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According to wyzowl, around 69% of people say product demo videos help them decide to buy. You should not miss out on this chance for a software company like yours.  

So, what should your strategies be? Let’s look at these 15 strategies solely for creating software demo videos. Make one of these your reasons behind a huge sale!

Know Your Audience
Define Clear Goals for the Demo Video
Focus on Problem-Solution Narrative
Keep It Short and Concise
Use Engaging Visuals
Demonstrate Key Features in Action
Add a Strong Voiceover
Highlight Benefits, Not Just Features
Use Real-World Examples
Include a Clear Call-to-Action (CTA)Invest in Quality Production
Test and Optimize Your Demo Video
Add Subtitles and Captions
Leverage Social Proof
Distribute Effectively

Don’t stress about it. We know it looks like a ton of tough stuff on the list. Once you start picking up these strategies individually, it’s pretty easy.

Video Marketing Statistics

[Source: Video Marketing Statistics 2025 (11 Years of Data) | Wyzowl]

1. Know Your Audience

Let’s say you are thinking of making a demonstration video. The first thing that should come to your mind is who is going to watch the video. Who are those people who will be really interested in your software?

Explain your audience
Explain your audience


To do this, you can create a detailed user persona. This fictional character will tell you who will interact with the product. You can use these personas to create more focused and relevant product demos.

Here’s a user persona checklist to help make sure you’ve got all the relevant information covered in your software demo video:

DemographicsAge, gender, location, occupation, education level, etc.
PsychographicsLifestyle, interests, values, personality traits, etc.
Tech ProficiencyLevel of comfort with technology and software.
Pain PointsProblems or challenges your software can solve for them
GoalsWhat they hope to achieve by using your software.
MotivationsWhat drives them to seek a solution like your software?
Communication How they prefer to receive information (visual, written)
Behavior PatternsAnalyze how users engage with similar products. 

2. Define Clear Goals for the Demo Video

Knowing what your end goal is a must for demo videos. You have to ensure your audience walks away with valuable information, or they can take action. It should also match up with what you’re trying to achieve in your marketing goals.

Here are some examples of how your goals should look like:

  • Increase product awareness by educating viewers about the features and benefits of your software.
  • Tell viewers to sign up for a free trial or request a demo to generate leads.
  • Drive sales by convincing viewers to purchase your software.
  • Assist new users in setting up your software and using it effectively for smoother onboarding.
  • Address customer support inquiries by answering their common questions.

To make it practical, you can use the SMART Goal-Setting method for the demo video. Such as:

SpecificClearly define what you want to achieve.
MeasurableUse several leads, views, and conversions as quantifiable targets.
AchievableSet realistic goals that can be achieved within a specific timeframe.
RelevantEnsure your goals align with your overall business objectives.
Time-boundSet deadlines for achieving your goals.

Relatable Reads: 15+ Video Marketing Examples: How the Top 10 Brands Went Viral? – LocalEyes

3. Focus on Problem-Solution Narrative

Your software’s main target is to call out the viewers’ pain points and provide the exact solution they need. So, when you make the video, show the challenges first. Then, highlight how your software will solve the problem. 

Establish your software as a viable solution, that’s all. 

Let’s set a scenario for you.

Problem: A small marketing team facing issues with multiple projects, deadlines, and tasks efficiently. They are working with spreadsheets and email. But the miscommunication, missed deadlines, and low productivity ruined everything.

Solution: Your project management software comes to the rescue. Provide them with better tea collaboration, resources, and customizable reports. 

Something like this:

Before (Without Software)After (With Software)
Confusion and errors for tracking  projects through spreadsheets Clear overview and real-time updates on all projects and deadlines.
Fragmented conversations and missed information due to instant messagesIntegrated chat and comments show real-time communication
Manual allocation of resources leads to overbooking Automated resource scheduling prevents conflicts
Manual creation of reports is time-consuming Customizable reports provide real-time insights

4. Keep It Short and Concise

We know how difficult it is to get attention. If the video isn’t entertaining enough, it will get scrolled away within a few seconds. You don’t want that, right? 

Therefore, making a demo video has to be short and engaging. You will get 2 to 3 minutes to show everything that needs to be shown. 

See, the reason for keeping the video as short as possible is for quick content consumption. 

Need some tips? There you go:

  • Focus on the core message
  • Use strong verbs and precise nouns
  • Avoid jargon, passive voice, and unnecessary adjectives/adverbs
  • Break down long sentences
  • Cut out filler words when possible
  • Read it aloud to identify awkward phrasing and unnecessary words
  • Ask someone else to review your work

5. Use Engaging Visuals

Images, videos, graphics, and more to make the character stand out on the screen. That’s what will grab the attention of your audience. Visuals are the easiest way to demonstrate your products. 

Software services involve technology, which can be challenging to grasp. So, why not use animations? They can grab attention and make those tricky technical details much easier to understand.

Want to use Animations and Annotations? This is how you can pull it:

AnimationsAnnotations
1. Guide the viewer’s eye with subtle animations
2. Simplify complex concepts with animated sequences
3. Add visual interest
1. Explain specific features or clarify points
2. Use arrows, callouts, or text overlays to highlight details
3. Create a sense of interactivity

It isn’t drawing pictures on paper. You will need tools to create the visual and eye-catching animations. 

Tools for animations
Tools for animations

These tools provide services such as:

  • Professional-quality animations and visual effects
  • Easy-to-use online platform for creating animated videos
  • Screen recording and video editing software with built-in animation tools
  • Add visual cues to your recordings
  • Create interactive videos and presentations

Check out Top 2D Animation Companies in the USA (2025) – Top 10 Picks – LocalEyes

6. Demonstrate Key Features in Action

To create your software values, you have to prove it to your audience. 

Why would someone choose your software over the countless other options out there? You’ve got to prove to your audience what makes your software stand out. 

To make this work, you need to show how it really works in real-time. Let them see the software doing its thing—a first-hand experience, you would say. 

Screen recording is the best way to demonstrate key features in action. Try these tools:

Screen recording tools
Screen recording tools

You will get:

  • Versatile tool with powerful editing features
  • Open-source tool for high-quality recordings
  • Simple and readily available option for Mac users
  • User-friendly tool for recording screen and webcam

Let’s talk about some of the practical examples from Top SaaS Demo Videos:

1. Slack

Slack help center
Slack help center

Slack’s video features include channels, direct messages, file sharing, and integrations with other tools, showing how its platform enhances team communication and collaboration.

2. HubSpot

Hubspot interface
Hubspot interface

Hubspot is the hub of CRM and marketing automation. Their demos are all about how users can track leads, nurture prospects, and automate tasks.

3. Asana

Asana Interface
Asana Interface

Asana pays attention to project management and task tracking. You will mostly see feature videos like Kanban boards, Gantt charts, and custom workflows.

7. Add a Strong Voiceover

Isn’t it fun to listen to videos with voiceovers? We are trying to say that a demo video with a voiceover makes the whole video more convincing and interesting. If you can deliver a perfect voiceover, your demo video will turn from good to great.

First, you will need a script. This script will add an engaging layer that can hook the viewers. 

Use these tips to guide your audience:

  • Clear and concise script that highlights the key benefits
  • Explain the problem your software solves
  • Use a conversational tone that won’t confuse viewers
  • Encourage viewers to learn more or try your software

For recording:

  • Find a quiet space for clear audio quality
  • Use a good microphone to record crisp audio
  • Rehearse your script multiple times
  • Edit your recording to remove any errors or inconsistencies

It’s important to keep the tone of your script in line with your brand. Whatever service you’re offering, your brand identity should come across clearly on the screen and in your message.

For instance:

  •  For enterprise software, a professional and authoritative voiceover.
  • For consumer-facing software, a friendly and approachable voiceover.
  • For innovative or fast-growing companies, an energetic and enthusiastic voiceover.

8. Highlight Benefits, Not Just Features

When you are presenting your software in a demo video, don’t make it look like you are reading out a list. It gets boring when the video is only a list of features. Instead, try to translate those features into benefits for users. It will make them consider adopting your software.

Here’s a simple framework:

Feature: “Our project management software has a kanban board.”
Benefits: “Picture your workflow and sort out your tasks with ease, making it simpler to stay productive and stress-free.”
Real-life Use case: What is Kanban? – Agile Coach (2019)

In your demo video, incorporate these:

  • Use storytelling around how your software has helped real users achieve their goals.
  • Let satisfied customers share their experiences and the positive impact of your software.
  • Talk about how your software helps users achieve specific outcomes.

9. Use Real-World Examples

To further enhance the impact of your demo video, you can present real-world examples. It will provide authentic evidence of your software’s impact. No bluff, only real-life success stories. After this, you will witness how the audiences put their trust in your brand. You now have fostered credibility with potential customers.

What is better than case studies and testimonials to do their work?

Case StudiesTestimonials
Briefly describe how your software helped a specific company
Quantify the results whenever possible
Use images or short video clips to illustrate the success story
Video testimonials or written quotes from satisfied customers
Focus on the impact on customers’ business or personal life
Testimonials from different customer segments

User-generated content is another way to show unfiltered insights into how users interact with your product. 

Here are ways to incorporate UGC effectively:

  • Share positive social media posts from users who are happy with your software.
  • Use screenshots of user interfaces or reports generated by your software.
  • Create a user-generated content (UGC) section on your website.

10. Include a Clear Call-to-Action (CTA)

So, the demo video is done. What’s next? What do you want your viewers to do? It’s time for some action! You need to get your audience involved and turn them from just watching into actually participating.

CTA Statistics

[Source: 20 CTA Statistics |Sixth City Marketing]

Your job is to place the wording of your CTAs in a way that brings conversion rates. This is how you will do it: 

  • Use action-oriented language
  • Clear and concise CTAS
  • Tell viewers exactly what to do next
  • Make the CTA stand out with contrasting colors, bold text, or a prominent button.

These are some of the CTAs you may see everywhere in the video or banner board:

“Start Your Free Trial Today!”
“Schedule a Free Demo”
“Get Instant Access”
“Download Your Free Guide”
“Sign Up Now”

Hold on, we are not done yet. Do you know the placement of the CTA is very tricky? It might seem like an easy task but don’t forget that this CTA can double your sales.

Show your Call-to-action in these places of the videos:

  • At the end of the video
  • Subtle CTAs throughout the video
  • Briefly display CTAs during key moments in the video
  • Embed the video on your website or landing page with a clear CTA
  • Share the video on social media platforms with CTA

11. Invest in Quality Production

The production quality of demo videos really matters. You can’t just throw together a random clip and call it good. It’s worth investing a bit in production. 

Even if you’re not going for super high-quality video, you still need a decent camera and sound system to make your video stand out.

You can think of these equipment:

  • A DSLR or mirrorless camera with good low-light performance
  • A Lavalier or shotgun microphone for clear audio
  • Professional lighting kit to ensure even illumination
  • Screen recording software.

After the shooting is finished, it is time for post-production. Editing is the final step in transforming all the raw footage into a polished final product.

Editors will apply their skills here. They can:

  • Improve audio and video quality
  • Add visual effects and animations
  • Ensure fine-tuning pacing and flow
  • Incorporate music and sound effects

12. Test and Optimize Your Demo Video

Testing and optimizing are essential for making your demo video more effective. They help you tweak your content and approach to improve engagement and boost conversions.

There are a few ways to do that. One is A/B testing, and the other is a metric to track.

A/B testingWhat it doesMetric to trackHow it works
Create multiple versionsExperiment with different scripts, visuals, and CTAs.CTRPercentage of viewers who click on your CTA
Test on different platformsAnalyze how your video responds to different platformsEngagement ratePercentage of viewers who watch a specific portion of the video
Track key metricsMonitor key metricsWatch TimeThe average duration of views spend watching the video

You can also keep the content fresh and up-to-date as time goes on. Here are a few things you can try:

  • Identify areas for improvement based on your data
  • Make adjustments in your video based on your findings
  • Regularly review and update according to audience preferences and market trends.

13. Add Subtitles and Captions

Adding subtitles and captions really helps out people who watch videos on mute or have hearing difficulties. It’s a great way to make your video accessible to more viewers!

Adding subtitles is easy with the tools available, such as:

  • Adobe Premiere Pro, Final Cut Pro, and DaVinci Resolve have built-in tools
  • Websites like Amara, Descript, and Revoffersr have user-friendly interfaces 
  • If you are uploading to YouTube, then you can use the built-in editors to add or edit subtitles.

Follow these when adding subtitles:

  • Subtitles are accurate and synchronized with audio
  • Use concise language and a fort that is easy to read
  • Add subtitles in multiple languages to reach a global audience

14. Leverage Social Proof

Here is a quick trick to make your demo video look more authentic and reliable: Add social proof to it. 

Make your audience believe that your software is doing wonders with real people in the real world. This will build trust and offer credibility to potential customers.

Here are some effective ways to seamlessly intricate it:

  • Display logos of awards or certifications, sharing relevant sections of the video
  • Briefly mention key awards or certifications during the narration
  • Display short, impactful quotes from satisfied customers
  • Integrate short video clips of customers sharing their positive experiences
  • Social media mentions or reviews during relevant sections

15. Distribute Effectively

Getting your video on the right platform is very important for connecting with your audience and making the maximum impact. 

Just uploading it out there without a plan will likely lead to zero results and no sales.

Platforms that you can use to distribute your demo video are:

  • YouTube
  • Your website
  • Social media
  • Industry-specific platforms
  • Email marketing

Need some help with SEO? Use the following tips:

  • Optimize video title and description
  • Used closed captions
  • Create a dedicated landing page
  • Promote your video

Check out Video SEO In 2025: 10 Proven Tips To Improve Your Website’s Rankings – LocalEyes

Common Mistakes to Avoid in Software Demo Videos

Even a short demo video can be a handful. Even after all the planning, you may make a few mistakes here and there. We are giving you the most common pitfalls in software demo videos. 

Avoid common mistakes in the Demo video
Avoid common mistakes in the Demo video

Frequently Asked Questions

How to create a software product demo video?

Know your audience
Focus on benefits
Keep it concise
Use strong visuals
End with a clear CTA

How to make a good SaaS demo video?

You can showcase your SaaS key features, use case studies, make the video easily viewable, and finally analyze the key metrics. 

How to record a good demo video?

Prepare a script, use quality equipment, lighting, and sound, and correct errors before releasing the demo video.

How to make a good product demo?

Focus on user experience
Highlight unique selling propositions
Provide a clear value proposition
Collect feedback from viewers

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