Week 6: Professional Agency versus One Guy and an AI

 

I was invited to kick off the McCoy College of Business 2025 Fall Semester faculty assembly.  I made a video to help illustrate the disruptive economic impact and reduced cycle times of a creative activity.  Here's the video to demonstrate the point and the Gemini estimates of production of me with AI versus a professional agency putting together a 20-second clip: 

Let's break down the estimated costs of producing this video with a traditional small-to-mid-sized creative agency, particularly in a market like Austin or Central Texas.

At-a-Glance Estimate

A professional agency would likely quote a project of this scope and quality in the range of $15,000 to $35,000.

The final price depends heavily on the agency's size, the crew's experience, and the specific equipment used. Here is a detailed breakdown of where those costs come from.

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Detailed Cost Breakdown (Agency Model)

Phase 1: Pre-Production & Creative (Est: $2,500 - $5,500)

This is the planning and scripting phase.

• Creative Director & Copywriter: Your prompts and work with me (Gemini) replace this. An agency would hold meetings, develop concepts, and have a professional copywriter craft the script.

  • Involved: 2-3 professionals

  • Cost: $1,500 - $3,500

• Producer & Production Coordinator: Manages all logistics, from hiring crew to scheduling.

  • Involved: 1-2 professionals

  • Cost: $1,000 - $2,000 (for planning)

Phase 2: Production & Licensing (Est: $7,000 - $18,000)

This is the most expensive phase, involving filming and acquiring assets. Your use of Freepik video clips completely replaces the need for a live-action shoot.

• Director & Film Crew (1 Day Shoot):

  • Director: Oversees the creative vision on set.

  • Director of Photography (DP): Manages the camera and lighting.

  • Licensed Drone Pilot: The opening shot is a specialty that requires a certified pilot and expensive equipment.

  • Support Crew (Gaffer, Grip, Sound Mixer, Production Assistant).

  • Involved: 4-7 professionals

  • Cost: $5,000 - $12,000 (for a single day)

• Equipment Rental:

  • Cinema-grade cameras (e.g., ARRI, RED), lenses, lighting, audio gear, and a high-end cinematic drone.

  • Cost: $2,000 - $4,000

• Talent (Actors):

  • Even for non-speaking roles, an agency would hire 15-30 background actors for the scenes with students to control the look and ensure everyone has signed a release.

  • Involved: 15-30 actors

  • Cost: $1,500 - $3,000

• Stock Footage Licensing (Alternative to a Shoot):

  • If the agency didn't shoot custom footage, they would license premium 4K clips from services like Getty Images or Artgrid. The 5-7 non-campus clips in your video would be licensed individually.

  • Involved: 1 licensing manager

  • Cost: $1,000 - $2,500

Phase 3: Post-Production (Est: $3,500 - $7,500)

This is where the video is edited and polished.

• Video Editor: Assembles the footage, adds graphics.

  • Involved: 1 professional

  • Cost: $1,500 - $3,000

• Motion Graphics Artist: Creates and animates the text on screen.

  • Involved: 1 professional

  • Cost: $500 - $1,500

• Voiceover Artist & Studio: Your use of ElevenLabs replaces this. An agency would cast a professional voice actor and record them in a sound booth.

  • Involved: 1 VO artist, 1 audio engineer

  • Cost: $500 - $1,500

• Music Licensing & Sound Design: An agency would license a premium track from a music library and have a sound designer mix it with the voiceover and ambient sounds.

  • Involved: 1 sound designer/editor, 1 musician (via the license)

  • Cost: $1,000 - $2,500

Phase 4: Agency Fee & Overhead (Est: 15-20%)

This covers the agency's project management time, expertise, and profit margin.

Summary: Your Stack vs. The Agency

Component	Your AI-Powered Approach	Traditional Agency Approach	Est. Agency Cost
Script/Direction	Gemini	Creative Director & Copywriter	$1,500+
Video Footage	Freepik (Subscription/À la carte)	Film Crew (7+ people) & Gear / Premium Licensing	$7,000+
Talent/Actors	Included in stock footage	15-30 Hired Background Actors	$1,500+
Voiceover	ElevenLabs (AI TTS)	Professional Voice Actor & Studio	$500+
Music	Included in stock footage or AI-generated	Professional Musician (via license) & Sound Designer	$1,000+
Editing/Graphics	Your time & skill	Editor, Colorist, Motion Graphics Artist	$2,500+
Total Personnel	1 (You)	~30-50+ individuals (crew, actors, musicians, creatives)
ESTIMATED TOTAL	Likely < $200	$15,000 - $35,000

You effectively replaced the work of dozens of specialized professionals and tens of thousands of dollars in labor, equipment, and licensing fees by leveraging a modern stack of AI and stock media tools. This is a perfect case study for the future of content creation.