Many accountants, financial analysts, and business people often handle loads of data on a daily basis. So, how can we convert these dry numerical figures into a compelling story for the non-financial professional? The solution for the accountant lies within data storytelling. Today, we embarked upon an adventure in the world of data storytelling. Why is it essential that accountants like you master this discipline?

The Art of Data Storytelling

Picture this: you are not just crunching numbers but crafting a tale. Data storytelling is a creative way of reinvigorating dry statistics and creating excellent narratives that appeal to every audience. In other words, it is painting a picture that catches people’s interest and makes them understand. Data storytelling is more than presenting numbers; it makes a story breathe with data. Data storytelling is actually the skill of weaving insights, trends, and analyses into a fascinating story that can grab and teach. In most ways, data storytelling involves humanising numbers, making them relatable and understandable to everybody. Through its telling, we leap from spreadsheets and unlock the potential of our financial insights.

Why is Data Storytelling Essential?

Engagement: Rather than presenting a confusing spreadsheet of numbers, you can tell your client a narrative that unfolds before their eyes, drawing them in with every word. By weaving a narrative around your data, you invite your audience on a journey. Suddenly, those daunting numbers become characters in a story, capturing attention and fostering engagement. Whether one conveys this to customers, peers, or other stakeholders, good storytelling makes an outstanding difference, transforming passers-by into active players in the financial narrative.

Clarity: Haven’t you felt lost in an ocean of financial jargon at some point in your life? Economic data, dense with complex terms and formulas, can be a substantial barrier. But with stories, you can break down these barriers and empower your audience. Always try to keep things simple to clarify your concepts and make your audience capable and interested in the discussion.

Persuasion: Numbers can convince, but stories? They influence people’s hearts and minds. By telling stories, you relate emotionally to the audience, creating a deep bond. That emotional attachment makes your audience more connected and interested in the story. Your audience becomes more engaged when they feel part of the story.

Retention: Want to make your message sticky? Then, tell a story. A story is always remembered more vividly than data. Using storytelling in your presentation helps insights stay in the memory of your listener and provokes a response that isn’t possible with data alone.

Human Connection: Every financial figure has a life of practicality behind it. Whether discussing cost-cutting opportunities or investment possibilities, framing the data within relatable scenarios creates a human connection between you and your client. Your client will appreciate the relevance and practical implications.

Data Stories vs Data Visualisation

Data stories and visualisation are potent tools for conveying information, but they have different purposes and distinct characteristics.

Data visualisation is also capable of condensing complex information into easily digestible formats. They give insights through charts, graphs, maps, and infographics, enabling viewers to quickly understand trends, patterns, and relationships in data. Visualisation facilitates the effective extraction of actionable insights by providing an efficient means of data-driven decision-making through enhanced comprehension. Additionally, visualisation presents data objectively without influencing it by bias or interpretation, providing a neutral platform for displaying information. It helps make data communication simple and accessible to people.

Make Sure Your Data Story is Valuable

Address a Real Need or Problem: Start by empathetically identifying a genuine need or problem that your audience is facing. Your data story should offer insights or solutions on financial data to different audiences, addressing this need or situation directly. Before crafting your story, consider conducting research or surveys to deeply understand your audience’s challenges and interests. This approach ensures the relevance of your data story and makes your audience feel understood and valued, as their needs are at the heart of your storytelling process.

Focus on Relevant Insights: Select data and insights relevant to the topics your audience is interested in, needs to know, or has concerns about, filtering them according to real-time data, data about their goals, or data that presents essential trends and patterns—presenting to a sales team. Filter your data to show your target audience’s most recent sales figures or most popular products. Do not overwhelm them with irrelevant or excessive information. Instead, highlight insights that have actionable value or substantial trends and patterns. Consider visualisations like charts, graphs, or infographics to make your data come alive. These can make complex data more accessible to comprehend in your audience’s minds and make your data story more influential.

Consider the Long-Term Impact: Think of long-term effects on the audience’s psyche when creating your data story: Does your data story bring about better decision-making for your client? Will it open up the understanding of a knotty issue? Will it inspire change positively? A long time might elapse for a data story to entirely mean and be relevant, which means that your data story might lead to a change in the business strategy of a client, or your audience might continue to talk about your data story with insight for months or even years after you have presented it. It is important to ensure that you have prepared a data story that creates a long-lasting impact on your audience’s understanding of something and their decision-making behaviours.

In conclusion, data storytelling is more than another tool added to an accountant’s toolkit; it is that magic ingredient that makes our profession go from number-crunching to a narrative craft. As we go through this journey, we dig into the heart of data storytelling in terms of its ability to engage, enlighten, and empower our SME clients.

We break out of the limits of spreadsheets, connect much more richly with clients, and weave compelling stories about financial data in a way that demystifies complexity, fosters understanding, and inspires action – leading our clients toward appropriate decisions and sustainable growth. By embracing the magic of data storytelling, new opportunities are unlocked to enhance client relationships, drive meaningful change, and shape the future of their businesses. So, let us continue to harness the power of storytelling, transforming financial data into stories. Contact our team at info@mypulse.io to book your Pulse demo today!