How to Choose a Data Warehouse

It’s no easy feat for organizations to choose the right data warehouse. Many different variables must be considered which align with business needs. Data warehouses allow for flexibility in how data is stored and queried. Access to data is valuable amongst enterprises regarding revenue generation, cost containment, and profit optimization. 

Modern data warehousing is often based in the cloud. Cloud data warehouses are managed and hosted by a cloud services provider. This gives organizations the inherent flexibility of a cloud environment. Also, cloud-based warehouses offer more predictable costs. 

Many companies today utilize cloud data warehouses. Especially because in-premise warehouses can be an infrastructure nightmare. In fact, Traditional on-prem data warehouses are built for a batch paradigm and not for today’s world.

With that in mind, here are the key things to keep in mind when choosing a cloud-based DWH.

Does My Organization Need a Data Warehouse?

Well, it depends on the needs of each organization. Some businesses and industries require data analysis that is not only massive in scale but also ongoing and in real-time. For example, some service providers use real-time data to dynamically adjust prices throughout the day. Insurance companies track policies, sales, claims, payroll, and more. They also use machine learning to predict fraud. Gaming companies must track and react to user behavior in real-time to enhance the player’s experience. 

Data warehouses make all of these activities possible. Additionally, organizations typically need to analyze data from different sources. 

Choosing the best cloud data warehouse for your business can be overwhelming. There are variables that can impact the successful deployment of a system. Yet, by considering expected use cases and specific workflows, an enterprise can evaluate the relevant factors to choose a DWH that suits their needs.


In order to choose a data warehouse, especially one based in the cloud, scalability is an absolute necessity to consider. Scalability refers to the measure of a system’s ability to increase or decrease resources according to current demand. Typical data warehouses cannot scale fast enough to keep up with data growth. 

Organizations must consider current business needs in order to choose a DWH. Considerations may include the initial volume of data the warehouse needs to store. Additionally, the types and patterns of queries that are executed.

Another reason why scalability is so important is query performance times. Reducing the time from, say, hours to minutes can significantly reduce costs while providing data quicker.


Accessing data takes time. However, cloud-based data warehouses, like Google Cloud’s BigQuery, provide data analytics instantly. Cloud data warehouses support streaming data, allowing you to query data in real-time in order to drive fast and informed business decisions.

Be situationally aware and responsive to real-time business events. Doing so can prevent costly risks and also serve customers better.

The reason so many organizations decide to choose data warehouses on the cloud is because of how connected both performance speed and scalability are. How fast your queries can run and how you maintain that speed in times of high demand makes all the difference.

Security and Governance

Another key point in how to choose a data warehouse is the built-in data protection and security features. Of course, there are governed companies’ standards that industries have to keep in mind. Customer data is valuable, but it’s even more important to ensure that information is secure and accessible to the correct people. 

Leading cloud DWH providers like Google Cloud to ensure that users are protected with frequent security updates and patches. This allows for IT to not have to worry about managing security themselves. In fact, some providers offer data warehouses that are completely managed.

No matter the industry, choosing a data warehouse with security in mind is a must. Ensure that the provider is up-to-date with regulatory requirements before signing a contract.

Embedding Intelligence

Machine Learning (ML) and Artificial Intelligence (AI) are the future of data analytics and warehousing. In order to choose a DWH, consider which Incorporate Machine Learning and AI. Predictive analytics is becoming increasingly important for data analysts. As a result, a modern data warehouse has to support machine learning without moving the data out of the warehouse.

For instance, a retail chain may use ML and AI to forecast demand to analyze the product performance and pricing data in real-time and make changes to their online merchandising and pricing in a much more agile manner. This leads to more conversions! The power of advanced & predictive analytics cannot be understated. 


Let’s face it, time is a valuable commodity in data analytics. As enterprises are increasingly becoming data-driven, data warehouses play an extremely critical role in enterprises’’ digital transformation journey. 

Enterprises need to gain insights from real-time events and not ready to wait for days or weeks to analyze data!

Some platforms may take some time to allow for data to be analyzed. So, considering time to value is important to keep in mind as organizations choose a DWH. Data warehouse needs to reflect the present state of business. 

Choose a Data Warehouse That’s Right For You

Migrating applications and data can be complex. However, some cloud-based platforms offer solutions that help enterprises strategize modernization. 

For example, a serverless and fully-managed platform like Google Cloud’s BigQuery is dynamic. Essentially requiring no upfront provisioning or managing of hardware. 

Migrating applications and data can be complex, as stated previously. Factors such as scalability and time-to-value need to be considered. Despite this, there are experts who can help accelerate your journey while mitigating risk and reducing costs.

Pandera provides services for data warehouse modernization, data and workload migration on Google Cloud’s BigQuery. Our services help you leverage your data to drive business decisions. From planning, implementation, to optimization, our cloud specialists have you covered!

For more information about how Pandera can help you choose a DWH without the hassle, please get in touch with us.

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