How much does an AI-made video cost versus a traditional one?

By Ranjit Bhinge, founder of Blur Studio · Updated · 8 min read

Short answer: Traditional promo and explainer videos are priced from roughly $1,000 for simple motion graphics to $40,000 or more for premium work, according to the studios that sell them. AI video can cost a few dollars in credits for a 30 second ad if every clip works, and several times that once you count retries. On Runway, an AI video tool you pay for with credits, one plan gives about $0.29 per second on one model. The bigger bill in both routes is often your own time, and every traditional price below is published by a company that sells video.

Ranjit Bhinge

You need a promo video and the quotes you find range from a few dollars to a car, so you cannot tell what a fair price is.

I'm Ranjit, and I run Blur Studio: 15+ years building software, 120 apps taken live, and clients who have gone on to raise $10M+. I build AI systems and processes that help businesses do a lot more with a lot less time. I also work differently from most of what else is out there, more on that further down this page. Say hello.

Every number for traditional video on the internet is published by a company that sells video. That includes the ones on this page. So I show who said what, I show the spread instead of a made-up average, and the AI side comes from a price list dated 4 November 2026. The sums at the end use made-up inputs that you should replace with your own.

This page is a price page. If you want a comparison of one editor against one tool, read AI video generator versus hiring a video editor, which works through hourly rates. If you want to know where the footage should come from, read AI video versus stock footage versus filming yourself.

The short answer: from a few dollars to tens of thousands, and the sticker price is the smaller part

A single AI clip can cost cents. A premium animated film can cost tens of thousands. In between sit freelancers, small studios, subscriptions and hybrids. What usually decides the real cost is not the sticker price. It is how many tries you need, how many rounds of changes you ask for, and how many hours you spend on it yourself.

What traditional promo videos cost, and who published each price

The table uses three studio and video service pages (two more are covered in the date warning below). Treat each range as "what this seller says it charges", not as the market.

Video typeRange statedPublished by (what they sell)
Simple motion graphics$1,000 to $5,000Shootsta, a video subscription seller
Custom 2D animation$2,500 to $10,000Video Explainers, which sells AI and custom video
Custom 2D animation$5,000 to $15,000Shootsta
Custom 3D animation$5,000 to $25,000Video Explainers
Premium character animation$15,000 to $40,000 and upShootsta
Live action explainer$5,000 to $20,000Shootsta
Custom animated explainer, UKFrom GBP 975Lost Marble Media, a UK animation studio
AI avatar video (a presenter that is generated)$497 for a single video, $300 to $375 each on a planVideo Explainers
Monthly video subscriptionFrom $1,000 a month (Shootsta) or $1,499 a month (Video Explainers)Each seller

Look at the gaps. The same kind of video, custom 2D, is $2,500 to $10,000 on one page and $5,000 to $15,000 on another. Lost Marble also says agencies quote GBP 3,000 to 10,000 or more for 60 seconds, but it gives no source for that. Video Explainers' page contradicts itself between its table and its FAQ, and the $99 headline on it is for a voiceover language add-on, not a video, so it is not used here.

Be careful with dates. Two of the seven pages reviewed for this topic carry a 2026 label that does not match their own dates. One studio blog shows dates back to 2018 and another was first written in 2023 and updated in December 2025. Neither is used as a 2026 price. One of them says it collected quotes that ran from $950 to $250,000, which, if it is still true, shows how wide the spread really is. That is a reason to get your own quotes, not a number to plan around.

The full list of the sellers' hidden costs is in the next sections. If your job is a TV spot, cheap TV commercials for small business is the better page.

What AI-made video costs: credits, subscriptions and retries

AI video tools usually sell a monthly plan that comes with credits. A credit is the unit a site spends each time you generate something. Different models cost different numbers of credits per second. I use Runway as a price example only. Runway sells AI video tools and hosts several video models. This is not a recommendation, and other tools differ. For the plans of another product, see Higgsfield pricing.

From Runway's pricing page as of 4 November 2026:

  • Plans: Free has 125 one-time credits. Standard is $15 a month ($12 if billed yearly) for 625 credits. Pro is $35 ($28) for 2,250. Max is $95 ($76) for 9,500.
  • Credits per second of video: Gen-4.5 (Runway's own model) uses 12 credits per second. Kling 4.0 at 1080p lists 118 credits for 5 seconds (23.6 a second), with a 25% discount shown until 30 November 2026 (89 credits for 5 seconds), so the table below uses the list rate. Seedance 2.0 Pro at 1080p lists 160 credits for 4 seconds (40 a second). Kling and Seedance are video models made by other companies.
  • Extras: the Standard plan lists no watermarks, but the page does not address commercial use. Check the terms before you run ads. Read can I use AI video commercially.

There is no Veo price reliable enough to use (Veo is Google's video model), so it is left out. Check the vendor page for any tool you want to price.

A worked example with Runway's numbers and made-up retries

Standard costs $15 for 625 credits, which is $0.024 a credit. On Gen-4.5 at 12 credits per second, that is about $0.29 per second. Everything below uses that plan rate. The number of attempts and the hourly rate are my invented inputs. Swap in your own.

Say you want a 30 second ad built from six clips of 5 seconds each.

LineGen-4.5Kling 4.0, 1080pSeedance 2.0 Pro, 1080p
Credits per second1223.640
30 seconds if every clip is kept360 credits, about $9708 credits, about $171,200 credits, about $29
Made-up: 5 attempts per kept clip1,800 credits, about $433,540 credits, about $856,000 credits, about $144

Two things to notice. First, retries, not the sticker price, are the cost: five tries per kept clip multiplies the bill by five. Nobody publishes a reliable average for this, so measure your own for a week. Second, the plan matters. Standard gives 625 credits a month, which Runway says is 52 seconds of Gen-4.5, and unused monthly credits do not roll over. Five attempts per clip for a 30 second ad needs 1,800 credits, so you would need a bigger plan or several months of credits. The Runway FAQ says extra credits can be bought from the dashboard, with a minimum purchase of 1,000 credits, and that bought credits never expire. It does not state the price on that page, so check it.

The cost people leave out is yours. Suppose it takes 3 hours to write prompts, pick the best clips, fix the problems and assemble the ad. At a made-up $50 an hour that is $150. Put it next to the credits:

Line (made-up inputs)Amount
Credits, Gen-4.5, 5 attempts per kept clipabout $43
Your time, 3 hours at $50$150
Voiceover and music licencesAdd your own number
Editing tool for captions and logoAdd your own number
Running total before voice, music and toolsabout $193

That is far below the traditional ranges above. But the two are not the same product. The studio quote usually includes things the AI route does not.

What a traditional quote usually contains that AI output does not

  • A person who is responsible for the result. Someone who fixes it, and answers if it goes wrong.
  • Actors with signed releases, a licensed music and voice chain, and clear rights.
  • Reshoots and revisions. A set number of rounds, often 2 to 3.
  • Delivery in every format you need.
  • Script and concept work, if you ask for it.

And some items cost the same on both routes: the script and the offer, a landing page, captions, rights for any voice you use, and the media spend to show the ad. The video is often the smaller bill.

Hidden costs on each side

Traditional (as stated by the sellers)AI route
Each extra 30 seconds adds 25 to 40% (Video Explainers)Longer ads need more clips and more retries
Rush work adds 25 to 50% (Video Explainers)No rush fee, but your own hours
Human voiceover, $200 to $1,000 (Video Explainers)Voice licences or a separate voice tool
Extra revision rounds beyond those includedExtra attempts, which cost credits and time
Source files, social cut-downs and format conversions, which some studios charge forResizing and cut-downs in an editor you must pay for or learn
Stock footage and music pass-throughMusic and voice rights, plus checking the tool's terms for your plan

Which route for which job

JobRoute I would start with
Quick social ad or short postPhone footage or AI clips, finished in a simple editor
Product demoReal footage of the product, with AI used for background shots
Explainer with a clear scriptA freelancer, a template tool or a hybrid, depending on budget
Brand film or TV spotA traditional or hybrid studio
TestimonialReal people only. See when not to use AI video
Ongoing weekly contentA subscription or a retainer, compared on cost per video

If a real person must speak, or a real product must be held in hand, film it on a phone before you think about AI. If you need actors, releases and a broadcast ready result, a studio or a hybrid is the safer buy. Subscriptions from video studios are a third route between one-off jobs and doing it yourself, and most "AI versus traditional" pages skip them. Compare them on cost per video.

Ways to spend less without losing quality

  • Write the script and the offer before you spend anything. A weak message wastes any budget.
  • Film the real parts on a phone and use AI only for the shots you cannot film.
  • Cap your attempts. Pick a limit, for example five tries per shot, then change the idea or switch to stock footage.
  • Ask studios for a price per video with a set number of revision rounds.
  • Reuse. One good clip can become several formats.
  • Learn the credit costs before you start. How to spend credits wisely covers a method for measuring cost per approved clip.

Questions to ask before you pay anyone

  1. What exactly is included: script, voice, music, revisions, formats?
  2. How many revision rounds are free, and what does a further round cost?
  3. Who owns the final files and the source files, and is there a fee for them?
  4. Are there rush fees or length surcharges?
  5. For AI work: which tool, which plan, and does its licence cover commercial use?
  6. Who checks the result for mistakes and rights problems before it goes live?

How I'd approach this

I would not trust any single number on this page, including mine. I would get two or three real quotes for the same short brief, run one small AI test with a hard cap on attempts, and time myself accurately. Then I would compare cost per approved video, including my hours, side by side.

For most small businesses I expect a mixed answer: real footage for the parts that must be true, AI for extra shots and variants, and a person for the final check. If you want help setting that up so it is repeatable, Blur Studio builds the workflow around the tools: a shared asset library, a review and approval page and a shot list template. See how I work with businesses. For the technology behind the clips, start with what AI video generation is and how it works.

Questions people ask

How much does a promo video cost?

On the seller pages checked on 4 November 2026, simple motion graphics start around $1,000 and premium animation runs to $40,000 or more. Live action explainers were listed at $5,000 to $20,000. Every figure comes from a company that sells video, so get two or three quotes on your own brief.

How much does a 60 second explainer video cost?

Custom 2D animation was listed at $2,500 to $10,000 by one seller and $5,000 to $15,000 by another, with 3D up to $25,000. One seller says each extra 30 seconds adds 25 to 40%. Prices vary by style, length, revisions and voice. Ask what is included before comparing.

Is AI video cheaper than hiring a videographer?

Often in cash, but they are not the same product. A videographer films real people and places and takes responsibility for the result. AI makes generated clips that you review and assemble. Count credits, retries and your own time. See AI video generator versus hiring a video editor.

How much does AI video cost per second?

It depends on the tool and model. On Runway's pricing page as of 4 November 2026, Gen-4.5 uses 12 credits per second, which at the Standard plan rate of $15 for 625 credits is about $0.29 per second. Kling 4.0 at 1080p uses 23.6 credits and Seedance 2.0 Pro at 1080p uses 40. Check the live page and the tool you plan to use.

Are there hidden costs in AI video?

Yes. Retries use credits, your review and editing time has a price, and voice, music and editing tools can add to the total. Some plans may not cover commercial use, so check the terms. Read can I use AI video commercially before you run an ad.

What is the cheapest decent promo video?

Film it on a phone, with a clear script and good sound, and add captions in a simple editor. Use AI only for extra shots you cannot film. See how to make a promo video from text.

Can I use AI video commercially?

It depends on the tool, the plan and what is in the clip. Runway's pricing page lists no watermarks on Standard but does not address commercial use, so read the terms. Also check rights to any voice, music or real person in the video, and the ad platform's labelling rules. This is information, not legal advice.

More in this topic: AI video basics for business owners (10 guides) →

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