Many organizations struggle with low analytics adoption due to factors such as increasing data complexity and the resources required to manage large, varied datasets.  

These challenges make strong data skills essential. The ability to analyze data helps businesses understand customer behavior, improve products, and enhance everyday experiences for their customers and employees. Business data analytics professionals support these goals by helping organizations turn raw information into insights that guide decisions and strengthen performance. Examples of how business data analytics can benefit companies include:  

As AI becomes more common across industries, the demand for analytics expertise continues to rise. Business data analysts now work with traditional analytics approaches, as well as emerging tools, including AI-driven analytics.  

According to a recent survey conducted by the Initiative for a Competitive Inner City (ICIC), 89 percent of business owners report current AI use in their business, with the largest percentage utilizing it for streamlining routine tasks such as data analysis (27 percent). The use of AI for data analytics can vary by industry; for example, in the marketing industry, 41 percent of marketers report using AI tools to gather and analyze data insights from their business, according to a SurveyMonkey report. 

Business data analysts review some visualized reports on a laptop. 

This guide explores what business data analytics is, along with the typical duties and salary of business data analysts and similar roles.  

What Is Business Data Analytics? 

Business data analytics focuses on using data to find useful business insights. People often confuse business data analytics with business intelligence, but business intelligence typically reviews operations to find what’s working and what needs improvement. Business data analytics uses statistics and technology to process and display data, helping reveal patterns and insights that support better decisions. 

While business data analytics often incorporate predictive analytics, it’s not limited to one type of analytics. Predictive analytics is one of four types of analytics, each playing a key role in understanding what data reveals for informed decision-making: 

  • Descriptive: Summarizes past events, such as charts showing customer demographics and buying trends  
  • Diagnostic: Uncovers patterns and root causes to explain why something happened, such as a drop in sales 
  • Predictive: Identifies patterns to anticipate future outcomes, such as projecting sales and helping organizations plan and strategize 
  • Prescriptive: Recommends future actions, such as implementing systems and processes that can help identify potential fraud based on historical activity 

Before data can provide insights, it needs to go through the analytics process, often led by business data analysts. 

What Does a Business Data Analyst Do? 

Business data analysts add value to organizations in many ways, from helping improve sales performance to streamlining operations. They examine large datasets, identify trends and translate findings into recommendations that support decision-making. Their work often involves collaborating with departments such as marketing, finance and operations to clarify business needs and identify improvement opportunities. This focus on data-driven insights shapes the types of tools they use in their daily work.  

Business data analysts are needed in every industry. Here are some examples of what a business data analyst might do in different industries: 

  • Technology: Business data analysts help project teams with data—from documenting business processes to examining how current models work. By spotting areas for improvement, they suggest useful technology or workflow changes that can boost performance and aid better decision-making. 
  • Finance: Business data analysts in finance examine company data and provide insights that guide management decisions. Their work differs from that of financial analysts, who study financial markets and performance metrics to identify trends, make forecasts and support investment decisions.  
  • Consumer packaged goods: The CPG sector can benefit from a type of business data analytics known as CPG data analytics. Teams can use insights to understand customer preferences and shopping habits, helping them create effective marketing strategies that resonate with people. These insights also enhance customer service by identifying common issues and streamlining support operations. 

Resources: Business Data Analytics Tools 

Business data analysts use various business analytics tools to help them do their jobs effectively. Most commonly, these tools support: 

  • Data mining: Using techniques such as clustering and classification to discover correlations in the data and identify hidden patterns and trends 
  • Data warehousing: Collecting and organizing data from various sources to make it easier to analyze, use and manage 
  • Data visualization: Turning complex data into simple charts and graphs to simplify how insights are shared for faster decision-making 
  • Forecasting: Examining past data and trends to predict future events 
  • Statistical analysis: Providing quantifiable evidence for insights derived from data to boost confidence in discoveries 

The following platforms and programming languages are examples of tools commonly used to perform these tasks:  

  • Looker Studio: This platform turns raw data into interactive, customizable dashboards and reports. It connects to Google products such as Google Ads, Google Sheets and BigQuery, as well as other sources, and lets users build visual reports with drag-and-drop tools to support data-driven decisions without requiring complex coding. 
  • Microsoft Power BI: This data visualization platform is designed for business users with varying levels of data experience. It supports reporting, data integration, business intelligence and financial analysis. Users can create reports, work with data and do deeper analysis. 
  • Python: This open-source programming language supports data analysis, transformation and visualization, in addition to uses in areas such as web development. 
  • R: This open-source programming language and environment is used for statistical computing, data analysis and graphics. It provides tools for working with data, performing calculations and creating visualizations in one environment. 
  • SQL: This domain-specific language is used with relational databases. It supports efficient data handling, quick searches and strong security. First used commercially in 1979 and later standardized by the American National Standards Institute and the International Organization for Standardization, it remains essential in today’s data-driven world. 
  • Tableau: This platform, used for data visualization, business intelligence and data exploration, allows users to connect to various data sources. Users can also create interactive dashboards with drag-and-drop tools and share insights across an organization to support data-driven decisions. 

Skills Needed to Succeed as a Business Data Analyst 

Business data analysts rely on a mix of technical abilities and interpersonal skills to turn information into meaningful insights. While technical skills help analysts work with data effectively, soft skills support their ability to communicate findings and collaborate across teams. 

Technical skills often include working with large datasets, analyzing trends and creating data visualizations that help leaders understand key takeaways. Analysts also benefit from understanding how databases function, how to apply statistical methods and how to use business intelligence or analytics software to explore data. As organizations increasingly adopt AI-driven tools, familiarity with emerging analytics technologies can also help analysts stay up to date with trends in the field. 

Soft skills play an equally important role. Business data analysts frequently communicate with stakeholders across marketing, operations, finance and leadership, so strong communication and active listening skills help them clarify business needs and present insights clearly. Analysts also draw on problem-solving, critical thinking and adaptability as they evaluate complex issues and propose data-informed solutions. Collaboration and relationship-building further support their success, helping ensure that teams understand the value of data and feel confident using insights to guide decisions. 

Together, these skills help analysts serve as a bridge between raw data and strategic action, allowing them to contribute effectively in a wide range of industries and business settings. 

How to Become a Business Data Analyst 

The path to becoming a business data analyst can vary based on each sector’s needs. Regardless of industry, however, individuals interested in a business data analyst career can take important steps to prepare for the role.  

Earn a Bachelor’s Degree 

Earning a bachelor’s degree in business data analytics can help students build core skills, such as documenting business cases, analyzing workflow systems, presenting information to business leaders, and using business modeling techniques and tools. It also supports the development of essential soft skills for business analysis professionals, including communication, problem-solving, listening, stakeholder engagement, critical thinking, adaptability and relationship-building.  

Some students may major in subjects such as business administration, finance or accounting, while others may choose to add coursework in programming and business techniques. Senior analysts typically hold a master’s degree, such as an Master of Business Administration (MBA), and may also earn specialized professional certifications. 

Gain Experience 

Internships, entry-level analyst roles, and positions that involve working with data or business processes offer practical exposure, allowing individuals to apply their business data analysis skills—analytical thinking, communication, business acumen and technical skills. Through activities such as gathering requirements, managing datasets, building dashboards and supporting project teams, individuals learn to solve real business problems and see how data informs decisions. 

Obtain Certifications 

Certifications can enhance an individual’s knowledge while demonstrating to potential employers that they possess the technical and analytical expertise to excel in business data analyst roles. For example, the Certification in Business Data Analytics strengthens skills for making evidence-based decisions, improving strategies and achieving success in a data-driven work setting. Also, business data analysts can get certified in technologies such as SQL, Tableau and Microsoft Excel, further demonstrating their expertise and boosting their chances for advanced roles. 

Business Data Analyst Salary 

As of August 2024, individuals with a bachelor's degree in business data analysis earned a median annual salary of about $72,000, according to Payscale. Those with more experience and in senior roles can expect higher pay. For example, senior business data analysis earn a median annual salary of about $83,000 as of December 2025, according to Payscale.  

For those looking to enter the business data analytics field, there’s another point to consider regarding salary: Analytics roles come in many forms, so salaries may vary depending on job title. For example, businesses employ different areas of analytics, including data science and business intelligence 

Here are roles similar to the business data analyst role, with their relevant median annual salaries based on the latest data from the U.S. Bureau of Labor Statistics (BLS) and Payscale. 

Drive Innovation and Growth as a Business Data Analyst 

Potential career roles for individuals with a business analytics degree can vary, including jobs in operations, market research, IT systems and business analysis. The BLS projects some of these roles to be among the fastest-growing jobs from 2024 to 2034, including data scientists (34 percent growth) and operations research analysts (21 percent). Other positions are also projected to grow strongly, including management analysts (9 percent growth) and market research analysts (7 percent growth). 

Professionals in these roles help make decisions and support business innovation by using advanced analytical techniques to make predictions, applying statistics to understand data, overseeing projects from start to finish, and writing code to handle data and build models. Business analytics degree graduates can also work in areas such as consulting, technology, research and the public sector, giving them the flexibility to apply their skills in many different settings.