Why Exploratory Data Analysis is Important
Why Exploratory Data Analysis is Important
Exploratory Data Analysis (EDA) is important for several reasons, especially in the context
of data science and statistical modeling. Here are some of the key reasons why EDA is a
critical step in the data analysis process:
Helps to understand the dataset, showing how many features there are, the type of
data in each feature, and how the data is spread out, which helps in choosing the right
methods for analysis.
EDA helps to identify hidden patterns and relationships between different data points,
which help us in and model building.
Allows to spot errors or unusual data points (outliers) that could affect your results.
Insights that you obtain from EDA help you decide which features are most important
for building models and how to prepare them to improve performance.
By understanding the data, EDA helps us in choosing the best modeling techniques
and adjusting them for better results.
1. Univariate Analysis
Univariate analysis focuses on studying one variable to understand its characteristics. It helps
describe the data and find patterns within a single feature. Common methods include
histograms to show data distribution, box plots to detect outliers and understand data spread,
and bar charts for categorical data. Summary statistics like mean, median, mode,
variance, and standard deviation help describe the central tendency and spread of the data
2. Bivariate Analysis
Bivariate analysis focuses on exploring the relationship between two variables to find
connections, correlations, and dependencies. It’s an important part of exploratory data
analysis that helps understand how two variables interact. Some key techniques used in
bivariate analysis include scatter plots, which visualize the relationship between two
continuous variables; correlation coefficient, which measures how strongly two variables
are related, commonly using Pearson’s correlation for linear relationships; and cross-
tabulation, or contingency tables, which show the frequency distribution of two categorical
variables and help understand their relationship.
Line graphs are useful for comparing two variables over time, especially in time series data,
to identify trends or patterns. Covariance measures how two variables change together,
though it’s often supplemented by the correlation coefficient for a clearer, more standardized
view of the relationship.
3. Multivariate Analysis
Multivariate analysis examines the relationships between two or more variables in the
dataset. It aims to understand how variables interact with one another, which is crucial for
most statistical modeling techniques. It include Techniques like pair plots, which show the
relationships between multiple variables at once, helping to see how they interact. Another
technique is Principal Component Analysis (PCA), which reduces the complexity of large
datasets by simplifying them, while keeping the most important information.
In addition to univariate and multivariate analysis, there are specialized EDA techniques
tailored for specific types of data or analysis needs:
Spatial Analysis: For geographical data, using maps and spatial plotting to
understand the geographical distribution of variables.
Text Analysis: Involves techniques like word clouds, frequency distributions, and
sentiment analysis to explore text data.
Time Series Analysis: This type of analysis is mainly applied to statistics sets that
have a temporal component. Time collection evaluation entails inspecting and
modeling styles, traits, and seasonality inside the statistics through the years.
Techniques like line plots, autocorrelation analysis, transferring averages, and
ARIMA (AutoRegressive Integrated Moving Average) fashions are generally utilized
in time series analysis.