Offering Explainer Video Retainers & Subscription Models

April 25, 2025
6 min read
Table of Contents
explainer-video-retainer-agreements

Mastering the Animated Explainer Video Retainer Agreement

Are you an animated explainer video service business owner looking for ways to build more predictable revenue and deepen client relationships? Relying solely on one-off project bids can lead to feast-or-famine cycles. Implementing a video retainer agreement or subscription model could be the game-changer you need in 2025 and beyond.

This article dives into the practicalities of offering explainer video services on retainer. We’ll cover the benefits, different models, pricing strategies, and how to structure these agreements to ensure mutual success for you and your clients.

Why Offer Video Retainers or Subscriptions?

Moving beyond solely project-based work offers significant advantages for your animated explainer video business:

  • Predictable Revenue: Retainers provide a consistent stream of income, smoothing out cash flow fluctuations.
  • Stronger Client Relationships: Ongoing work fosters deeper partnerships, positioning you as a trusted, long-term content partner.
  • Increased Client Lifetime Value (CLTV): Retainer clients typically spend more over time compared to one-off clients.
  • Streamlined Operations: Regular work allows for more efficient resource allocation and workflow optimization.
  • Reduced Sales Cycles: Selling subsequent projects or upsells to existing retainer clients is significantly easier than acquiring new ones.
  • Easier Capacity Planning: Knowing your recurring commitments helps you manage your team’s workload effectively.

Types of Animated Video Retainer Models

Several models can be adapted for animated explainer video services. The best fit depends on your target client’s needs and your service offerings:

  • Fixed Deliverable Retainer: A set package of specific video assets delivered monthly or quarterly. Example: 1 x 60-second explainer video + 2 x 15-second social media cuts per month.
  • Time-Based Retainer: Clients purchase a block of your team’s time per month at a preferred rate. This offers flexibility but requires careful scope management to avoid overruns.
  • Value-Based Retainer: Priced based on the results or value the video content delivers (e.g., targeting specific conversion rates, lead generation goals), rather than just hours or deliverables. This is often higher-margin but requires clear KPIs and tracking.
  • Credits or Point System: Clients purchase credits upfront that can be redeemed for various services (e.g., animation minutes, scriptwriting hours, revision rounds). This gives clients control while ensuring predictable revenue for you.
  • Subscription Tiers: Offer layered packages (e.g., Bronze, Silver, Gold) with increasing levels of deliverables, features, or support per month. This uses pricing psychology principles to guide clients towards higher-value options.

Structuring Your Video Retainer Packages

Designing effective retainer packages requires careful consideration:

  1. Define the Scope: Clearly list what is included (e.g., specific number of animation minutes, script revisions, voiceover options, music licenses, aspect ratios for different platforms). Be explicit about what is not included.
  2. Determine Deliverables: Specify the exact video assets produced each period (e.g., final video files, storyboard drafts, animated GIFs, social media versions).
  3. Set the Frequency: Monthly or quarterly retainers are common. Align the frequency with the typical production cycle for the deliverables included.
  4. Tier Your Offerings: Create 2-4 distinct tiers with increasing value and price points. This helps target different client budgets and needs. For instance:
    • Starter: 1 x 60-sec explainer per quarter
    • Growth: 1 x 90-sec explainer + 2 social cuts per month
    • Enterprise: Custom package with dedicated resources
  5. Price for Profitability and Value: Calculate your costs accurately (labor, software, overhead) and then price based on the value the ongoing video content provides to the client, not just your internal costs. Consider the predictability and relationship value built into a video retainer agreement.
  6. Include Onboarding & Management: Factor in time and cost for initial setup, ongoing communication, and project management specific to retainer clients.

Crafting the Video Retainer Agreement

A solid video retainer agreement is the foundation of a successful ongoing relationship. It should be comprehensive and legally sound. Key components include:

  • Parties Involved: Clearly identify your business and the client.
  • Term: The duration of the agreement (e.g., 6 months, 1 year), including renewal terms.
  • Scope of Services: Detail the specific deliverables, time commitment, or credit system agreed upon for each billing period.
  • Pricing & Payment Terms: State the fixed monthly or quarterly fee, due dates, and accepted payment methods.
  • Revision Policy: Clearly define the number of revision rounds included per deliverable and the process/cost for additional revisions.
  • Ownership & Licensing: Specify who owns the final video files and any licensing terms for music, stock footage, etc.
  • Termination Clause: Outline conditions under which either party can terminate the agreement, including notice periods.
  • Confidentiality: Protect sensitive information shared during the partnership.
  • Force Majeure: Address unforeseen circumstances.

Consulting with a legal professional specializing in service agreements is highly recommended to ensure your video retainer agreement protects your business.

Presenting Retainer Options to Clients

How you present your retainer options significantly impacts client perception and conversion rates. Move beyond static PDF proposals that make comparing tiers or adding options difficult.

Consider using an interactive pricing tool like PricingLink (https://pricinglink.com). PricingLink allows you to create configurable pricing pages where clients can select different tiers, add-ons (like extra revisions, rush services, multi-language versions), and instantly see the price update. This provides a modern, transparent, and engaging client experience.

While PricingLink is laser-focused on creating interactive pricing experiences and lead capture, it is not a full proposal software. It does not handle e-signatures, detailed contracts, invoicing, or project management. For comprehensive proposal solutions that include these features alongside pricing, you might look at tools like PandaDoc (https://www.pandadoc.com) or Proposify (https://www.proposify.com). However, if your primary goal is to streamline and modernize how clients interact with and select your pricing options before moving to a formal contract, PricingLink’s dedicated focus offers a powerful and affordable solution.

Conclusion

  • Predictable Revenue: Retainers offer stable income vs. one-off projects.
  • Deepen Relationships: Become a long-term content partner.
  • Choose the Right Model: Fixed deliverables, time, value, or credits – find the best fit.
  • Structure Clearly: Define scope, deliverables, frequency, and price based on value.
  • Solid Agreement: A robust video retainer agreement is crucial for protection and clarity.
  • Modern Presentation: Use interactive tools like PricingLink (https://pricinglink.com) to showcase configurable options.

Incorporating retainer and subscription models can transform your animated explainer video service business, providing stability, improving client loyalty, and increasing overall profitability. By clearly defining your offerings, structuring solid agreements, and presenting options effectively, you can build lasting partnerships and achieve more sustainable growth in 2025 and beyond. Explore how modern pricing tools can help you implement these strategies efficiently.

Ready to Streamline Your Pricing Communication?

Turn pricing complexity into client clarity. Get PricingLink today and transform how you share your services and value.