Many companies choose a video format on taste. A more reliable approach is to start with what the film has to explain and what your team can realistically provide.
No single format suits every product. In our review of 416 ads, mainly from software and technology brands, 227 (55%) used live action. Among the 173 ads from SaaS companies, the figure was 51%. Wyzowl's 2026 analysis also reports live action as the more popular of the two formats among marketers. Many ads show the software as well: 102 of those 227 live-action ads included the product interface.
These figures describe what companies choose. They do not show which format performs better, so the decision should rest on your product.
When animation suits the product
Animation suits what a camera cannot capture well. Integrations, automation, data flows and security all take place out of sight, and animation can show them directly.
It also has practical advantages for software:
- The interface can be rebuilt, so it stays legible on a phone and shows no customer data.
- A new language needs new text and a new voice-over, not a new shoot.
- When the product changes, one scene can be updated without filming again.
- No location, cast or shooting day has to be arranged.
When live action suits the subject
Live action suits subjects where people or places carry the message, such as a founder explaining why the company exists, a customer describing a result, or a team at work.
It is also the natural choice for anything physical, such as a clinic, a hotel, a factory or a product in use. For professional services, where a client is buying the people, seeing those people matters.
When to combine the two
Many films use both. A person speaks on camera, and animation shows the product or the process that the person is describing. This suits a film that needs both a human presence and a clear explanation, although your team then has to prepare for both formats.
What each format requires from your team
Animation requires access to the product, a clean demo account with fictional data, your brand assets and an agreed script.
Live action requires a location, people who are available on the same day, signed permissions from anyone on camera and a plan for changes, because later changes often mean filming again.
Choose the format you can deliver well. In Wyzowl's 2026 survey, 89% of consumers said video quality affects how much they trust a brand. The survey covered 266 marketers and consumers, so treat the figure as an indication, but the point holds for both formats: a well-made film in the simpler format is a safer choice than an ambitious one that your budget or schedule cannot support.
Prices vary widely with length, style and studio, so a general comparison is of limited use. Ask each supplier for a written quote against the same scope.
What to do this week
- Write one sentence stating what the viewer should understand after watching.
- Ask whether that idea can be filmed, or whether it takes place on a screen or out of sight.
- List what your team can provide: people, a location, product access and a demo account.
- Note how many languages you need and how often the product changes.
- Ask each supplier for a storyboard or a shot list before production starts.
If animation suits your product, you can see samples of our work on the animated ads page.