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Types of Data: Demystifying Numbers, Categories & Time

Intro: “Not All Data Is Created Equal”

Does the word “Data” have you feeling a certain kind of way? If yes, then this should help!

Many small business owners hear the word “data” and imagine messy spreadsheets or complicated software. They see a spreadsheet and think, “No way I’m doing this!” The good news is, there’s no reason to fret. Understanding what kind of data you're working with is the first step to making it useful, and hopefully exciting.

In this post, we’ll break down the data types into simple, clear buckets, using examples from real small businesses.

1. Structured vs. Unstructured Data

Structured Data – This is clean, organized, and usually lives in tables, think Excel sheets or databases.

Example:
Order IDCustomer NameDateAmount
001Lola Hansen05/01/25$120

For your business, it could be sales records, inventory lists, or customer details.

Unstructured Data – This is messier and doesn’t fit neatly into rows and columns. It could include customer feedback, social media posts, images, and videos.

2. Numerical vs. Categorical Data

Numerical Data – This is data you can count or measure. Great for totals, trends, and averages like total sales or stock inventory.

Categorical Data – This describes labels or groups, like food categories (Drinks, Dessert), customer type (New, Returning), or payment method.

3. Time-Based (Temporal) Data

Temporal data shows how things change over time. Examples include booking dates, purchase times, or monthly performance. This is often overlooked but holds major insight for business patterns.

Wrap-Up: Know Your Data to Use Your Data

Mini Case Study: Tolu’s Home Bakery

Tolu runs a growing home-based bakery in Cedar Rapids. She uses Instagram to post her cakes, takes orders via WhatsApp, and records her monthly income in a notebook.

She wants to know:

Data Type Example Why It Matters
Structured Data Weekly order list in Google Sheets Tracks repeat customers and sales totals
Unstructured Data WhatsApp messages with preferences Categorized cake flavors to spot popularity
Numerical Data Monthly income, average order quantity Highlights peak sales months
Categorical Data Order type: birthday, wedding, casual Wedding cakes = highest margin
Time-Based Data Date of each order Fridays and Sundays = busiest

Result: Tolu launched a “Friday Cake Rush” discount and saw a 17% revenue increase in 4 weeks.

Your Takeaway: Every small business already has data. Knowing how to classify and read it makes all the difference.

Need help understanding your data? Let’s talk!

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