Fact Table

A Fact Table is a key concept in business intelligence and data analytics, particularly within the structure of a data warehouse. It’s like the main ledger in a giant accounting book, recording the measurements or metrics that are essential for analysis. Essentially, a fact table stores quantitative information for analysis and is often connected to dimensional data in a star or snowflake schema of a relational database.

In simpler terms, imagine you run a store. Your fact table would be the place where you keep records of all sales transactions, including how many items were sold, at what price, and when. This table would usually have foreign keys that connect to other tables representing the “who,” “what,” “where,” “when,” and “why” of these transactions, like a customer ID or a store location.

Fact tables are massive and contain lots of numbers, and they’re vital because they’re the source of the data that companies analyze to find trends, make predictions, and decisions. Without a well-designed fact table, trying to gain insights from your data can be like trying to find a needle in a haystack. They are central in a data warehouse and are used in conjunction with dimension tables to produce meaningful reports and help businesses understand their operations and performance.