From Datapoints to Data Stories

data
communication
Author

Frank Muraca

There is a very natural workflow that most analysts follow when asked to complete a new piece of analysis. It often goes something like:

  1. Collect and clean data
  2. Conduct exploratory analysis
  3. Gather additional data if needed
  4. Perform more analysis to answer lingering questions
  5. Communicate findings to the target audience (usually in a presentation or report)

When communicating findings, analysts usually highlight key data points and pair them with a gallery of charts created during the analytical process. One example might look like this:

If the question is: “What was the change in units by rent between 2012 and 2022?” Mission accomplished! You pulled some data, visualized it, and captured the key points.

However, chances are you’ll be asked to use your technical skills to tackle bigger, more ambiguous analytical challenges like “highlight the key trends in the City’s housing market.” After a few hours, you might have a collection of 20 or 30 slides, clearly describing the data in charts and tables. Unfortunately, the final product might not be much more than a stack of different charts and data points that fall short of clearly conveying your story to stakeholders.

The Power of Complete Sentences

It’s hard to tell compelling stories with PowerPoint. When was the last time you sat down and read through a slide deck with rapt attention, rather than skimming through it? Bullet points tend to strip away the parts of sentences that give life to an idea, such as characters, verbs, and consequences.

Instead, I find writing out the narrative is much more effective. Writing a summary in complete sentences forces me to use these storytelling building blocks.

Version 1: “While the city’s rental housing supply grew by 20% from 2012 to 2022, the availability of low-cost options declined. During this period, the number of units renting for less than $700 a month dropped by over 60%.”

Here, I get to introduce some contrast: Even as the supply of housing increases, the number of low-cost units is declining.

Characters in Housing Market Stories

There are two broad categories of characters in a story about housing markets: People (demand) and Housing Units (supply). The most descriptive sentences will show how one interacts with the other using active verbs.

Housing Market Words

I find it helpful to literally write out all the things my characters could do in a housing market and who they could be.

People: rent, buy, repair, search for, invest in, abandon, care for, renovate, live in, need housing

Possible Type of People: families, older adults, students, military members, retirees, young professionals, and more.

Ways to Describe Housing: cost, vacancy, quality, amenities, location, ownership, building type, and other traits that add color to your story.

Telling effective data stories is all about mixing these words with clear evidence. Let’s try again with our original chart.

Version 2: “Despite the construction of new units, low-income renters have fewer affordable housing options than 10 years ago. Between 2012 and 2022, the number of low-cost units with rents below $700 a month declined by 60%. In contrast, the number of units affordable to moderate-income renters nearly doubled.”

Finally, let’s synthesize these data points with other information we’ve collected during our analysis.

Version 3: “Families with children make up over 80% of the city’s low-wage renters. Despite the construction of new units, these families have fewer affordable housing options than they did a decade ago. Between 2012 and 2022, the number of low-cost units with rents below $700 per month fell by 60%. The city’s new housing supply is too expensive for low-income families and more tailored to the needs of working professionals. Two-thirds of the new apartments are one-bedroom units situated near employment centers like downtown or transit corridors, rather than near family-friendly amenities such as schools and playgrounds.”

Now we have a much richer description of: a) Who low-income renters are, b) An image of the new units being built in the city, and c) Contrast that highlights why the newest housing options on the market aren’t meeting the needs of low-income families.