Why is Data Visualization important?
Data Visualization is the Graphical Representation of information and data. By using visual elements like charts, graphs, and maps, Data Visualization tools provide an accessible way to see and understand trends, outliers, and patterns in data.In the world of Big Data, Data Visualization tools and technologies are essential to analyze massive amounts of information and make data-driven decisions. Data Visualization is the art of depicting data in a fun and creative way, beyond the possibilities of Excel tables.In a way, it’s like setting figures to music.
Data Visualization is the presentation of data in a pictorial or graphical format. It enables decision makers to see analytics presented visually, so they can grasp difficult concepts or identify new patterns. With interactive Visualization, you can take the concept a step further by using technology to drill down into charts and graphs for more detail, interactively changing what data you see and how it’s processed.
Data Visualization refers to transforming figures and raw data into visual objects: points, bars, line plots, maps, etc. By combining user-friendly and aesthetically-pleasing features, these Visualizations make research and data analysis much quicker, and are also a powerful communication tool.
Why is Data Visualization important?
Because of the way the human brain processes information, using charts or graphs to visualize large amounts of complex data is easier than poring over spreadsheets or reports. Data Visualization is a quick, easy way to convey concepts in a universal manner – and you can experiment with different scenarios by making slight adjustments.
Data Visualization can also:-
1.Identify areas that need attention or improvement.
2.Clarify which factors influence customer behavior.
3.Help you understand which products to place where.
4.Predict sales volumes.
Here are the top four benefits that Data Visualization provides to organizations & decision makers:-
1. Absorb more information easily
Data Visualization enables users to view & understand vast amounts of information regarding operational and business conditions. It allows decision makers to see connections between multi-dimensional data sets and provides new ways to interpret data through heat maps, bullet charts, and other rich Graphical Representations. Businesses that use visual data analytics are more likely to find the information they are looking for and sooner than other companies. A survey by Aberdeen Group found that managers in organizations that use visual data discovery tools are 28 percent more likely to find relevant information compared to those who rely only on managed dashboards & reporting.
2. Discover relationships & patterns between business & operational activities
Data Visualization enables users to effectively see patterns and relations that occur between operations and business performance. It’s easier to see how your day-to-day tasks impact your overall business performance, and find out which operational change triggered the growth/dip in business performance.
Data Visualization allows you to see historical trends in the key performance metrics, like monthly sales, of your business. This allows you to compare the current performance with the past, and forecast the future. You can even break it out by various components that drive the metric, such as the sales by various sources or regions. Further, you can drill down to see their historical trends and contributions.This allows the executives to identify the reason for growth and repeat it, or find the root cause of the dip and fix it.
3. Identify emerging trends faster
The amount of customer & market data that companies are able to gather can provide key insights into new business & revenue opportunities. To avoid getting lost in the mountain of data, it needs to be simplified. That’s where Data Visualization comes in. Data Visualization enables decision makers to spot changes in customer behavior and market conditions more quickly. For example, a supermarket chain can use Data Visualization to see that not only do customers spend more as macro-economic conditions improve, but they increasingly purchase ready-made foods.
4. Directly interact with data
Data Visualization enables you to bring actionable insights to the surface. Unlike tables and charts which can only be viewed, Data Visualization tools enable users to interact with data. For example, a canned report or Excel spreadsheet can inform an executive for an automotive company that sales for its sedans are down for a particular month. However, it won’t inform her why sales of the sedans are down. Using real-time d Data Visualization, the executive can view the latest sales figures and see which models of sedans are under-performing and the reason for drop in sales – discount offered by competitors. The executive can take action to respond quickly. For example, she might launch a 15-day sales promotion for specific dealerships where sales numbers have dipped.
Features Needed in Data Visualization Software:-
Data Visualization can be an effective marketing tool, provided the user uses it properly to get the information they need. Users planning to subscribe to a service should consider looking for the following features:-
1.One useful feature in many visualization software types is the ability to choose different visuals and graphs. Depending on what you feel is best, you can choose between pie charts, bar charts, and line graphs to express the data better. You can even label it according to which type.
2.Every Data Visualization tool should have an accurate trend tracking capability. With this, you can keep tabs on the latest trends in your field. For example, you can see which products are selling each month, and which demographic is buying.
3.Depending on what type of information you need, you might also require a high level of security. The data regarding each audience and trend can help you make better market decisions. But this means you may have people who may be interested in breaking into your account and stealing your data. Without proper security, you could risk losing information that could be crucial to your enterprise.
4.Simplified software interfacing is also important to any user for these systems. Because you are trying to decode and interpret lots of data, it’s pretty easy to get confused. That’s why Data Visualization software should be user-friendly and include easy-to-understand tips or lessons to help you work on the system right away.