Data Points vs Data Insights

Before we can talk about the similarities and differences between a data point and data insights, we first need to know what each of these words really mean. Originally from just looking at the words I had thought a data point was just that, some sort of point in the data with some kind of significance to the data. I thought data insight was just what insight(s) you have gathered from the data, but there is a lot more to it than that. let’s take a deeper dive and figure out the true definition of these words and the difference between them is.

What is a data point?

When we think of a data point it’s just that a point in the data. A data point is a single piece of information or data, it only tells part of the story or the analysis it doesn’t tell users, marketers, researchers, etc… the whole story. Data points are typically measurements or values like someone’s age, income, likes, dislikes, food preferences, etc… I like to think of a data point like a piece of a larger puzzle or a building block in a set of Legos.

What is data insight?

When we think of what data insight is it’s similar to my thought earlier, it’s what insight(s) you have gathered from your data. Data insights are essentially the understanding you gain when you analyzed and interpret data and the patterns that are displayed within the data points. With data insights we have to analyze and identify any patterns and trends within the data in order to help with your decision-making process, help develop new strategies and figure out ways to market a product or service as effectively as possible.

What’s the difference between the two?

In the long run the difference between data points and data insights is simple; data points are the puzzle pieces and data insights are the entire puzzle completed. With the raw material that comes from data points, there would be nothing to interpret or analyze and without the entire puzzle (data insights) combined of data points then there would be no way to describe what the data shows, see how or why consumers think or shop the way that they do and explain the actions of consumers,

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By: Tavia Cox