/ How greater access to data analyst tools is changing the business environment

How greater access to data analyst tools is changing the business environment

The definition of data analyst tools is evolving rapidly in today’s economy. While data analysis used to be for the technically minded, modern data analyst tools make analytics more accessible for everyone. Low-and no-code data analyst tools make an organization less dependent on IT and promote transparency by giving everyone access to all data.

Few business owners dispute that data analytics can provide them with valuable insights. What many entrepreneurs are less sure about is where to start, what tools they need, and what competencies their team should possess. Most business owners understand that this is an area of technology in which the landscape changes quickly, so as a result, there are few long-term answers. Still, there are some trends that seem to be emerging with regard to how greater access to data analysis tools is changing the business environment.


What is data analytics?

Data analytics is the process of collecting and analyzing data to make informed business decisions. It’s not just about pulling numbers from a spreadsheet anymore. The field has grown to include a wide range of methods for analyzing data, including statistics, visualization, machine learning, artificial intelligence (AI), and more.

As businesses become increasingly reliant on access to data analytics tools, they’re finding that they can use these tools to get smarter about how they work together—and how they work with their customers.


Why does data analytics matter in business?

Data analyst tools are a way for businesses to make better business decisions. They help companies analyze data and figure out what’s working and what isn’t, so they can make more productive choices in the future.

Data analytics are essential because they not only improve your ability to plan, but also allow you to understand your customers better than ever before. You gain valuable insights into how these customers behave, how much money they spend on different products or purchases, and more.

When you have access to better information about these areas of your business, instead of just guessing about something like customer loyalty, you can actually use some kind of hard numbers from the customers themselves.

Other significant benefits of data analytics for business operations include:

  • Proactively anticipating the needs of your customers by serving the products and value points they require, which leads to higher profits
  • Mitigating risks by uncovering insights and new advantages in real-time and responding to a shifting marketplace
  • Delivering the most relevant products and services to potential customers based on their actual needs
  • The ability to personalize the user interaction with your brand across all platforms for higher customer retention and engagement
  • Optimize the customer experience so they feel a strong emotional reaction to your brand and offering


The introduction of low-code and no-code solutions

As the business environment continues to evolve, data analysts will need to develop new skills in order to keep up with the changes. This includes keeping up with recent trends in data analytics infrastructure that is being utilized by industry leaders.

Data analysts are using low-code and no-code data analyst tools to perform more analysis than ever before. As a result, these tools have changed what is required for new graduates entering this field. Instead of needing extensive programming experience or knowing how to build data models from scratch (code), they can now quickly create solutions by integrating pre-built algorithms via APIs into other systems such as cloud platforms (no code).

That means your business can simply sign up for a service or integrate an open-source no-code solution similar to a drag-and-drop interface. That practically eliminates the barriers to entry into the data analytics field.


Bringing data analyst tools in house

The ease of access to data analyst tools is prompting more business owners to do analysis in house rather than outsourcing the work. Businesses are finding that these tools are easy to use, affordable, and accessible. The learning curve for using them is also slight because of new low-code and no-code solutions. As long as you have a basic understanding of how computers work, you can pick up the basics of using and integrating new data analyst tools.

Businesses that want high-quality results may still be better off hiring a professional data analyst (or team) who has experience with advanced methods and can provide specific expertise not offered by an automated software package. But those who don’t have such needs will likely find themselves spending less money on an outside resource if they choose instead to use these types of programs themselves.


The shift in automated tools is changing IT needs and budgets

As businesses have gained access to more data analytics tools, the IT budget has shifted from infrastructure to software. It does not make sense to continue paying escalating fees for built-from-scratch solutions when you can simply integrate the pieces of low-code solutions readily available on cloud services.

IT departments are now focusing more on cloud solutions, which are cheaper than building out an in-house data center infrastructure. Data analytics software is a crucial focus for many enterprises because it can help them analyze large amounts of unstructured data and make better business decisions. Having those tools accessible anywhere in the world greatly improves the capabilities of any team, especially given the prevalence of remote or hybrid work.


Modern data analyst tools empower smaller businesses

If you’re a smaller company with limited resources, the availability of data a tools can be your secret weapon. The reason is simple: they’re easy to use and affordable. Not only that, but they’re available from anywhere in the world and integrate with most modern platforms.

This means that even if you have a small budget or don’t have anyone on staff that has experience with data analytics, your business can still compete with more prominent companies by using these tools effectively.

In fact, many entrepreneurs agree that it’s one of the best ways to get started with data analytics. It allows them to quickly test out new ideas without spending money on hiring experts in this field or purchase expensive software packages that may not even work well for their specific needs.

The lower the barriers to entry in an industry, the greater the competition for customers. The more competition, the lower the prices of products and services. In other words, greater accessibility to data analyst tools provides more opportunities for companies to grow and lower prices for consumers to enjoy.


Why leverage modern data analyst tools?

It should not be a surprise to hear that the existence of data analytics tools is making it easier for companies to get their work done. After all, if you’ve got a specific need or problem that needs solving and there is software to provide a solution, why wouldn’t you take advantage of it? Which would you prefer to do: purchase a piece of software or take on the cost and time commitment of hiring an expert?

There are a number of reasons why organizations would rather use tools than hire experts:

  • Expertise isn’t always needed to get the job done. With the right tools, even someone without any experience in data analysis can be successful in analyzing their company’s data. In fact, these tools can often be used by non-professionals for tasks like identifying trends and patterns in customer behavior—something that previously required extensive training and knowledge in statistics or programming languages like Python.
  • Tools cost less than hiring experts. While there are many expensive applications on the market today, most of them cost less than hiring a single analyst for one year at $100k-$200k per year (not including benefits). That’s because with these apps, anyone can do what was once reserved only for highly trained professionals.
  • Tools provide more flexibility than hiring experts. In addition to being cheaper than hiring staff members outright, they also offer the flexibility to be adapted to your organization’s unique needs. You can even test out different operating or marketing theories using bespoke low-code or no-code data analyst tools.


The power of data analytics is in everyone’s hands

Data analysis is an important tool for understanding business trends. Not only can you use the data to understand what customers want, but you can also identify patterns in your own organization that may need improvement.

The ease of access to these data analyst tools has changed how businesses do analytics by making it easier for them to do it themselves rather than hiring experts. This has led companies to shift their budgets away from hiring externally toward purchasing tools and training in-house employees on how best to use them.

This is empowering more businesses to engage in healthy competition, which is only likely to benefit the consumer and create more innovation. In short, the future is bright because of the integrated data analyst tools available to anyone willing to try them out.

Check out some related resources:

Domo Recognized as an Overall Leader in the 2023 Dresner Wisdom of Crowds® Business Intelligence Market Study

POV: Next-Generation Banking

Domo Named a Leader in Nucleus Research’s 2023 Analytics Technology Value Matrix

Try Domo for yourself. Completely free.

Domo transforms the way these companies manage business.