Business Analyst Salary: Trends & Predictions 2022

Business analysts are the driving force behind today’s data-driven decision-making and problem-solving enterprises. A business analyst’s primary responsibility is to bridge the gap between an organization’s IT and business divisions. They are crucial to an organization because they examine the processes and procedures to verify that it makes sound (and financially effective) decisions. Becoming a business analyst might be a great place to start if you want to understand the fundamentals of data analytics and make a career in data science.

This article will discuss the skills and job requirements of a business analyst, along with the job trends and average salary a business analyst can get in 2022. We will also share whether a business analyst certification is good enough to help you land a good-paying beginner job as a business analyst.

The demand for business analysts is not just high but continues to be so. These analysts can work in a variety of industries, including pharmaceutical, retail and financial services. They are responsible for identifying and proposing business solutions to problems that arise within their given industry. The typical salary for a business analyst ranges from $50,000 to $85,000 annually with the median salary sitting at around $65,000 annually. The higher average salary can be attributed to the expertise required to be considered an analytics expert. Business analysts typically have at least an undergraduate degree in business or marketing and experience in analyzing data sets across different industries.

What does a business analyst do?

Business Analysts work with top-level executives to understand how data-driven decisions can improve productivity and get better results. To add value, these improvements could be made to processes, products & services, software, and hardware. Finally, they put ideas into action that are both technologically and economically viable.

Responsibility areas of a business analyst

• Business Analysis Planning: identifying problems, opportunities, and solutions
• Budgeting and Forecasting
• Financial Modelling 
• Variance Analysis
• Risk Analysis
• Reporting

Business analyst job trends

Management analysts, financial analysts, market research analysts, operations research analysts, and other job categories fall under the broader umbrella of business analysis. The demand for these job categories has been exponentially increasing in recent years, and the high demand doesn’t seem to slow down in the foreseeable future. 

• Rapidly growing field

As businesses understand the crucial contribution of data analytics in driving sales and optimizing managerial, operational, and marketing efforts, several businesses, including telecommunications, insurance, advertising, financial services, healthcare, and technology, are investing heavily in business analysis and expanding their analytics teams. Industry leaders in big data analytics adoption (such as education, government, and industry, among others) have committed to boosting their data analytics departments in the future.

• Evolution of Big Data Analytics

The digital revolution is fueling an increase in demand for Business Analysts. Since the dawn of humanity, businesses have existed, retrieving vast amounts of data on how our companies work. That’s not to mention how businesses are evolving, focusing on items that are advertised or supplied through digital platforms. Business analysts are naturally in high demand with this massive dependence on data to determine the best course of action. 

• Multi-faceted job

The role of the business analyst is growing multifaceted. The demand for business analysts (BAs) has risen so dramatically that BAs are now employed in every area of an organization, from entry-level human resources teams to senior management. As a result, the role of a business analyst is evolving to keep up with the times.

Skill required to become a business analyst

A career as a business analyst is a good fit for both new and seasoned workers. Business Analyst Training is best suited for aspiring professionals with any educational background who have an analytical mindset and the following skills: 

• Technical skills

Any BA must have strong technical knowledge to keep up with current trends. Technical skills like data modeling and analysis, SQL queries, software testing, and other abilities are some much-needed skills for any BA. But don’t worry if you don’t know have these technical abilities currently; any good business analysis certification course will train you in these skills. 

• Analytical skills

Data is useless without a professional to make sense of it, derive a pattern, and gain insight to help leaders make effective decisions. Analytical skills are crucial if you want to make a successful career in data analysis.

• Hard skills

Hard Skills are job-specific abilities that emphasize practical understanding of the subject. These include knowledge of the sector, complex statistical modeling, web development, etc.

• Soft skills

Communication. Creative thinking and decision-making are some of the most important soft skills that a professional aspiring to be a business analyst must possess. These are not job-specific skills but are crucial to the success of any individual working in an organization.

• Problem-solving skills

The objective of collecting, analyzing, and interpreting data is to understand a problem better and find unique insights to help find an effective solution. As a result, problem-solving is a crucial skill for business analysts. This skill can be honed with time, but the individual should be keen to learn, determined, and persistent in finding a solution. 

You don’t need to have all the above skills to get into business analysis. These skills can be easily learned on the job. The only mandatory requirement to be a business analyst is the drive to grow, learn, and explore constantly.  

Average salary of a business analyst

A business analyst makes around $40,000 to $70,000 in the United States. A Business Analyst’s income is determined by firm size, reputation, job position, location, educational qualifications, and experience. Candidates from prestigious institutes/business schools earn more than their peers. TCS, Amazon, Accenture, Deloitte, and other reputable organizations typically pay greater salaries. Simplilearn’s Business analyst certification course is curated with Harvard Business Publishing Education and collaborates with IBM, which helps students grab higher salary packages. 

In conclusion

Business analyst salary varies depending on the country they work in, their education, their level of experience, and the company they work for. If you want to ace your career as a business analyst, getting a certification is a good way to start. You can explore the certification course provided by Simplilearn’s online certification platform.