Last Updated on April 18, 2023 by Admin
Data Analyst Career Path, Qualifications, required skills, salary details, future scope, and everything you need to know about Data Analyst Career.
The future of data analytics looks so bright that it might be hard to imagine life without them! These professionals are the driving force behind decisions in many sectors from the business world to public and private services. That’s why we’re giving you a sneak preview into the world of data analysts! Who are data analysts, what do they do, where do they work, what is their earning potential and much more!
Table of Contents
What is Data Analytics?
Data analytics is the process of analyzing data to extract useful information. This information can be used to decide how to improve business operations. Data analysts use various tools to analyze data, including statistical software, spreadsheet software, and database management systems.
They also use their knowledge of mathematics and statistics to interpret data. Aspiring data analysts should have a clear understanding of the skills and qualifications required to progress along the data analyst career path. The average data analyst salary can vary greatly depending on factors such as industry, location, and level of experience.
The process of analyzing data typically moves through five iterative phases:
- Identify the data you want to analyze
- Collect the data
- Clean the data in preparation for analysis
- Analyze the data
- Interpret the results of the analysis
Data analysts use a variety of tools, including Excel, SQL, and Tableau, to examine data. They then present their findings in reports or visualizations. A career in data analytics can be very rewarding. Data analysts are in high demand and the field is expected to grow significantly in the next few years. With the right skillset, you can future-proof your career by becoming a data analyst.
What is the role of data analytics?
In a nutshell, data analysts are responsible for organizing and analyzing data to help companies make better business decisions. They use their skills in mathematics, statistics, and computer science to identify patterns and trends in data sets, and then develop solutions to improve the efficiency of company operations.
Data analytics is a rapidly growing field, and it is expected to continue to grow in the coming years. As more and more businesses collect data, they will need skilled data analysts to help them make sense of it all. If you’re interested in a career in data analytics, now is the time to start learning the skills you need.
What are the types of data analytics?
There are four main types of data analytics: descriptive, diagnostic, predictive, and prescriptive.
Descriptive analytics is all about understanding what has happened in the past. This type of analytics can be used to answer questions like “how many people visited our website last month?”
Diagnostic analytics is about understanding why something happened. For example, if you see a sudden drop in website traffic, you can use diagnostic analytics to figure out why that happened.
Predictive analytics is about making predictions for the future based on past data. For example, you might use predictive analytics to predict how many people will visit your website next month.
Prescriptive analytics is about finding the best course of action to take in a given situation. For example, you might use prescriptive analytics to figure out the best way to increase website traffic.
Data analyst tasks and responsibilities
A data analyst is a person whose job is to gather and interpret data in order to solve a specific problem. The role includes plenty of time spent with data but entails communicating findings too.
Here’s what many data analysts do on a day-to-day basis:
- Gather data: Analysts often collect data themselves. This could include conducting surveys, tracking visitor characteristics on a company website, or buying datasets from data collection specialists.
- Clean data: Raw data might contain duplicates, errors, or outliers. Cleaning the data means maintaining the quality of data in a spreadsheet or through a programming language so that your interpretations won’t be wrong or skewed.
- Model data: This entails creating and designing the structures of a database. You might choose what types of data to store and collect, establish how data categories are related to each other, and work through how the data actually appears.
- Interpret data: Interpreting data will involve finding patterns or trends in data that will help you answer the question at hand.
- Present: Communicating the results of your findings will be a key part of your job. You do this by putting together visualizations like charts and graphs, writing reports, and presenting information to interested parties.
What tools do data analysts use?
During data analysis, analysts often use a wide variety of tools to make their work more accurate and efficient. There is no one-size-fits-all answer to this question, as the tools a data analyst uses will depend on the specific industry and company they are working for. However, there are some common tools that many data analysts use, such as Excel, SQL, and Tableau. Also, with an increasing demand for data-driven decision-making, the data analyst salary has steadily grown over the past few years.
Some of the most common tools in the data analytics industry include:
- Microsoft Excel
- Google Sheets
- SQL
- Tableau
- R or Python
- SAS
- Microsoft Power BI
- Jupyter Notebooks
Data Analytics Job Types
Types of data analysts As advancing technology has rapidly expanded the types and amount of information we can collect, knowing how to gather, sort, and analyze data has become a crucial part of almost any industry. You’ll find data analysts in the criminal justice, fashion, food, technology, business, environment, and public sectors—among many others.
People who perform data analysis might have other titles, such as:
- Medical and health care analyst
- Market research analyst
- Business analyst
- Finance analysts
- Business intelligence (BI) analyst
- Operations research analyst
- Intelligence analyst
As for the technical parts of data analytics, computer scientists and engineers can work as data engineers, IT systems analysts, and data architects, helping structure data and put it to full use.
Other job types related to data analytics include:
- Transportation logistics specialists
- Operations analysts
- Quantitative analysts
- Data analytics consultants
- Large-scale project managers
Data analyst salary and job outlook
The average base salary for a data analyst in the US is $67,00 and in India it is ₹8,40,000 in May 2023, according to LinkedIn Salary. This can vary depending on your seniority, where in the US you’re located, and other factors.
Data analysts are in high demand. The World Economic Forum listed it as number two in growing jobs in the US. The Bureau of Labor Statistics also reports related occupations as having extremely high growth rates.
From 2020 to 2030, operations research analyst positions are expected to grow by 25 percent, market research analysts by 22 percent, and mathematicians and statisticians by 33 percent. That’s a lot higher than the total employment growth rate of 7.7 percent.
How to become a data analyst
There’s more than one path toward a career as a data analyst. Whether you’re just graduating from school or looking to switch careers, the first step is often assessing what transferable skills you have and building the new skills you’ll need in this new role.
Education for Data Analytics Roles
Since the data analytics market overlaps with other industries and fields, your education options are wide. You still, however, need to take into account the technical aspect, as working with databases and programming languages requires some degree of technical knowledge.
In order to break into the data analytics market, many candidates have tech- or finance-related degrees, such as:
- Data science
- Computer science
- Data analytics
- Mathematics
- Physics
- Business information systems
- Engineering
- Economics
- Accounting
Traditional undergraduate degrees aren’t strictly necessary to work in data analytics. You can make use of independent courses and certification programs to develop the skills needed to work in data analytics, such as:
- SQL, R, and Python
- MATLAB
- Data visualization
- Data cleaning
- Probability and statistics
- Data management
- Machine learning (ML)
- Mathematics — calculus and linear algebra, in particular
More specific knowledge in data management and analysis software may be required by some companies.
Related Online Courses
- Business Analytics by University of Pennsylvania
- Marketing Analytics University of Virginia
- Google Data Analytics by Princeton University
- Supply Chain Analytics by Duke University & University of Pennsylvania
Data analyst technical skills
- Database tools: Microsoft Excel and SQL should be mainstays in any data analyst’s toolbox. While Excel is ubiquitous across industries, SQL can handle larger sets of data and is widely regarded as a necessity for data analysis.
- Programming languages: Learning a statistical programming language like Python or R will let you handle large sets of data and perform complex equations. Though Python and R are among the most common, it’s a good idea to look at several job descriptions of a position you’re interested in to determine which language will be most useful to your industry.
- Data visualization: Presenting your findings in a clear and compelling way is crucial to being a successful data analyst. Knowing how best to present information through charts and graphs will make sure colleagues, employers, and stakeholders will understand your work. Tableau, Jupyter Notebook, and Excel are among the many tools used to create visuals.
- Statistics and math: Knowing the concepts behind what data tools are actually doing will help you tremendously in your work. Having a solid grasp of statistics and math will help you determine which tools are best to use to solve a particular problem, help you catch errors in your data, and have a better understanding of the results.
If that seems like a lot, don’t worry—there are plenty of courses that will walk you through the basics of the hard skills you need as a data analyst. This IBM Data Analyst Professional Certificate course on Coursera can be a good place to start.
Data analyst workplace skills
The data analyst career path is becoming increasingly popular as the demand for data-driven decision-making grows. Following are some essential skills required for a data analyst at a workplace.
- Problem solving: A data analyst needs to have a good understanding of the question being asked and the problem that needs to be solved. They also should be able to find patterns or trends that might reveal a story. Having the critical thinking skills will allow you to focus on the right types of data, recognize the most revealing methods of analysis, and catch gaps in your work.
- Communication: Being able to get your ideas across to other people will be crucial to your work as a data analyst. Strong written and speaking skills to communicate with colleagues and other stakeholders are good assets in data analysts.
- Industry knowledge: Knowing about the industry you work in—health care, business, finance, or otherwise—will give you an advantage in your work and in job applications. If you’re trying to break into a specific industry, take some time to pay attention to the news in your industry, or read a book on the subject. This can familiarize you with the industry’s main issues and trends.
Related Posts:
- What Does a Business Analyst Do? How to Become a Business Analyst in 2023
- Learn Construction Robotics: The Next Wave in the Construction Industry
- Data Science Career and Jobs in 2023 [A Complete Guide]
- Data Analytics Professional Certificate Course by Google for 2023
Paths to becoming a data analyst
A data analyst career path typically starts with a strong educational background in mathematics, statistics, or computer science. Acquiring these skills is the first step to becoming a data analyst. Here are a few routes you can take to get them that are flexible enough to fit in around your life.
- Professional certificate: Entry-level professional certificate programs usually require no previous experience in the field. They can teach you basic skills like SQL or statistics while giving you the chance to create projects for your portfolio and provide real-time feedback on your work. Several professional certificate programs on Coursera do just that.
- Bachelor’s degree: The Bureau of Labor Statistics recommends a bachelor’s degree for jobs that involve data analysis. If you’re considering getting a degree to become a data analyst, focusing your coursework in statistics, math, or computer science can give you a head start with potential employers. Many online bachelor’s degrees have flexible scheduling so you can fit a degree in around your priorities.
- Self-study: If you want a path that doesn’t include formal training, it’s possible to learn the skills necessary for data analysis on your own. Get started with this data analytics reading list for beginners. Once you’re ready to start building a portfolio, here are some ideas for data analytics projects.
For more on how to become a data analyst (with or without a degree), check out our step-by-step guide.
Data analyst career advancement
Being a data analyst can also open doors to other careers. Many who start as data analysts go on to work as data scientists. Like analysts, data scientists use statistics, math, and computer science to analyze data. A scientist, however, might use advanced techniques to build models and other tools to provide insights about future trends.
A data analyst career path typically begins with a bachelor’s degree in a field such as mathematics, statistics, or computer science. From there, many data analysts gain experience through internships or entry-level positions in fields such as market research or business analysis.
As they gain experience and skills, they may move on to more senior roles, such as data scientist or business intelligence manager. Along the way, they may also choose to specialize in a particular industry or type of data analysis, such as financial analysis or web analytics. Advancement opportunities also include leadership positions and management roles in data and analytics teams.
Data Analyst Jobs
The data analyst career path offers a wide range of opportunities for growth and specialization, from entry-level positions to management roles. There are various options through which you can search and apply for the latest Data analyst job profiles. Thousands of open job positions are posted globally for various data analysts’ job profiles.
- Data Analyst jobs on LinkedIn
- Data Analyst jobs indeed
- Data analyst jobs on Nukri.com
The Future of Data Analyst
The future of data analysts looks bright. Companies are increasingly collecting more data and need someone to help make sense of it all. As a data analyst, you’ll be responsible for sifting through mountains of data and extracting valuable insights that can help improve business decisions.
You’ll need to be able to use various analytical tools and techniques, as well as have strong communication skills to be able to present your findings. With the right skill set, you’ll be in high demand in the years to come. Many entry-level data analyst positions offer competitive salaries, making them an attractive career choice for recent graduates.
Data Analytics Market Size to grow by USD 196.47 Billion | 32% of the market growth will originate from APAC
A report by Technavio
The data analytics market potential growth difference will be USD 196.47 billion from 2021 to 2026, as per the latest market analysis report by Technavio. The report also identifies the market to witness an accelerating growth momentum at a CAGR of 13.54% during the forecast period. The extensive use of modern technology in company operations is notably driving the data analytics market growth, although factors such as the integration of data from different sources may impede market growth.
By looking at the above stats we could predict that there is a great demand in the market for the data analytics professionals.
Conclusion
We hope this data analyst career path enlightens you about rewarding careers. Data analysis is an excellent choice if you’re looking for a future-proof career option. With the ever-increasing demand for data, businesses will need someone to collect, analyze, and interpret it. Data analysts with advanced skills and certifications, as well as management experience, can command high data analyst salaries in the industry. As a data analyst, you’ll be responsible for helping organizations make sense of their data so that they can make better decisions. With the right skills and experience, you can enjoy a long and successful career in this field.
Related Posts:
Data Analyst Career FAQs
Data science is more concerned with developing new ways to collect and analyze data, while data analytics is more focused on using existing methods to glean insights from data.
Most data analyst roles will require at least a bachelor’s degree in a relevant field such as mathematics, statistics, computer science, or economics. In some cases, employers may also require data analysts to have a master’s degree or higher.
The average base salary for a data analyst in the US is $67,00 and in India it is ₹8,40,000 in May 2023, according to LinkedIn Salary. This can vary depending on your seniority, where in the US you’re located, and other factors.
Microsoft Excel, Google Sheets, SQL, Tableau, R or Python, SAS, Microsoft Power BI, Jupyter Notebooks
Yes, data analysts are in high demand and the career is expected to grow significantly in the next few years.
The career objective for data analyst is to collect, process, and analyze data to help businesses make better decisions. They use their skills in mathematics, statistics, and computer science to find trends and make predictions.
