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Analytics Platform Buyer's Guide: Make the Smart Choice

Embedded Analytics
Jan 31, 2025
Analytics Platform Buyer's Guide: Make the Smart Choice

Your team has the data, but every meeting feels like guesswork. The BI manager wrestles with outdated tools. The product owner waits for reports that arrive too late. Engineers spend more time fixing integrations than solving real problems.

Sounds way too familiar?

The pain isn’t a lack of data. It’s the gap between what you have and what you need.

Choosing the right analytics platform means giving your team the tools they need to turn data into decisions. In this guide, we’ll walk you through how to find a platform that fits your business and helps you make the most of your insights.

Types of analytics platforms and their use cases

Finding the right data analytics platform means identifying a solution that goes hand in hand with your organization's needs – whether that’s basic reporting or advanced, AI-powered insights. Each type of platform offers unique capabilities for data scientists, business users, and data teams to manage, analyze, and gain meaningful insights from their data.

Traditional BI platforms

These platforms focus on static data visualization and descriptive analytics, helping organizations track performance over time. They’re suitable for businesses prioritizing historical reporting over real-time decision-making. While they may lack interactive insights, traditional platforms offer robust data management and governance features for on-premises setups.

Use case: A manufacturing company uses a traditional BI platform to generate monthly production summaries, identify market trends, and manage operational KPIs efficiently.

Modern AI-enhanced platforms

Modern platforms, like Luzmo, leverage AI-powered analytics and machine learning to offer data-driven decisions and predictive capabilities. These platforms transform data into valuable insights through advanced analytics, helping businesses stay competitive. Using data storytelling tools and immersive experiences, they enable businesses to grow faster.

Luzmo integration possibilities

Use case: A retail chain uses Luzmo to visualize data trends, predict customer behavior, and optimize inventory through real-time insights. 

Industry-specific solutions

Some platforms are designed for specific industries like banking, telecom, and HR, providing tailored features and components. These platforms focus on data integration from various sources, enabling business intelligence for industry-specific challenges.

Use case examples:

  • Banking: Detecting fraud and managing risk using big data from databases and cloud apps.
  • Telecom: Analyzing customer usage patterns to optimize the customer journey and reduce churn.
  • HR: Enhancing workforce planning with advanced analytics and identifying retention trends.

Evaluating your needs, whether it's data-driven insights, scalable solutions, or improved operational efficiency, you can choose a platform that delivers the interactive insights and tools your organization needs.

Embedded analytics platforms

Embedded analytics platforms slip seamlessly into apps and web tools, turning raw data into customer-ready insights. Perfect for software builders and product teams who want to add dashboards that do more than just sit there – they engage, inform, and impress.

Embedded platforms make your product the hero, weaving insights into the experience without breaking a sweat on scale or security.

Use case: A SaaS company integrates Luzmo’s embedded analytics into its platform to provide users with interactive dashboards that visualize their marketing campaign performance and customer engagement data.

Key considerations when selecting an analytics platform

Scalability

You might not need it just yet – but soon enough, you might.

Scalability is more than just handling increasing data volumes; it’s about adapting seamlessly to changing business needs. As your organization grows, so will your datasets, user base, and analytical demands. A scalable data analytics platform ensures smooth performance whether you're dealing with big data or smaller, focused datasets.

Look for platforms that optimize resource allocation, enabling real-time analysis without bottlenecks. Whether scaling to support additional users or integrating new data sources, the platform should maintain speed and operational efficiency. This agility not only keeps workflows uninterrupted but also ensures your organization stays competitive in evolving markets.

Usability

The most advanced analytics platform is ineffective if teams struggle to use it. Usability bridges the gap between technical users like data scientists and non-technical stakeholders, such as business users. The platform should feature intuitive visualizations and interactive tools that enable quick comprehension of complex insights.

Luzmo Usage Analytics

When usability is prioritized, data storytelling becomes a collaborative effort, empowering cross-functional teams to leverage data for informed decisions. Features like drag-and-drop dashboards, natural language queries, and automated insights eliminate barriers, fostering productivity without requiring extensive training.

Vendor assessment

Choosing the right vendor goes beyond comparing feature lists – it’s about aligning with a partner who understands your business needs and provides consistent support. Start by researching the vendor’s track record in delivering data analytics platforms to companies in your industry or of similar scale. Customer reviews and case studies can offer insight into real-world performance, reliability, and scalability.

Examine the vendor’s commitment to data integration and data management, ensuring their platform can handle various sources and deliver meaningful insights. Look for additional resources like training programs, comprehensive documentation, and responsive customer support. These elements are crucial for a smooth onboarding experience and long-term success.

Engage with the vendor’s team directly during the evaluation phase. Assess their willingness to adapt solutions to your unique challenges and how effectively they address concerns about data governance, compliance, and scalability. A vendor that proactively demonstrates value and fosters collaboration is more likely to become a trusted partner rather than just a tool provider.

Buy-in from stakeholders

Securing buy-in from leadership and teams isn’t just about announcing a new platform; it’s about creating shared excitement and confidence in the decision. 

Begin by clearly communicating how the platform aligns with organizational goals, whether it’s improving operational efficiency, enhancing business intelligence, or driving data-driven decisions. Tailor your messaging for different audiences – C-suite stakeholders may prioritize ROI and business growth, while technical teams might focus on usability and advanced analytics capabilities.

Address potential concerns upfront. Teams might worry about steep learning curves, disruption to workflows, or lack of alignment with existing tools. Highlight how the platform simplifies data storytelling, supports data scientists and business users, and enhances collaboration through intuitive interfaces and interactive insights.

There’s one more thing you should do here – involve stakeholders in the decision-making process early. Gather input during trials, usability testing, or vendor demos to ensure the platform meets their needs. 

Provide access to additional resources, like training materials and pilot programs, to build confidence and familiarity. When stakeholders feel heard and engaged, they are more likely to advocate for the platform’s adoption and encourage team-wide support.

Data integration

An effective platform doesn’t operate in isolation—it integrates seamlessly with your existing tech stack. Data integration is critical for creating a unified, actionable view of your operations. Whether pulling data from on-premises databases, hybrid cloud environments, or CRMs, the platform should harmonize data from diverse systems.

Choose a solution that automates data collection, preparation, and cleansing, enabling data teams to focus on higher-value analysis. Robust data management capabilities ensure clean, consolidated datasets, which are crucial for driving valuable insights and reliable predictions.

AI capabilities

Modern analytics platforms thrive on AI-powered features. Solutions like machine learning, predictive analytics, and natural language queries don’t just process data—they turn it into insights that drive smarter, faster decisions.

Luzmo IQ capabilities

Luzmo IQ, for example, takes AI capabilities to the next level. It enables teams to spot trends, visualize data with clarity, and make proactive calls using real-time and historical data. Simplifying complex analysis, it empowers businesses to stay ahead without the guesswork.

Security and compliance

Ensuring robust data governance is not just about protecting sensitive information – but about maintaining trust with customers, stakeholders, and regulators. An ideal platform will adhere to industry standards like GDPR, SOC2, and HIPAA, ensuring data remains secure and compliant with legal frameworks.

Key features to look for include role-based access control, encryption, and audit trails to monitor data usage. Business intelligence solutions that prioritize security help mitigate risks, reduce exposure to breaches, and build confidence across the organization.

Cost vs. ROI

The financial investment in a platform should be weighed against its tangible impact. Beyond upfront costs, consider the time savings, productivity gains, and improved decision-making the platform delivers. A well-chosen data analytics platform optimizes workflows, reduces reliance on manual data preparation, and enables business growth through smarter strategies.

Focus on platforms that offer transparent pricing structures and measurable outcomes. Tools that enable rapid scaling, robust data visualization, and streamlined integration deliver value far exceeding their initial cost, ensuring a solid return on investment over time.

And, speaking of ROI...

ROI Calculator: What’s the real value of your platform?

You can calculate the Return on Investment (ROI) of an analytics platform using the following steps:

  1. Annual Productivity Savings
    How much time have you saved (or do you hope to save) by using an analytics platform? For example, how much time did your engineers spend on developing charts and deploying them inside your web application, versus now?

Once you’ve identified time savings, identify how much those resources cost you. For example, what’s the hourly rate or salary of said developer?

 Multiply the hours saved per month by the hourly rate, then multiply by 12 (months in a year):
Annual Productivity Savings = Hours Saved Per Month × Hourly Rate × 12

  1. Annual Revenue Increase
    Let’s say you’re using an analytics platform to make insights available to your customers. How much are these customers paying to access these insights (or would they be willing to pay)? 

Multiply the monthly revenue increase by 12:
Annual Revenue Increase = Monthly Revenue Increase × 12

  1. Annual Cost Savings
    Are there any additional cost savings from automation or streamlined processes? For example, are there any tools or services you no longer need to pay for thanks to using a new analytics platform? Add those cost savings here.
    Annual Cost Savings = Additional Savings
  2. Total ROI
    Add all the above components together:
    ROI = Annual Productivity Savings + Annual Revenue Increase + Annual Cost Savings

Example calculation

Let’s assume the following values:

  • Hours saved per month = 20
  • Hourly rate = $50
  • Monthly revenue increase = $10,000
  • Annual cost savings = $5,000

Now, calculate each part:

  1. Annual Productivity Savings = 20 × 50 × 12 = $12,000
  2. Annual Revenue Increase = 10,000 × 12 = $120,000
  3. Annual Cost Savings = $5,000

Total ROI = 12,000 + 120,000 + 5,000 = $137,000

Thinking of building analytics for your software platform, but afraid of the costs? Simulate your potential ROI in our calculator below!

Feature prioritization: What matters most to your team?

When choosing an analytics platform, endless features make it easy to get overwhelmed. The key is aligning platform capabilities with your team’s needs and priorities. A structured approach helps you focus on what truly matters for your business goals while avoiding shiny features that may not add value.

Feature Prioritization Scorecard

Use the following framework to categorize features based on their importance to your team. This will help you evaluate platforms effectively:

Essential

Definition: Features your team absolutely requires to meet goals and improve workflows.

Examples:

  • Predictive analytics for actionable insights.
  • Seamless integration with existing tools like CRMs or data warehouses.
  • Robust security and compliance (e.g., GDPR, SOC2).
  • Interactive and user-friendly data visualization tools.

Nice-to-Have

Definition: Features that enhance functionality but aren’t mission-critical.

Examples:

  • White-labeling for custom branding.
  • Advanced collaboration tools.
  • AI-powered natural language queries for easier user interaction.

Not Important

Definition: Features that don’t directly align with your business needs.

Examples:

  • Overly specific integrations your organization won’t use.
  • Features tailored for industries outside your domain.

Example scenario

Imagine your team includes a BI manager, a product owner, and a group of engineers:

  • Essential: Predictive analytics is a must to gain insights into customer behavior and optimize workflows.
  • Nice-to-Have: White-labeling may improve the user experience but isn’t vital for internal analytics.
  • Not Important: Niche features designed for supply chain analytics may not be relevant for a software company.

How to use this scorecard

  1. Gather input –> Involve stakeholders from all relevant teams (e.g., BI, engineering, product) to understand their priorities.
  2. Categorize features –> Assign features to one of the three categories: Essential, Nice-to-Have, or Not Important.
  3. Align priorities –> Use the scorecard to ensure your team is aligned when evaluating platforms.
Get your ultimate scorecard for free here.

Why businesses choose Luzmo for their analytics needs

Luzmo analytics

When it comes to analytics platforms, Luzmo stands out by solving real-world business challenges. Let’s break down why companies make the switch, based on the reasons that keep them hooked:

  1. Usability for business users (UI)
    Data doesn’t have to feel intimidating. Luzmo’s user-friendly interface makes analytics accessible to everyone, from data rookies to business leaders. It’s designed so you can find insights without endless tutorials—or an IT translator.
  2. Strong support from champion
    Luzmo’s support team doesn’t just answer questions—they’re your co-pilot on the analytics journey. With proactive communication and tailored guidance, they ensure you get the most out of the platform and keep moving forward with confidence.
  3. Embed the right insights in the right place
    Insights lose their impact if they don’t reach the right people. Luzmo is highly embeddable, which makes it easy to deliver actionable data directly to the right decision-makers, ensuring your key players always have the clarity to act fast. Reach the right people, in the right place, at the right time.
  4. Visually appealing UI & data visualizations
    Data visualization shouldn’t just be functional—it should turn heads. Luzmo’s stunning dashboards and dynamic charts bring your data to life, making presentations more engaging and decisions easier to justify.
  5. Speedy deployment
    Nobody has the patience for endless onboarding anymore. Luzmo’s quick deployment process means you can go from sign-up to actionable insights in record time, so your analytics start delivering value right away.
  6. Embedded dashboard editor
    Customization shouldn’t be complicated. Luzmo’s embedded dashboard editor lets you tailor analytics to fit your business needs seamlessly. Build, tweak, and embed dashboards like a pro without breaking a sweat.
  7. Solution impact on customer business
    Luzmo doesn’t stop at offering tools—it delivers solutions that create measurable impact. Whether it’s boosting efficiency or uncovering opportunities, Luzmo helps businesses translate data into results.
  8. Flexibility and APIs
    Luzmo integrates like it was made just for you. Its robust API support and flexibility ensure it adapts to your existing workflows, no matter how complex or unique they might be.
  9. Flexible plug-and-play toolkit / limiting burden developers
    Developers love Luzmo for its simplicity. With plug-and-play options, it reduces the heavy lifting of integrating business intelligence with other capabilities of your app. It frees your tech team to focus on innovation, not fixing compatibility issues.
  10. User rights management / auth system
    Secure data access is a must, and Luzmo nails it. Its robust user rights management ensures the right people see the right data, while keeping your sensitive information locked down.
  11. Whitelabeling
    Branding matters—even in analytics. Luzmo’s white-labeling options allow you to deliver dashboards that look and feel like they were built in-house, creating a consistent brand experience.
  12. Connectivity (FE libraries, data sources)
    Luzmo connects with everything that matters. From front-end libraries to obscure data sources, its integrations ensure no piece of your data puzzle gets left out, making it a dream for businesses with diverse data needs.

Businesses don’t just choose Luzmo for what it offers – they choose it for what it changes. From transforming how teams access insights to accelerating decision-making, Luzmo proves that analytics isn’t just about data; it’s about driving action.

Conclusion

The right analytics platform does more than handle data. It helps your team solve real problems, find clarity, and make decisions that drive results. It’s about creating tools that work for you, not against you, and turning insights into action without the extra noise.

With Luzmo, you get the power to transform your analytics into something your whole team can rely on.

Ready to take the next step? Explore Luzmo and see how it fits your goals.

Kinga Edwards

Kinga Edwards

Kinga Edwards

Breathing SEO & content, with 12 years of experience working with SaaS/IT companies all over the world. She thinks insights are everywhere!

Good decisions start with actionable insights.

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