There has been a lot of buzz as of late in regards to the power of social media and video. It is a powerful combination because when the two work together you can see dramatic results. I first started using videos in 2006 by making a very basic Thai Tea "How To" video. The quality is average but the results have been fantastic. It is currently (with moderate research) the most watched Thai Iced Tea video on the internet.
It was the first video I had ever published to Youtube and now has over 15,000 views. Not bad for something that was basically free to make.
Later in 2007 I shot about 15 cooking videos using two video cameras that had a cost of about $2,000 each. Along with some studio lighting ($400) My videos made a hug improvement in quality.
In 2009 and 2010 I switched to the basic FLIP video camera. Cost $200. The quality of the videos is amazing. I could imagine most small businesses that would like to implement video could get away with using the FLIP along with at least 1 studio light which could be found for about $100. Videos on you website will increase the time spent on the site and if done properly... CONVERSIONS!