MAYUR
1 post
Jun 20, 2025
10:01 PM
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How Data Analytics Works — Step by Step
Here's how it generally works:
? 1. Data Collection
What occurs: Collect data from different sources such as websites, databases, sensors, customer interactions, or social media.
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Tools: APIs, SQL, Google Analytics, CRM systems, spreadsheets.
Example: Collecting sales data from an online store.
? 2. Data Cleaning (Data Preparation)
What it does: Eliminate errors, complete missing values, and normalize formats. Incomplete or dirty data may result in erroneous conclusions.
Tools: Excel, Python (Pandas), R, Power Query.
Example: Resolving inconsistent date formats or eliminating duplicates within a dataset.
What it does: Understand the feel of the data—summary stats, trends, and correlations.
? 4. Data Analysis & Modeling
What is done: Use statistical methods or algorithms to discover patterns, make predictions, or determine relationships.
Types:
Descriptive analytics: What occurred?
Diagnostic analytics: Why did it occur?
Predictive analytics: What will probably occur?
Prescriptive analytics: What must we do?
Tools: Python (Scikit-learn), R, Excel, SPSS, SAS.
Example: Predicting future sales with regression using past data.
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? 5. Data Visualization
What happens: Display the insights in graphs, charts, and dashboards to ensure they are intuitive to consume.
Example: Building a dashboard to illustrate monthly revenue trends.
? 6. Interpretation & Decision-Making
What happens: Convert insights into executable business strategies.
Product pricing
Customer segmentation
Marketing optimization
Operational improvement
Example: Identifying that an advertising campaign is more successful with email targeting and suggesting a change of strategy
Summary:
Data analytics operates by gathering, cleaning, exploring, analyzing, visualizing, and interpreting data to enable intelligent decisions.
It takes raw figures and turns them into actionable knowledge.
Would you prefer a visual infographic or flowchart of this process?
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