Having access to and control of your data is essential to any business. Data gives you the power to understand what’s happening behind the scenes on the internet. What products are most popular? How are your marketing strategies influencing sales? Now more than ever, business storefronts exist online. Every time someone visits your site, they provide you with data you can use to improve your sales.

Everything your business does, from inventory to payroll to marketing, provides valuable information. It’s essential for any company to have a model for storing, extracting, and analyzing the data collected. In the past, this meant using slow and costly legacy data warehouses. Your business would need an on-site server hub and a dedicated IT team with knowledge of SQL to extract your data manually. The modern data stack, or MDS, has revolutionized data storage by using cloud-based storage, making your data easier to extract, store, and analyze.

What is a Modern Data Stack?

The term “stack” refers to the various apps software engineers use in tandem to build projects and services. A modern data stack is a cloud-based system designed to store and analyze data simply and provide a user-friendly experience. Low cost and low code tools allow employees with little to no technical knowledge to take advantage of data. Four components are stacked on top of each other and work together to source, extract, store, and analyze data to comprise the MDS.

How Does the MDS Source and Extract Data?

How easily you integrate the SAAS platforms you already use makes the modern data stack more user-friendly than its legacy data counterparts. Companies today use various tools like HootSuite, Salesforce, Shopify, and many others, which are constantly collecting data. Since most apps in 2022 are already collecting data, you can simply connect them to your data stack and let it do all the work. You no longer need an extensive IT team to write lengthy SQL code to move your data from one place to another. An MDS will work in tandem with these apps to collect all that data into one place where you can access and analyze it.

How Does the MDS Store Data?

The cloud removes the need for on-site servers, which must run 24/7 to keep your data stored and secure. Once you’ve extracted the data from its source, the MDS will store it in a data lake. These systems are integrated to house and service large amounts of data at a lower cost to you. Unlike legacy data storage, the cloud allows you to query and pull data without code integrations. Having your data stored in one easy-to-access place keeps your data secure. Any leaks can quickly be spotted and addressed. The organization the MDS provides makes it easy to stay government compliant. Some most common cloud-based tools your MDS may use are Snowflake, Databricks, and Delta Lake.

How is the Data Analyzed and Transformed?

This stage does require a basic understanding of SQL, or structured query language, to craft the modeling process for your data. However, an MDS and a data lake will automate the system in which your data is analyzed and transformed into usable data. Some companies can offer support on how to write the SQL so that your data is modeled correctly from the start. Using an MDS over a legacy data storage system eliminates the need for employees to use complicated code-based language to make sense of the data you have collected.

Is the Data Easy to Access?

Once you’ve set how you want your data to be analyzed, the MDS will automatically categorize your data and create a visual format with which you can easily query and present your data. This is made possible by implementing reverse ETL, which operationalizes the collected data into a BI, or business integration, tool. The modern data stack provides a singular source of truth that you can make available to all members of your team. Now, everyone has access to the same essential information. An MDS also lets you schedule your data extraction in advance. You can plan for upcoming meetings by creating charts and visuals from your data to support your claims, make changes to your marketing strategies, and increase your ROI.

Getting Started with an MDS

Having access to your data is essential to staying competitive in 2022. Even if you are not technically savvy, some companies can support you get started with an MDS system. Companies like Mozart Data, Fivetran, and Hightouch can help your company find cloud-based storage solutions so you can make the most of your data. Don’t waste precious time querying server-based systems. Implement an MDS to make data available to all your employees, no matter their technical skill levels.