Data analytics has become increasingly popular in recent years as it combines the fields of information technology, statistics, and business strategy to help businesses make better-informed decisions. Any organization that has access to data can collect, use, and analyze it for various purposes such as improving sales, understanding their audience and target markets, refining their products and services, and more.
However, the inflows of the data puts the challenge for business: how do they convert this data into actionable insights? with the help of data analytics, of course.
Table of contents
- What is data analysis?
- Why is there need of data analysis?
- Role of data analytics in business growth
- Why Your Company needs Data Analytics
- Why Start a Career as a Data Analyst?
- How to become Data Analyst?
- Skills Required to Become A Data Analyst
- Conclusion
What is data analysis?
Data analysis is examining and interpreting data to uncover meaningful insights and patterns, which can be used for informing and driving smart business decisions. It involves using various techniques and tools to explore, clean, transform, and model data. It helps businesses and organizations make informed decisions and solve problems based on data-driven evidence.
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From manufacturing and marketing to automotive and green energy to automotive and green energy to education and human resources -all sectors use data analytics in some way or another. According to Splunk, companies that emphasize much data experience an annual increase of 5.32% on average.
HBR reports that 74% of business leaders expect long term productivity gains by making data insights available to frontline employees.
According to IBISWORLD ,the business intelligence and Analytics Software market size in the industry were around £782.2 million in 2022, and the average growth rate has been having been 6.8% per year over the past five years. These trends point towards a rapidly growing market with an increasing demand for analysts and data analytics professionals.
In fact, the BLS predicts that employment for roles related to data analytics will rise considerably quicker than the average rate of growth for all occupations between 2021 and 2031.
The global big data and business analytics( BDA) market was projected to grow by over $274 billion by 2022, a 27% increase from 2021. Moreover, the NewVantage Partners 2023 survey showed that 87.8% of organizations reported increased investment in data and analytics in 2022.
Why is there need of data analysis?
Data analysis is important because it helps us make sense of the vast amount of data that is generated every day. By analyzing data, we can uncover valuable insights, identify trends, and make informed decisions. It helps businesses or organizations to understand their customers better, optimize processes, and improve overall performance. Data analysis helps us turn raw data into actionable information that can drive growth and success.
Benefits of data analytics:
better decision making :
Data analysis can help us make better decisions by providing us with valuable and evidence-based information. By analyzing data, we can identify patterns and trends. This helps us to understand the underlying factors influencing the situation and make more effective choices.
More effective marketing
By analyzing the data marketers can identify target audiences, understand customer needs, and can provide marketing campaigns accordingly. It helps in optimizing marketing strategies.
Role of data analytics in business growth:
Data analytics plays a crucial role in driving business growth by providing valuable insights and enabling data-driven decision-making. Let me give you an example to illustrate this: Imagine a retail company that wants to improve its sales performance. By analyzing customer data, they discover that a significant portion of their customers are abandoning their online shopping carts before completing the purchase. Using data analytics, they identify patterns and reasons behind this behavior, such as high shipping costs or a complicated checkout process. Data analysis makes a business future-ready by forecasting events and recognizing trends and opportunities.Data analytics plays a crucial role in driving business growth by providing valuable insights and enabling data-driven decision-making. Let me give you an example to illustrate this: Imagine a retail company that wants to improve its sales performance. By analyzing customer data, they discover that a significant portion of their customers are abandoning their online shopping carts before completing the purchase. Using data analytics, they identify patterns and reasons behind this behavior, such as high shipping costs or a complicated checkout process. Data analysis makes a business future-ready by forecasting events and recognizing trends and opportunities.
Why Your Company needs Data Analytics
Your company needs data analytics because it can provide valuable insights that can help drive informed decision-making and boost overall business performance. With data analytics, you can:
1. Gain a deeper understanding of your customers: By analyzing customer data, you can uncover trends, preferences, and behaviors that can help you tailor your products or services to better meet their needs.
2. Improve operational efficiency: Data analytics can help identify inefficiencies in your processes, allowing you to streamline operations, reduce costs, and optimize resource allocation.
3. Identify new business opportunities: Data analytics can uncover untapped market segments, emerging trends, or potential areas for expansion, enabling you to seize new opportunities and stay ahead of the competition.
In today’s data-driven world, leveraging data analytics can give your company a competitive edge and help drive growth and success. It’s all about harnessing the power of data to make smarter, more informed choices! 
Why Start a Career as a Data Analyst?
In recent years, there has been an increase in people searching for how to become a data analyst. The role has become increasingly popular, which comes as no surprise with the massive amount of data we create in the modern world. Companies in all sectors need specialists who can harness data, analyze it, extract meaningful data-driven insights from it, and use those insights to help them solve key business problems
How to become Data Analyst?
Following is the list of tools used by data analysts:
- Microsoft Excel
- Microsoft Power BI
- Google Cloud AutoML
- Python
- Tableau
- R
- Jupyter Notebook
- SAS
- Apache Spark
- Steamlit
Skills Required to Become A Data Analyst
1.Programming Language
A data analyst needs to learn programming languages for example Python, R, and SQL. These languages are used to manipulate data, create charts and graphs, and perform statistical analysis.
2. Data Visualization
Tools like Power BI and Tableau are used to create visualization with the data. The training on these tools will help to create interactive dashboards and then reports. Moreover, these tools allow real-time data tracking.
3. Statistical Analysis
Data analysts usually use firstly R for statistical analysis and secondly python for general data analytics. Further, these tools and knowledge will help you for exploration and analysis.
4. Data Cleaning and Collection
Before starting work the data must be cleaned. The data needs to be transformed into a usable format for further steps.
5. Problem Solving
A data analyst is responsible for solving problems in the organization with analytics.
6. Accuracy
Maintaining data accuracy is an important skill for data analysts. Since a minute error can also lead to an incorrect solution. A data analyst needs to be very careful about the accuracy of data.
7. Communication Skills
Data analytics work with various departments and people. That’s why data analyst needs to have good communication skills. They should be able to convey the results of analysis effectively. A data analyst suggests solutions to increase productivity.
Conclusion:
Overall, being a data analyst requires a combination of technical and non-technical skills. By mastering these skills, you can become an invaluable member of any team and make a real impact with your data analysis.
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