, a 30-second ad spot during the Super Bowl costs millions of dollars and the price increases each year.
For programmatic TV buying, which is growing in popularity, the cost of a 30-second ad spot can be as low as $5 per 1,000 impressions or as high as $50.
So how much does it really cost to produce a TV commercial? Let’s take a look at all of the costs involved in video production.
Video Production Equipment Costs
If you know how to produce a video and you plan to do so on your own, then you’ll need to factor in the cost of either buying or renting the equipment. The cost of video production equipment ranges from a few hundred dollars to tens of thousands, depending on the quality and complexity of the project.
For example, a basic video camera may cost a few hundred dollars, while a high-end professional camera can easily cost several thousand dollars.
In addition, video production often requires the use of specialized lighting and sound equipment, which can also add to the overall cost.
Many video productions require the use of editing software, which can cost anywhere from $250-$600 for the best programs (e.g., Adobe Premiere Pro, Final Cut Pro). And if you need any add-on software, such as After Effects, that will add to the price as well.
Finally, don’t forget about the cost of miscellaneous items such as memory cards, batteries, and other incidentals. All of these costs can quickly add up, so be sure to factor them into your budget when you’re planning your video production.
Hiring a Video Production Company
If you don’t have the time or skills to produce the video yourself, then you’ll need to hire a professional video production company. The cost of hiring a video production company will vary depending on the scope and complexity of the project.
For example, a simple corporate video can cost a few thousand dollars, while elaborate commercials or music videos can easily cost tens of thousands, or even hundreds of thousands, of dollars.
When you’re hiring a video production company, be sure to get an estimate in writing before you begin the project. This will help avoid any unexpected costs down the road.
Testing Your Video
Once your video is complete, you’ll need to test it out to make sure everything looks and sounds the way you want it to. This process is known as “quality assurance” (QA), and it’s an important step in the video production process.
The cost of QA will vary depending on the length and complexity of the video. For a simple video, QA may only take a few hours. But for a more complex video, QA can easily take several days or even weeks.
And don’t forget about the cost of making any necessary changes to the video after QA is complete. These post-production changes can add up quickly, so be sure to factor them into your budget.
As you can see, there are a lot of factors to consider when it comes to the cost of producing a TV commercial. So the answer is: it depends.
For most projects, you can expect to pay somewhere between $1,500 and $20,000 in total. Some frameworks (such as product demos and animated clips) cost less than this. Intense commercials with CGI and celebrity endorsements cost more.
To get a better idea of how much your specific project will cost, it is best to get estimates from multiple video production companies before you make any final decisions.
And remember, the quality of the production is often worth the extra cost. After all, your commercial is an investment in your business, and it should reflect that.
How to Offset the Costs of Video Production
Now that you know how much it costs to produce a TV commercial, you may be wondering how to offset the cost. Here are a few tips:
- Try to negotiate with the video production company. Many companies are willing to work within your budget if you’re upfront about your budget constraints.
- See if you can get discounts on equipment rentals or post-production services.
- Look for video production companies that offer package deals. This can often save you money in the long run.
- Repurpose your video content throughout your other campaigns. If you’re running branded campaigns on social media, for example, you can use your commercial as an ad. This will help you get more bang for your buck.
Final Thoughts: The Costs of Producing a TV Commercial
As you can see, there are a lot of factors to consider when it comes to the cost of producing a TV commercial. The good news is that there are ways to offset the cost, such as negotiating with the video production company or looking for package deals.
In the end, your commercial is an investment in your business, and it should reflect that. So don’t be afraid to spend a little extra to get the quality you deserve.