In-House Video Production vs Hiring a Video Production Company: What’s Right for You?

You know you need video. What you don’t know is whether to build an in-house team or hire a professional partner — and making the wrong move could cost you serious time and money.

You’re not alone. Many organizations wrestle with this decision. Some thrive with an internal team, while others quickly discover they’re better off with a partner. The truth is, there isn’t a single “best” answer — but there is a right answer for your organization.

This article will help you find it. We’ll break down real costs, highlight the pros and cons, and explore how a hybrid approach can give you the best of both worlds. If you’re a business leader, marketer, or executive weighing in-house video production vs. hiring a production company, this guide is written for you.

What does “in-house video production” really mean vs hiring a production company?

When we say “in-house video production,” we mean building your own team. That typically includes hiring a videographer or two, buying cameras, lighting kits, audio gear, editing stations, licensing software, and creating a workflow that runs entirely under your roof.

By contrast, hiring a video production company means partnering with dedicated professionals who handle everything from strategy and creative development to filming, editing, and delivery. Agencies like Richter Studios bring together a full crew of specialists — directors, producers, cinematographers, editors, animators, and sound designers — so you don’t have to. Both paths can work, but they carry very different implications for cost, speed, quality, and control.

How much does in-house video production cost compared to hiring a production company?

For most organizations, cost is the first question on the table — and for good reason. Video can be a major investment, and knowing what you’re really signing up for is critical before making a decision. Let’s look at how the numbers usually break down.

In-house costs often include:

• Salaries and benefits. A single videographer or editor typically costs $60–90K per year, and many teams need more than one role to cover shooting, editing, and strategy.
• Gear. Professional cameras, lenses, lighting kits, and microphones can easily exceed $40K upfront.
• Software and hardware. Editing stations, storage systems, and ongoing licensing fees add up quickly.
• Training and development. To keep skills sharp, your team will need continued education and occasional workshops.
• Studio space. If you need a dedicated filming environment, that’s an additional fixed cost.

Agency costs usually look different:

• Project-based pricing. Depending on the scope, projects may range from $15–100K+.
• Retainer models. For companies needing ongoing content, agencies often offer packages to spread out costs and create consistency.
• All-in services. Gear, crew, editing, project management, and creative expertise are built into the fee, so you don’t have to manage separate line items.

Here’s the key distinction. An in-house team is a fixed cost — you’re covering salaries, benefits, and overhead whether they produce five videos a month or none. An agency, on the other hand, is a variable cost. You only pay when you need the work done, which can be far more efficient if your video needs come in bursts rather than every day. For many companies, the right choice depends less on the dollar figure and more on how often video is being produced and at what level of quality.

When does keeping video production in-house make more sense?

In-house video teams often thrive when the demand for content is steady, turnaround times are short, and brand familiarity matters more than cinematic polish. If your business depends on a consistent flow of video, having people and equipment on-site can provide the speed and control an outside agency can’t always match. Some common scenarios include:

• High-volume content needs. Companies producing a constant stream of training videos, tutorials, or social clips often see better cost efficiency by keeping production in-house.
• Fast turnaround requirements. When projects need to move from idea to finished video in days — or even hours — an internal team can act quickly without waiting for an external schedule.
• Deep brand knowledge. Internal staff live inside your culture and messaging every day, which helps them produce content that feels authentic and aligned.
• Everyday communications. Town halls, leadership updates, and other internal messages don’t always need a cinematic touch — they just need to be produced quickly and consistently.

What are the biggest challenges of in-house video production?

While an in-house team can offer speed and brand familiarity, it can also come with trade-offs that are easy to overlook. From skill gaps to scalability issues, here are some of the most common challenges organizations face when they manage video entirely on their own:

• Skill gaps. A single videographer can’t be equally skilled at directing, lighting, motion graphics, editing, and sound design — and filling all those roles internally can be difficult and expensive.
• Creative tunnel vision. Internal teams sometimes recycle the same styles and ideas, lacking the outside perspective a video agency brings.
• Scaling problems. A big brand film, national ad, or complex multi-location shoot can overwhelm even talented internal teams.
• Potentially higher long-term cost. If you’re only creating a few polished videos a year, maintaining full-time staff (plus equipment and overhead) can actually cost more than hiring an agency on a per-project basis.
• Employee turnover and retention. Building an in-house video team means relying heavily on a few key people. If a videographer or editor leaves, projects stall, quality dips, and recruiting replacements can be costly and time-consuming.

When does hiring a professional video agency make more sense?

Agencies shine when a project demands more than a lean internal team can provide — whether that’s higher production value, specialized creative skills, or simply the extra bandwidth to get it done without overwhelming your staff.

• Brand films or commercials. These types of projects are often handled by commercial video production companies, since the quality reflects directly on how customers see your brand.
• Complex productions. Multi-location shoots, aerial drone footage, actors, or elaborate sets require the kind of crew and equipment most internal teams can’t maintain.
• Major launches or rebrands. Agencies bring the creative storytelling muscle needed to help your message cut through the noise.
• Major launches or rebrands. These are prime opportunities for branded video production, where agencies bring the storytelling expertise needed to help your message standout.
• Capacity challenges. If your marketing team is already maxed out, an agency can take ownership of the video process so projects don’t stall.

A good example comes from a financial services client of ours. They already had internal video capabilities, but after a merger and complete rebrand, the scale and urgency of updates quickly outpaced what their team could manage on their own. We stepped in to extend their new brand standards into video, recreate several key pieces with a refreshed brand voice, and build custom Adobe editing and animation templates so their in-house team could keep producing content efficiently. The result was a partnership that delivered both the brand consistency they needed and the scalability to move forward with confidence.

What are the downsides of hiring a video production agency?

Partnering with a video production agency can bring fresh creativity and high production value, but it’s not without its drawbacks. From higher per-project costs to scheduling constraints, here are some of the most common downsides organizations encounter when they work with a video production partner:

• Higher per-project cost. If you need daily social media content, outsourcing probably won’t be the most economical choice.
• Scheduling. Agencies need time to plan, shoot, and edit, which means same-day turnaround usually isn’t realistic.
• Less control. You’re trusting outsiders to represent your brand, and if communication breaks down, the results can fall short.
• Potential misalignment. If the agency doesn’t fully understand your brand voice and culture, the finished content may not feel like “you.”

One example comes from a global financial investment and insurance company. They had an internal studio, but after years of relying on a rotating mix of outside production companies, the creative output lacked both quality and consistency. At the same time, their demand for video was growing exponentially, and they simply couldn’t keep up — one of the biggest risks of relying solely on external partners, where results can feel fragmented and out of step with the pace of business.

Working together, we helped them determine that building an in-house team would serve them better over the long term. We rebuilt and modernized their studio environments, guided them through hiring and training staff to run the spaces effectively, and implemented clear processes, brand standards, and editing and animation templates that gave them both efficiency and consistency. Today, they have a fully functional in-house team that produces reliable, high-quality content at scale — without depending on a patchwork of external vendors.

Which organizations benefit most from building an in-house team?

In-house teams aren’t just for startups. Building video capabilities internally can be a smart move for many organizations, especially when speed, frequency, and brand familiarity matter more than cinematic polish. Some examples include:

• Startups and fast-growth companies. Producing large volumes of quick-turn content to fuel awareness and engagement.
• Brands with active social media strategies. Needing a steady pipeline of short-form videos for TikTok, Instagram, LinkedIn, or YouTube.
• Organizations with ongoing internal communications needs. Town halls, culture updates, or leadership messages where timeliness is more valuable than high production value.
• Businesses focused on training or e-learning. When producing dozens (or hundreds) of instructional videos, an in-house team can lower the cost per video and streamline revisions.

Which organizations benefit most from hiring a professional agency?

It’s a common misconception that agencies are only for global brands with massive ad budgets. In reality, video agencies can be the right choice for companies of all sizes, including:

• Large-scale brand campaigns. When the visibility is huge and the production quality needs to match.
• Event-driven businesses. Whether that’s trade shows, conferences, or annual meetings, polished videos help capture the energy and extend the impact.
• Corporate communications. Companies that need polished leadership messages, employee updates, or recruiting films often turn to corporate video production partners to ensure consistency and professionalism.
• Small and mid-sized businesses launching a new product or service. A strong, professional video can make your debut more credible and help you compete with larger players.
• Nonprofits or mission-driven organizations. Storytelling is everything when it comes to inspiring donors, attracting volunteers, or raising awareness. Agencies bring the emotional craft to make the message resonate.
• Any organization without time or in-house expertise. Sometimes the deciding factor isn’t budget — it’s capacity. Agencies take the production burden off your team so you can focus on core priorities

Can you combine in-house and agency video production for the best of both worlds?

The short answer is yes and many successful companies do.

With a hybrid approach, your in-house team handles everyday content (social, training, internal communications) while your agency partner tackles the “hero” projects that demand polish and creativity.  This gives you the benefit of speed, brand knowledge, and cost efficiency from your team AND the professional-grade storytelling when you need it.

We often see hybrid approaches evolve naturally. A business may begin with an in-house videographer to handle frequent, smaller needs, and then bring in a production company for bigger campaigns or milestone projects. This balance allows you to scale without overcommitting in either direction.

At Richter Studios, our goal is to help clients elevate their brand through exceptional storytelling, and the best results often come when we collaborate with internal teams. Sometimes that means building on a script written in-house, and other times it’s executing a vision developed by internal creatives. We don’t see these resources as adversaries, but as true partners and an extension of our team. To strengthen that partnership, we often deliver edit-ready clips from the footage we capture — curated, high-quality assets that give in-house creatives a running start. With professional-grade material already aligned to the brand, internal teams can move faster, stay consistent, and raise the overall level of their work.

How to decide: in-house video team vs. agency — which is right for you?

Deciding between an in-house team and a professional agency isn’t always straightforward. It’s not just about comparing costs on a spreadsheet — it’s about weighing your priorities, resources, and the kind of content your audience truly needs. If you’re wrestling with the decision, asking a few simple questions can bring clarity:

• How often do we truly need new videos?
• What level of quality do our audiences expect?
• Do we have budget and bandwidth to staff, equip, and manage a video team?
• How important is creative storytelling to our strategy?

There’s no universal answer. The right path depends on your priorities, resources, and goals.

Conclusion

Deciding between an in-house video team and a professional agency isn’t just about cost — it’s about alignment with your strategy, goals, and brand.

If you need constant day-to-day content, in-house might be your solution. If you need cinematic storytelling that elevates your brand, an agency can help you get there. And if you want the best of both worlds, a hybrid approach may be your best bet.

If you’re ready to partner with a video production agency, we’d love to hear from you. And if you’re still weighing your options, let’s schedule some time to talk it through. Together, we can help you find the path that’s right for you. Start the conversation with Richter Studios.