What is data, and why is it so important?

Data can be considered the collection of information present in various formats, such as
audio, text, images, videos, or other multimedia formats. This data can be generated
from many sources. However, social media and online transactions are some of the
biggest producers of data daily. According to the current study, Amazon produces
approximately 2.5 quintillion bytes of data per day.
Hence, it is important to use data effectively and derive important information from it. In this
article, we will learn about the four major types of Data commonly used.

What is Data?
Data is a collection of information which is collected from various sources. The raw and
unstructured data are then processed to produce useful information and insights. Data
can be present in various formats, such as multimedia, bits, bytes, texts, etc. It can also
be present on paper, from which we need to extract it to generate useful information.
Nowadays, most big companies heavily rely on data. There is a big flow of data on a daily basis.
In the computer world, data is present in binary form, such as 0 and 1. All types of data in the
real world are first converted into machine language, which is then processed by computers.

What Are The 4 Types Of Data

There are two major classifications of data. Check them out in detail below.

1. Qualitative Data
Qualitative data is used to represent no numerical information. This data type is used to represent
the qualities and characteristics of the given information, such as colour, gender, symbols, text,
taste, etc. It cannot be presented in numerical form. These data are obtained from interviews,
meetings, surveys, etc. They are also known as Categorical data. There are two main types of
qualitative data: Nominal data and Ordinal data. Let us learn about them in detail.
Let us understand qualitative data with some examples given below.
 What is the colour of your shirt?
 Will you go to school today?
 Are you happy?
These data are recorded in non-numerical form. Hence, they are known as qualitative data.
A. Nominal Data
Nominal data is a type of qualitative data that is used to represent data into labels based on
different categories. They do not have any specific order or numerical significance. Let us
understand it better with a few real-world examples.
 Colours (red, blue, green, orange, etc)
 Fruits (Apples, Bananas, Grapes, strawberries)
 Gender (Male, Female, other)
 Marital Status (Single, married)
 Blood type (A, AB, O, B)
  Days of the week (Monday, Tuesday, Wednesday, Thursday, Friday, Saturday, Sunday)

B. Ordinal Data
This is also a type of qualitative data where only non-numerical data is considered. It is almost
similar to nominal data. However, there is just one major difference, ordinal data are arranged in
a meaningful order, unlike nominal data, which does not follow any specific order.
Let us understand ordinal data with some examples.
 Reviews (excellent, good, fair, poor)
 Educational Qualification (high school, undergraduate, postgraduate)
 Grades in exam (A, B, C, D)
 Economic background (below poverty, middle class, rich)

2. Quantitative Data
Quantitative data is a type of data that represents numerical information that we can count and
measure. They are also known as Numerical data. It generally gives answers to “how many”,
“how much”, etc. This data can be represented in graphical and chart forms such as bar graphs,
histograms, pie charts, etc. Let us understand quantitative data with some examples.
 Marks in a test  Weight
 Temperature  Sales figure
These are some common examples of numerical data. It will always represent information in
numerical form. There are two major types of quantitative data: Discrete and continuous. Let us
know about them in detail.

A. Discrete Data
Discrete data is used to represent distinct or separate numerical values. They are discrete because
they can be presented in the form of whole numbers or integers, which cannot be divided into
smaller parts.
However, the discrete data can be counted and is not infinite. They can be easily represented by
various graphs and charts, such as bar graphs, number lines, etc. Let us understand with a few
examples given below.
 Total number of students in college  Number of members in a family
 Number of cars in parking area  Number of wheels in a car

B. Continuous Data
Continuous data is a data type that deals with an infinite range of numerical data. They are
generally defined within a specific range, with any value within that range. It can be easily
divided into smaller fractional or decimal values. They are generally used in fractional form,
unlike discrete, which uses only whole numbers or integers.
The main difference between continuous data and discrete data is that discrete data cannot be
presented in decimal or fractional form, while continuous data can be presented in fractional
form. Let us understand it with some common examples.

 Height of a person  Distance in meter or kilometers

 Temperature in celsius or fahrenheit  Share price of market
 Weight in pounds or kilograms