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Aggregation

Raw data is usually rows of individual events: one order, one click, one transaction. Business questions, on the other hand, are usually about summaries.

  • "What's our total revenue by region?"
  • "How many orders did each customer place?"
  • "What's the average order value by product category?"

You don't answer these by reading individual rows, but rather by aggregating: grouping rows together and calculating summary statistics. Common aggregations include:

  • Sums
  • Medians
  • Counts
  • Averages
  • Minimums and maximums
  • etc

Aggregations take you from 10,000 "raw" order rows to 50 category-level summaries.