In this article, we’ll take a look at average data analyst salaries, how salaries for data analysts vary across the world, and the average rates of pay for data analyst roles at some of the world’s top tech companies. We’ll also take a look at the steps it takes to retrain as a data analyst, and the resources available to those interested in making such a change.
- Are data analyst salaries consistent across the world?
- What will a data analyst earn based on their experience?
- Do data analysts earn different salaries depending on their industry?
- What do the top tech companies pay data analysts?
- What skills do I need to learn in order to increase earning potential and employability?
- How can I become a data analyst?
How do companies get insights into the health of their business? How do they adapt their business model based on their current sales and customer demographics? How do they avoid making mistakes or learn from the ones they’ve already made? The answer is quite simple: by analyzing their data.
Companies are increasingly becoming aware that the only way to truly succeed in the modern age is to become data-intelligent. To do this, they require the skills of a data analyst, someone who is able to analyze and interpret the data gathered from marketing campaigns, surveys, and purchasing statistics.
The ability to interpret data skillfully—and communicate findings clearly—can make the difference between a successful company and an unsuccessful one. Data analysts therefore carry a lot of responsibility for informing company strategy. And what does this mean? It means they’re paid good salaries.
Demand for data analysts has grown over the past decade, with LinkedIn’s Workforce Report noting that demand for data analysts has grown sixfold compared to seven years ago, and that the profession will continue to be the most sought after into the early 2020s. While some industries pay more than others, a data analyst can expect to earn a healthy salary in all areas of industry and at all levels of experience. Now is a fantastic time to retrain and enter the world of data analytics given the huge amount of demand for those with the right skills.
2. Are data analyst salaries consistent across the world?
As you’d expect, salaries for data analyst roles differ depending on location. Data Science Central identifies the following ten countries as the highest paying for data analysts; the USA, Switzerland, Sweden, Singapore, Denmark, Canada, Australia, the Netherlands, Germany, and the United Kingdom. Unsurprisingly, this list maps closely onto current rankings of median income of economically developed countries. We can also look at how salaries for data analysts stack up compared to a country’s average salary, as well as compared to other popular, well-paid professions in the tech sector, such as web development or UX design. Let’s take a deeper look at the two biggest markets in Europe and North America; Germany and the USA.
According to Payscale, data analysts in Germany earn between €34,000 and €60,000 per year, depending on the level of seniority, the industry, the location, and the maturity of the company. The median income of data analysts in Germany sits at €45k, over 30% higher than the median income in Germany, which stands at just above €30k. It also measures up well to other tech jobs; for instance, it’s higher than the average salary of a web developer, which is €41k. In the USA, data analysts stand to earn substantially more than their German counterparts. According to data from indeed, the average salary of a data analyst in the USA is $75,286 (approx. €53k), over 20% higher than the mean income of $43k, and similar to what a web developer can expect to earn on average. Salaries in New York range from between $50,000 and $96,000, while in San Francisco the average wage is between $65,000 and $120,000. Across the pond, salaries for data analyst roles in London range from £24,000 to £47,000.
Data analyst salaries across Europe. Source: datacareer
3. What will a data analyst earn based on their experience?
Salaries for data analyst jobs at all levels reflect the specific skills and aptitudes required for the roles. Most entry-level jobs in the field of data analytics command a healthy starting salary. To give an example of what a data analyst can expect to earn depending on experience, Payscale notes that data analysts with less than one year of experience can earn an average of €40,462 in Germany. For those with between five and nine years of experience, they can expect to earn around €50,000 in a role. Senior data analyst roles command around €60,000.
It’s important to acknowledge a certain level of fluidity with data analyst salaries, and those with more specific skill sets or a more in-depth understanding of programming languages can expect to receive a boost in their salary. According to Payscale, those possessing working experience with Tableau Software can expect to earn 8% more than those without. Similarly, knowing how to use the programming language SQL can result in a 5% salary boost.
The range of salaries for data analysts based in London. Source: Glassdoor
4. Do data analysts earn different salaries depending on their industry?
The beauty of being a data analyst is that such roles can be found in almost any industry. Most businesses make decisions based on their data, and they’ll need a data analyst to be able to do this.
LinkedIn lists the mining industry as the top paying industry for data analysts, with roles commanding an average of $106,000 to $117,000 in the USA. Positions in the science and utilities sectors also pay higher-than-average salaries, will average pay rates ranging from $74,000 to $80,000. At the lower end of the salary spectrum, data analysts working in manufacturing and finance can expect to command wages between $55,000 and $65,000.
5. What do the top tech companies pay data analysts?
Data analyst roles at the world’s top tech companies are often sought due to the high salaries on offer. As Payscale notes, Apple and Facebook pay their data analysts much higher than average. As well as the glamour of being based in a beautiful, well-equipped office, working in tech can be an incredible if demanding learning experience. Employees get to experience fast change while gaining insights into technology that is shaping our world.
Given the huge amounts of data being gathered by tech companies on a daily basis, it’s no surprise that data analysts play a huge role in the tech industry. Payscale reports that data analysts working for Amazon can get paid up to $106,000 in the USA, with Facebook offering similar amounts, according to Indeed. In London, Glassdoor reports that data analyst salaries at Amazon pay up to £38,000. A data analyst working for Google in London can expect to be paid slightly higher, with salaries ranging between £42,000 and £52,000. For those working out of Google’s San Francisco office, salaries can be as much as $95,000.
6. What skills do I need to learn in order to increase earning potential and employability?
Data analysts typically have an aptitude for numbers and statistics. Those who completed mathematics or engineering related degrees at university are certainly equipped with the kind of tools required for data analyst roles. Skills such as data modeling, data mining, and segmentation are all put to good use in the world of data analytics. Experience organizing and analyzing large amounts of information are what employers are looking for, along with communication skills required to present the findings of such work. You’ll be expected to know programming languages including SQL, data visualisation software such as Tableau, and platforms including Sharepoint. Working knowledge of Python and R, popular programming languages with data analysts and data scientists, is going to increase your employability significantly.
7. How can I become a data analyst?
With an aptitude for analyzing data and a keen eye for numbers, anyone with the motivation can enter the world of data analytics. Having a background in mathematics isn’t necessary, and learning the relevant skills won’t require you to commit to years of education or training. By taking a course in data analytics, you’ll be able to gain real experience working with the tools and programs data analysts use every day. You’ll also learn how to interpret data, and the most common ways to present such data in meaningful ways. If you’re not ready to commit to a full course, try out this free introductory data analytics short course first.
If you’d like to learn more about forging a career as a data analyst, check out the following: