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Data analysts and business analysts both help drive data-driven decision-making in their organizations. Data analysts work more closely with the data itself, while business analysts are more involved in addressing business needs and recommending solutions. Both are highly sought-after roles that are typically well-compensated.

In this article, we鈥檒l look closer at what makes each role unique and why you might choose to pursue either as a career. Afterward, if either path intrigues you, consider enrolling in the Microsoft Business Analyst Professional Certificate, where you鈥檒l have the opportunity to learn how to identify, analyze, and document business problems and opportunities using various requirements-gathering techniques.

Business analyst vs. data analyst

Business analysts and data analysts have similar roles, and some companies might use the terms interchangeably. Yet, while both types of analysts use data to improve business decisions, they do so in different ways.听

What do business analysts do?

Business analysts help identify problems, opportunities, and solutions for their organizations. They do this by:

• Evaluating a company鈥檚 current functions and IT structures

• Reviewing processes and interviewing team members to identify areas for improvement

• Presenting findings and recommendations to management and other key stakeholders

• Creating visuals and financial models to support business decisions

• Training and coaching staff in new systems

What is a business intelligence (BI) analyst?

BI analysts are somewhat of a hybrid between business and data analysts. They use analysis, modeling, and visualization of industry trends and the competitive landscape to help businesses cut losses and increase profits.

What do data analysts do?

Data analysts gather, clean, analyze, visualize, and present existing data to help inform business decisions. An effective data analyst uses data to answer a question and empower decision-makers to plot the best course of action. Common tasks for a data analyst might include:

• Working with business leaders and stakeholders to define a problem or business need

• Identifying and sourcing data聽

• Cleaning and preparing data for analysis

• Analyzing data for patterns and trends

• Visualizing data to make it easier to understand

• Presenting data in such a way that it tells a compelling story

Learn more about the job of a data analyst in this lecture from Google's Data Analytics Professional Certificate:

Educational background

Business and data analysts can come from various academic backgrounds, though many companies look for candidates with at least a bachelor鈥檚 degree. Generally speaking, business analysts might have a degree in a business-related field, while data analysts often have degrees in STEM fields like statistics, math, or computer science.

Earning a graduate degree focusing on data analytics could open opportunities for advancement in either field.

Read more: What Is a Bachelor鈥檚 Degree? Types, Cost, and Application Requirements

No degree is required for some entry-level roles

Earn a Professional Certificate in data analytics from Google or IBM to build the skills necessary for an entry-level data analyst role in less than six months of study.

Skills: Data analyst vs. business analyst

Data analytics and business analytics require similar interpersonal skills but slightly different technical skill sets. Whichever path you choose, for example, you can set yourself up for success by being a good:

• Oral and written communicator

• Problem solver

• Critical thinker

• Organizer

• Collaborator

While both occupations work with data, they do so in different ways. Here鈥檚 a look at some common skills for each.

Salaries

The in-demand skills involved in data and business analysis often draw high salaries. According to Glassdoor, business analysts in the US earn a median total pay of $105,000 as of September 2025, while data analysts bring in a median total pay of $92,000 [, ]. This figure includes base salary and additional pay, which may represent profit-sharing, commissions, bonuses, or other compensation.

Stay current with data analysis trends

Keep yourself up to date with the latest data career trends by subscribing to on LinkedIn. Or, discover the following free, digital resources:

• Learn from an industry expert: Meet the Data Analyst Using His Creativity to Tell Visual Stories

• Watch this video on YouTube:

• Get your questions answered: 7 Questions with a Data Analytics Professor

Whether you want to develop a new skill, get comfortable with an in-demand technology, or advance your abilities, keep growing with a 糖心vlog官网观看 Plus subscription. You鈥檒l get access to over 10,000 flexible courses.听

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