Burtch Works Study PAP 2017

The Burtch Works Study
Salaries of Predictive Analytics

Professionals
September 2017
Linda Burtch
Managing Director
Section 1: Introduction 3
Defining Predictive Analytics Professionals 4
Predictive Analytics in 2017: Key Trends & Implications 5
This Year’s Compensation Insights 6
About Burtch Works 7
Table of Section 2: Compensation Changes 9
Contents The Sample 10
How Changes in Compensation Were Measured 10
How We Define Predictive Analytics Professionals 10
Changes in Base Salaries 11
Section 3: Demographic Profile & Current Compensation 14
Job Category 15
Education 17
Residency Status 19
Region 22
Industry 24
Gender 27
Years of Experience 30
Section 4: Appendix A/Study Objective & Design 31
Study Objective 32
Why The Burtch Works Studies Are Unique 32
The Sample 32
How Changes in Compensation Were Measured 33
Identifying Predictive Analytics Professionals 33
Completeness & Age of Data 34
Segmentations of Predictive Analytics Professionals 35
Section 5: Appendix B/Glossary 37
Glossary of Terms 38
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© 2017 Burtch Works LLC THE BURTCH WORKS STUDY 2

SECTION 1
Introduction
© 2017 Burtch Works LLC THE BURTCH WORKS STUDY | PREDICTIVE ANALYTICS 3
Defining Predictive Analytics Professionals
We have historically defined predictive analytics professionals (PAPs) as those who can “apply
sophisticated quantitative skills to data describing transactions, interactions, or other behaviors
of people to derive insights and prescribe actions”.
PAPs are distinguished from business intelligence professionals or financial analysts by the
enormous quantity of data with which they work, well beyond what can be managed in Excel.
However, this definition also encompasses data scientists, who are excluded from this study
because of their distinguishing ability to work with unstructured data, which results in different
compensation.
Data scientists are a subset of PAPs who have the computer science skills necessary to acquire
and clean or transform unstructured or continuously streaming data, regardless of its format, size,
or source. Unstructured data may include: video streams, audio data, social media web
scrapes, sensor data, raw log files, or long blocks of written language. For information about
data scientists and their compensation, you may consult our Burtch Works Study: Salaries of Data
Scientists, published in May 2017.
This report will focus specifically on PAPs that work with structured data. For more information on
how we identified predictive analytics professionals for this study, see Appendix A on page 33.
Predictive Analytics in 2017: Key Trends & Implications
As many reading this report are undoubtedly aware, the use of predictive analytics in business
continues to grow, and shows no signs of abating. The trends we highlighted in last year’s report –
proliferation of Big Data initiatives, diversification of educational opportunities, and the blurring
between data science and traditional predictive analytics – are only becoming more
widespread. This year, we thought it would be beneficial to examine some of the key hiring market
developments, as well as their implications for both predictive analytics job seekers and hiring
authorities alike.
Quantitative Initiatives Continue to Grow

Over the past four years of collecting data on predictive analytics professionals for The Burtch
Works Studies, the Financial Services and Advertising/Marketing Services industries have
consistently employed over 50% of PAPs each year. However, as analytics use cases have
continued to spread to other industries, the percentage of predictive analytics professionals
employed in other industries has increased. This year, for the first time since we’ve started
collecting this data, the number of predictive analytics professionals employed in Financial
Services and Advertising/Marketing Services dropped below half – to 45% – while many other
industries have seen an increase, such as Technology and Consulting.
Implications for predictive analytics professionals: Opportunities in numerous industries

are booming, and emerging areas such as healthcare and insurance are seeing
increasing amounts of investment in analytics initiatives.
Implications for employers: The proliferation of analytics initiatives has happened

broadly across many industries. This diversification necessitates considering applicants
from other industry verticals when hiring, in order to ensure access to the biggest talent
pool. Because analytics skills are the most key consideration and are transferable
across domains, it’s best to look outside a specific industry when searching for talent.
Lines between Predictive Analytics and Data Science Professionals Continue to Blur
As we pointed out in both our 2016 Burtch Works Study for Predictive Analytics and our 2017 Burtch
Works Study for Data Science, more and more predictive analytics professionals are incorporating
typical data science tools and skills. The results of this year’s SAS, R, or Python survey of the statistical
tool preferences of over 1,100 predictive analytics professionals and data scientists showed that
open source tools R and Python have taken hold in the predictive analytics community, where
SAS had been the mainstay only a few years before.
Professionals: Continuous learning has always been an important aspect of keeping

your skills relevant in a quickly-evolving field like analytics, but now especially is the time
to embrace learning new skills and tools. Having a wide range of tools you are
comfortable with increases your marketability, but keep in mind that tools will continue
to evolve, so continually evaluating your own skillset is paramount.
Employers: As new tools emerge, companies should invest in their teams by providing
training and other opportunities to learn. Predictive analytics professionals see value in
being able to use the latest tools and technologies, and many enjoy tackling new
challenges. Candidates will often prioritize job opportunities that are committed to
training and teaching them new skills.
Companies Need Insight – Not Just Data – to Drive Value

Repeatedly, we have seen that the companies that see the highest returns from their data teams
are those that understand that predictive analytics professionals are at their most valuable when
they can provide insights and prescribe actions for their firms, rather than simply developing
models in a vacuum. With predictive analytics moving “from the back room to the board room”,
the need for well-rounded professionals and strong communicators has become increasingly
important.
Professionals: Being able to translate analysis into insight and action is key to making a
difference. With predictive analytics, companies don’t just want to know “what?”, they
also want to know “why?”, “what does this mean for our business?”, and “what does
this mean we should do?”.
Employers: Look for professionals that can bridge the gap between having strong
technical knowledge and being able to explain concepts in layman’s terms. The better
your team can collaborate with other business teams, the more value they’ll be able
to provide.
Analytics Needs Ambassadors

Continuing our advice from this year’s Burtch Works Study for Data Science, finding leaders that
are able to function as ambassadors and evangelists for the analytics team is important,
especially when growing a new team. For a new capability to succeed, the leader and the team
they hire must be able to adequately convey the value their team provides, as well as develop
partnerships and collaborate with other leaders in the business.
Professionals: Simply providing or executing analysis is not sufficient when establishing

the analytics team’s value within an organization. This is a key attribute for analytics
leaders, but analytics professionals at all levels should be prepared to serve as
advocates for the use of analytics, by, for example, providing insight into specific ways
the team can contribute additional value. Data evangelism at all career levels will
help develop a strong data culture throughout the company.
Employers: When hiring senior leaders, look for those who can be an influencer as well
as a strategic leader. Regardless of whether it is a new team or an established one, it
is important to have a leader in place that can forge partnerships with other members
of senior leadership. This skillset can ensure that the analytics team has the proper tools
and support, and so is able to provide value enterprise-wide, as well as build
confidence in the analytics team.
It continues to be an exciting time in analytics, not only for professionals looking to get into the
field, but also for established professionals, companies looking to hone their business approaches,
and startups springing up to address the growing needs of data-driven companies everywhere.
With each year that we examine hiring market trends in predictive analytics, one trend has
remained constant: opportunities are continuing to multiply.
This Year’s Compensation Insights

Compensation and demographic data of 1,752 PAPs is shared in this report, an update to our
September 2016 release of The Burtch Works Study: Salaries of Predictive Analytics Professionals.
The data shared here was collected during the 12 months ending April 2017.
Our salary studies report base salary variations of PAPs, both individual contributors and managers,
as well as the proportions eligible for a bonus, and the median and mean bonuses received. We
also report how base salaries have changed since last year’s study. Finally, the report explains how
salaries of PAPs vary based on several characteristics including job level, industry, region,
education, residency status, and gender.
The median base salary of individual contributors at level 1 is $78,000 and increases, based on job
level, up to $130,000 for those at level 3. Over 84% of all individual contributors are bonus eligible,
and the median bonus they received varies from $8,000 to $19,000 depending on specific job
level.
PAPs in management roles earn higher base salaries, are more likely to be bonus eligible, and earn
larger bonuses than individual contributors. Managers at level 1 earn a median base salary of
$130,000, which increases to $243,500 for managers at level 3. More than 93% of all managers are
eligible to receive bonus pay. Those at level 1 earn a median bonus payout of $20,000, increasing
to $67,000 for those at level 3.
When compared to 2016 data, median base salaries at all job levels showed either no change or
a single-digit percentage point increase. For individual contributors at level 2 and managers at
level 1, median base salaries remained unchanged. For those at all other job levels, salaries
increased between 1% and 8%, with this highest increases realized by the most junior-level (level 1
individual contributors, 4% increase) and most senior-level (level 3 managers, 8% increase) talent.
This is likely the result of continued demand for incoming talent, as well as an increased need for
sophisticated leaders within analytics.
For additional details about how salaries vary from last year, see Section 2. For complete
information about how salaries vary by demographic characteristics, see Section 3.
About Burtch Works

Burtch Works Executive Recruiting is the leading resource for quantitative talent, job opportunities,
and information about hiring and compensation trends in this industry. Our team has decades of
experience in their quantitative specialties, which include predictive analytics, data science,
quantitative business analytics, web analytics, credit/risk analytics, marketing research, and many
more. Each recruiter is well-versed in the subtle nuances of their area of expertise, allowing them
to closely follow the talent movement and hiring trends unique to each area, and find individuals
perfectly suited to each role.
As data-driven practices have become a necessary strategy to remain competitive, the

quantitative fields continue to experience incredible growth. Burtch Works has built a diverse
network of tens of thousands of professionals to address the growing number of quantitative
positions nationwide, and this network is the foundation of a business built on long-standing
relationships with both candidates and clients. Linda Burtch, Burtch Works’ Founder and Managing
Director, emphasizes that the most rewarding aspect of her career is creating the perfect match,
and she has established a dedicated team of recruiters who share this vision for Burtch Works.
Over her 30+ years of recruiting in quantitative disciplines, Linda Burtch has developed an
especially comprehensive understanding of the analytics fields. She often writes on topics of
interest to the quantitative community, and has maintained a blog on hiring trends for over 10
years, keeping her finger on the pulse of current trends. She has been interviewed for her insights
on the data science and analytics talent market by The New York Times, The Wall Street Journal,
CNBC, Mashable, Forbes, The Chicago Tribune, All Analytics, Analytics Magazine,
InformationWeek, Hunt Scanlon, and many more.
By maintaining such strong relationships with candidates and clients, Burtch Works has the unique
opportunity to examine hiring and compensation trends over time, and publishes several highly-
anticipated studies each year that investigate demographic and compensation data for
predictive analytics, marketing research, and data science professionals. The Burtch Works Studies
provide an exceptional vantage point on compensation for these professionals across the
country, and contain critical information both for individuals mapping their career strategy, and
for hiring managers hoping to recruit and retain outstanding personnel to their teams.
SECTION 2
Predictive Analytics
Professionals:
Compensation Changes
The Sample
This sample contains 1,752 of the nearly 27,000 PAPs with whom Burtch Works maintains contact.
Burtch Works collected the data for this study during interviews conducted over the 12 months
ending April 2017, which is the year immediately following the period of interviews for the 2016
study. Professionals were included in the sample only if (1) they satisfied Burtch Works’ criteria for
PAPs, and (2) Burtch Works obtained complete information about that individual’s compensation,
demographic, and job characteristics.
How Changes in Compensation Were Measured

While some of the 1,752 PAPs in this sample were also in the samples for our previous studies
(published in 2013, 2014, 2015, and 2016), others were not. Therefore, changes in compensation
were not measured by differencing current compensation and compensation reported for the
previous study and then taking medians (and other percentiles) of the differences. Instead,
changes were measured by comparing medians (and other percentiles) of current compensation
to those reported in last year’s study.
How We Define Predictive Analytics Professionals

We have historically defined predictive analytics professionals (PAPs) as those who can “apply
sophisticated quantitative skills to data describing transactions, interactions, or other behaviors of
people to derive insights and prescribe actions”.
PAPs are distinguished from business intelligence professionals or financial analysts by the
enormous quantity of data with which they work, well beyond what can be managed in Excel.
However, this definition also encompasses data scientists, who are excluded from this study
because of their distinguishing ability to work with unstructured data, which results in different
compensation.
Data scientists are a subset of PAPs who have the computer science skills necessary to acquire
and clean or transform unstructured or continuously streaming data, regardless of its format, size,
or source. Unstructured data may include: video streams, audio data, social media web scrapes,
sensor data, raw log files, or long blocks of written language. For information about data scientists
and their compensation, you may consult our Burtch Works Study: Salaries of Data Scientists,
published in May 2017.
This report will focus specifically on PAPs that work with structured data. For more information on
how we identified predictive analytics professionals for this study, see Appendix A on page 33.
Changes in Base Salaries
 At all job levels, median base salaries held steady or increased by single-digit
percentage points. For individual contributors, salaries held steady at level 2, and
increased at levels 1 and 3. For managers, base salaries held steady at level 1, and
increased at levels 2 and 3.
 The largest base salary increase was seen among level 3 managers, which may be an
indicator that the demand for executive-level leaders within analytics is increasing.
Figure 1 Comparison of Predictive Analytics Professionals’ Median Base Salaries by Job Category
Manager 2017 +8%

MG-33
Level
2016
+1%
Manager
MG-2
Level 2
0%
Manager
MG-1
Level 1
Individual +3%
IC-3
Contributor
Level 3
Individual 0%
Contributor
IC-2
Level 2
Individual +4%
IC-1
Contributor
Level 1
$0 $50,000 $100,000 $150,000 $200,000 $250,000
*See page 35 for job category definitions.
Figure 2 Change in Base Salaries of Predictive Analytics Individual Contributors by Job Level
Job Level Year 25% Median 75%

2017 $68,500 $78,000 $87,000
Individual Contributor
2016 $67,500 $75,000 $85,000
Level 1
Change +1% +4% +2%
2017 $85,000 $95,000 $110,000
2016 $85,000 $95,000 $110,000
Level 2
Change 0% 0% 0%
2017 $110,000 $130,000 $150,000
2016 $112,250 $126,500 $145,000
Level 3
Change -2% +3% +3%
Figure 3 Change in Base Salaries of Predictive Analytics Managers by Job Level
Job Level Year 25% Median 75%

2017 $118,750 $130,000 $150,000
Manager
2016 $118,000 $130,000 $145,000
Level 1
Change +<1% 0% +3%
2017 $155,000 $176,000 $200,000
Manager
2016 $158,500 $175,000 $190,000
Level 2
Change +2% +1% +5%
2017 $218,750 $243,500 $275,000
Manager
2016 $206,750 $225,000 $250,000
Level 3
Change +6% +8% +10%
SECTION 3
Predictive Analytics
Professionals:
Demographic Profile &
Current Compensation
Compensation | Job Category
 The median base salaries of PAPs increase as job category increases. Individual
contributors at level 1 earn a median base salary of $78,000, which increases to $95,000
and $130,000 at levels 2 and 3, respectively. Managers at level 1 have a median base
salary of $130,000, which increases to $176,000 and $243,500 at levels 2 and 3.
 Over 84% of all PAPs are eligible to receive bonuses. Among managers, more than 93%
are bonus eligible. Median bonuses received among individual contributors varies from
$8,000 at level 1 up to $19,000 at level 3. For managers, median bonuses range from
$20,000 at level 1 to $67,000 at level 3.
Figure 4 Compensation of Predictive Analytics Individual Contributors by Job Level
Base Salary Bonus

Job Level
N 25% Median Mean 75% Eligible Median Mean
Ind. Contr.
319 $68,500 $78,000 $78,607 $87,000 84.2% $8,000 $9,781
Level 1
Ind. Contr.
445 $85,000 $95,000 $98,653 $110,000 86.0% $11,000 $15,162
Level 2
Ind. Contr.
306 $110,000 $130,000 $131,227 $150,000 89.6% $19,000 $23,177
Level 3
Figure 5 Compensation of Predictive Analytics Managers by Job Level
Base Salary Bonus

Job Level
N 25% Median Mean 75% Eligible Median Mean
Manager
235 $118,750 $130,000 $132,979 $150,000 93.7% $20,000 $23,816
Level 1
Manager
335 $155,000 $176,000 $178,398 $200,000 95.0% $36,000 $42,211
Level 2
Manager
112 $218,750 $243,500 $245,089 $275,000 96.4% $67,000 $84,657
Level 3
Figure 6 Median and Mean Base Salaries of Predictive Analytics Professionals by Job Category
$220K
$180K
Median Mean
$140K
$100K
$60K
Level 1 Level 2 Level 3 Level 1 Level 2 Level 3
Individual Contributors Managers

Demographics & Compensation | Education
 87% of PAPs hold an advanced degree. 71% hold a Master’s degree and another
16% hold a Ph.D.
 At nearly every job level, PAPs earn higher base salaries when they hold a Master’s
degree, and even higher salaries when they hold a Ph.D. The one exception to this is
level 3 managers, a level at which work experience and managerial skills may play a
bigger role.
Figure 7 Distribution of Predictive Analytics Professionals by Education
Ph.D.
16%
Bachelor's
12%
Ph.D. ABD
1%
Master's
71%
Figure 8 Distribution of Base Salaries of Individual Contributors by Job Level & Education
Base Salary
Job Level Education
25% Median Mean 75%
Bachelor’s $57,375 $70,000 $68,830 $76,250
Individual
Contributor Master’s $70,000 $80,000 $79,162 $88,000
Level 1
PhD $80,000 $85,000 $92,027 $100,000
Bachelor’s $83,000 $90,200 $93,931 $100,000
Individual
Contributor Master's $83,000 $95,000 $97,944 $110,000
Level 2
PhD $90,000 $105,000 $108,513 $125,000
Bachelor’s $103,750 $124,500 $130,795 $152,000
Individual
Contributor Master’s $110,000 $130,000 $128,622 $145,000
Level 3
PhD $118,000 $140,000 $143,950 $162,500
Figure 9 Distribution of Base Salaries of Managers by Job Level & Education
Base Salary
Job Level Education
25% Median Mean 75%
Bachelor’s $105,000 $122,000 $123,873 $140,000
Manager
Master's $119,000 $132,000 $133,938 $150,000
Level 1
PhD $125,000 $135,000 $136,543 $146,000
Bachelor’s $154,000 $175,000 $178,569 $200,000
Manager
Master’s $150,000 $175,000 $175,349 $195,750
Level 2
PhD $162,000 $180,000 $185,127 $200,000
Bachelor’s $198,750 $231,250 $238,042 $258,750
Manager
Master's $225,000 $250,000 $250,088 $276,250
Level 3
PhD $205,000 $236,000 $236,371 $275,000
Demographics | Residency Status
 39% of PAPs are non-U.S. citizens with an F-1/OPT, H-1B, or another visa, or permanent
residency which allows them to work in the U.S.
 Among level 1 individual contributors, 53% of PAPs are foreign-born, and at level 2,
46% are foreign-born.
 Continuing a trend we have reported previously, level 1 individual contributors who

hold H-1B visas or are permanent residents earn higher base salaries than their U.S.-
born counterparts.
Figure 10 Distribution of Predictive Analytics Professionals by Residency Status
Perm.
Resident
18%
H-1B
16%
U.S. Citizen
61%
F-1/OPT
4%
Other
1%
Figure 11 Distribution of Predictive Analytics Professionals by Residency Status & Job Level
Manager
MG-3
Level 3
Manager
MG-2
Level 2
Manager
MG-1
Level 1
Ind. Contributor
IC-3
Level 3
Ind. Contributor
IC-2
Level 2
Ind. Contributor
IC-1
Level 1
0% 20% 40% 60% 80% 100%

U.S. Citizen Perm. Resident H-1B F-1/OPT Other Visa
Figure 12 Median Base Salary by Job Category & Residency Status
Base Salary
Job Level Residency Difference
Median
from Citizen
Citizen $75,000 -
Individual Perm. Resident $77,500 +3%
Contributor
Level 1 H-1B $80,000 +7%
F-1/OPT $70,000 -7%
Citizen $95,000 -
Contributor
Level 2 H-1B $95,000 0%
F-1/OPT $90,000 -5%
Citizen $130,000 -
Contributor
Level 3 H-1B $120,000 -8%
F-1/OPT - -
Citizen $130,000 -
Manager
Perm. Resident $139,000 +7%
Level 1
H-1B $120,000 -8%
Citizen $177,000 -
Manager
Perm. Resident $180,000 +2%
Level 2
H-1B $160,000 -10%
Manager Citizen $240,000 -

Level 3 Perm. Resident $250,000 +4%
Demographics & Compensation | Region
 Salaries vary by geographic region. At many job levels, PAPs employed in the
Northeast and West Coast regions are paid the highest median base salaries when
compared to other regions in the U.S.
 The two exceptions to this are level 1 individual contributors and level 2 managers,
where the median salaries on the West Coast are slightly lower than in some other
regions. This appears to be a result of the specific distribution of professionals within
those groups, since, in the case of level 1 individual contributors, the mean base
salary on the West Coast is higher than for those in the Northeast, and the quartiles
are very similar. For level 2 managers, again, although the West Coast median salary
is lower than the Northeast, the means are within $1,000 and the quartiles are nearly
identical.
 This is an interesting contrast to the trends we noted in The Burtch Works Study:
Salaries of Data Scientists May 2017, in which at every job level, West Coast median
base salaries were the highest compared to other regions.
Figure 13 Distribution of Base Salaries of Individual Contributors by Job Level & Region
Base Salary
Job Level Region
25% Median Mean 75%
Northeast $70,000 $80,000 $81,031 $90,000
Southeast $70,000 $80,000 $78,151 $83,625
Individual
Contributor Midwest $65,000 $76,000 $77,174 $87,000
Level 1
Mountain $60,000 $69,000 $68,828 $82,000
West Coast $71,000 $75,000 $84,464 $91,000
Northeast $85,000 $96,000 $100,060 $110,500
Southeast $83,165 $92,000 $95,866 $104,000
Individual
Level 2
Mountain $80,000 $95,000 $94,346 $109,000
West Coast $92,650 $105,000 $110,918 $120,000
Northeast $120,000 $135,000 $140,686 $159,000
Southeast $105,250 $120,500 $125,223 $141,250
Individual
Level 3
Mountain $101,875 $120,000 $126,447 $150,000
West Coast $120,000 $140,000 $137,822 $150,000
Figure 14 Distribution of Base Salaries of Managers by Job Level & Region
Base Salary
Job Level Region
25% Median Mean 75%
Northeast $120,000 $135,000 $136,822 $160,000
Southeast $117,625 $130,000 $136,493 $151,750
Manager
Midwest $115,000 $126,000 $127,475 $140,000
Level 1
Mountain $116,250 $130,000 $128,188 $145,000
West Coast $126,000 $140,000 $140,394 $150,200
Northeast $159,500 $180,000 $181,323 $200,000
Southeast $145,250 $178,000 $174,891 $199,375
Manager
Midwest $157,500 $175,000 $178,801 $195,000
Level 2
Mountain $150,000 $173,500 $170,676 $187,500
West Coast $159,250 $175,000 $180,522 $200,000
Northeast $225,000 $250,000 $255,073 $280,000
Southeast $205,000 $240,000 $228,182 $250,000
Manager
Midwest $200,000 $240,000 $235,241 $260,000
Level 3
Mountain $190,000 $220,000 $233,769 $250,000
West Coast $230,000 $257,500 $256,722 $281,500
Demographics & Compensation | Industry
 One quarter of PAPs are employed within financial services companies. Another fifth
are employed within advertising and marketing services firms.
 This is the first time that financial and advertising/marketing services companies
account for less than 50% of employers of PAPs, likely as a result of the use cases for
analytics in other industries increasing.
 Salaries of PAPs vary by industry and job level, as seen in Figures 16 and 17.
Figure 15 Distribution of Predictive Analytics Professionals by Industry
Financial Services 25%
Advertising/Marketing 20%
Tech/Telecom/Gaming 13%
Consulting 12%
Retail 9%
Corporate-Other 9%
Healthcare/Pharma 6%
CPG 3%
Academia/Government 2%
0% 5% 10% 15% 20% 25% 30%
Figure 16 Distribution of Base Salaries of Individual Contributors by Job Level & Industry
Base Salary
Job Level Industry
25% Median Mean 75%
Advertising/Marketing $70,000 $75,500 $78,209 $83,625
Consulting $62,500 $80,000 $76,155 $85,000
CPG $78,750 $82,500 $83,728 $87,750
Individual Financial Services $70,000 $80,000 $81,018 $90,000
Contributor
Level 1 Healthcare/Pharma $64,000 $73,000 $73,543 $81,500
Retail $66,250 $74,750 $79,459 $88,000
Tech/Telecom/Gaming $70,000 $77,500 $81,913 $90,000
Other Corporate $61,500 $75,000 $74,407 $87,500
Consulting $85,000 $92,000 $99,611 $110,000
CPG $90,750 $105,000 $101,993 $113,550
Contributor
Retail $84,000 $96,000 $96,762 $105,000
Other Corporate $82,750 $95,000 $95,173 $105,000
Consulting $117,500 $140,000 $141,723 $155,150
CPG $96,250 $112,000 $118,763 $132,500
Contributor
Retail $105,000 $119,000 $119,035 $135,000
Other Corporate $100,000 $121,000 $122,296 $145,000
Figure 17 Distribution of Base Salaries of Managers by Job Level & Industry
Base Salary
Job Level Industry
25% Median Mean 75%
Consulting $104,000 $130,000 $127,517 $150,000
CPG - - - -
Manager Financial Services $120,000 $130,000 $133,875 $148,750

Retail $115,000 $127,500 $130,959 $150,000
Other Corporate $113,000 $126,000 $128,739 $143,500
Consulting $164,250 $185,000 $187,367 $208,000
CPG $171,250 $180,000 $189,571 $207,500

Retail $157,500 $182,000 $181,270 $197,500
Other Corporate $155,500 $168,000 $176,259 $185,000
Consulting $206,250 $235,000 $241,786 $257,500
CPG - - - -

Retail $168,500 $232,500 $220,400 $249,000
Other Corporate $265,500 $280,000 $281,286 $300,000
Demographics | Gender
 There was a very slight uptick in the number of women in predictive analytics this
year: 27% of PAPs are female vs. 26% in 2016.
 As we have seen in years past, the proportion of women decreases as the PAPs’
experience level increases.
 Similar to the trend we noted last year, at two job levels women earn the same
amount as men do in predictive analytics. At all other levels, women earn 92-99% of
what their male counterparts earn at the same job level.
Figure 18 Distribution of Predictive Analytics Professionals by Gender
Female
27%
Male
73%
Figure 19 Distribution of Predictive Analytics Professionals by Gender and Job Level
Manager
MG-3
Level 3
Manager
MG-2
Level 2
Manager
MG-1
Level 1
Ind. Contributor
IC-3
Level 3
Ind. Contributor
IC-2
Level 2
Ind. Contributor
IC-1
Level 1
0% 20% 40% 60% 80% 100%

Male Female
Figure 20 Median Base Salary by Job Category and Gender
$240,000
92%
$220K
$220,000
$200,000
$180,000
$180K
99%
$160,000
$140,000
$140K
100% 100%
$120,000
$100,000
$100K
96%
$80,000
94%
$60,000
$60K
$40,000
FEMALE
$20K
$20,000
MALE
$0
Level 1 Level 2 Level 3 Level 1 Level 2 Level 3
Individual Contributors Managers
Demographics | Years of Experience
 Nearly 60% of PAPs have fewer than 10 years of experience. When comparing this
figure with last year’s data, it’s clear that the predictive analytics profession is skewing
younger, due to the increase in the interest and visibility of analytics as a career.
 The median years of experience among PAPs is 9 years.
Figure 21 Distribution of Predictive Analytics Professionals by Years of Experience
600
500
Median: 9.0 years
Number of Professionals
Mean: 10.4 years

400
300
200
100
0
0-5 6-10 11-15 16-20 21-25 26-30 30+
Years of Experience
Note: The recruiters at Burtch Works do not ask the age of the professionals with whom they work.
However, they do ask them for their years of work experience, which is highly correlated with age, and
shown above is the distribution of PAPs by years of experience. However, salary information is not shown
here, because salaries are indirectly related to years of experience through job category.
SECTION 4
Appendix A:
Study Objective & Design
Study Objective
This report is a follow-up to last year’s report, The Burtch Works Study: Salaries of Predictive
Analytics Professionals, which was published in September 2016. Its goals are to show (1) current
compensation of PAPs and how it varies, and (2) how their compensation has changed since
last year’s report. By continuing to interview large numbers of PAPs annually, Burtch Works can
show both short-term and long-term trends in the demographic attributes of PAPs and their
compensation.
Why The Burtch Works Studies Are Unique

The Burtch Works Studies: Salaries of Predictive Analytics Professionals contain highly-anticipated
salary and demographic data for PAPs, and are unique because:
 Burtch Works’ studies focus solely on PAPs – The study samples include only
professionals who are PAPs, and exclude professions that other salary reports may
include, such as business intelligence, operations research, information technology,
consumer insights, and data science professionals (who work with unstructured data).
 Burtch Works obtains this data by interviewing PAPs – Instead of relying on data
provided by human resources departments or from a self-reported online survey,
Burtch Works interviews every PAP individually. An important advantage of the
interview process is that Burtch Works recruiters are able to obtain information about
PAPs that is not usually provided by human resources departments that may affect
their compensation, such as education and residency status. Additionally, because
of their nuanced understanding of the profession, recruiters are able to obtain
corrections or clarifications when information provided does not seem credible.
 Burtch Works’ salary studies show how compensation varies by job level, region,
industry, gender, and education – The sample size is large enough to show
compensation data, collected over the past year, at a granular level. Further long-
term trends are illuminated with each consecutive report.
The Sample
This sample contains 1,752 of the nearly 27,000 PAPs with whom Burtch Works maintains contact.
Burtch Works collected the data for this study during interviews conducted over the 12 months
ending April 2017, which is the year immediately following the period of interviews for the 2016
study. Professionals were included in the sample only if (1) they satisfied Burtch Works’ criteria for
PAPs, and (2) Burtch Works obtained complete information about that individual’s compensation,
demographic, and job characteristics.
How Changes in Compensation Were Measured
While some of the 1,752 PAPs in this sample were also in the samples for our previous studies
(published in 2013, 2014, 2015, and 2016), others were not. Therefore, changes in compensation
were not measured by differencing current compensation and compensation reported for the
previous study and then taking medians (and other percentiles) of the differences. Instead,
changes were measured by comparing medians (and other percentiles) of current compensation
to those reported in last year’s study.
Identifying Predictive Analytics Professionals

PAPs apply sophisticated quantitative skills to very large sets of data describing transactions,
interactions, or other behaviors of people to discern patterns in those behaviors and to prescribe
actions for their firms. What distinguishes them from other quantitative professionals, for instance
financial analysts or web analytics professionals, is the volume of data with which they work. PAPs
include data scientists, but data scientists are not included in the sample for this study because
they operate on very large sets of unstructured data, requiring additional computer science skills,
while traditional/other PAPs work with more structured data. Burtch Works also tracks the
compensation of data scientists in separate studies which can be found at
burtchworks.com/study, the latest published in May 2017.
To identify PAPs, Burtch Works uses these criteria:
 Educational Background – PAPs typically have a degree – usually an advanced

degree (a Master’s or Ph.D.) – in a quantitative discipline such as Applied Mathematics,
Statistics, Economics, or Operations Research. Some professionals with an MBA are also
PAPs if their MBA program had a quantitative emphasis.
 Skills – PAPs are proficient users of analytic tools for discerning patterns in data. Also,
they can use one or more tools for operating on large data sets (see criterion 3), such
as SAS and/or R.
 Dataset Size – The size of the datasets that PAPs work with are measured in gigabytes,
terabytes, or petabytes.
 Job Responsibilities – PAPs have job responsibilities in the following areas:
Analytical Database Marketing – Studies existing customers using methods such as

customer segmentation, campaign targeting and effectiveness, propensity modeling,
and customer lifetime value analysis.
Credit Risk Analytics – Measures consumer, enterprise, and market risk levels. Results of
analyses might impact the price of product, such as the interest rate for a credit card
or its availability, as in the case of a loan.
Marketing Science – Predicts consumer behavior using analytics such as marketing mix
modeling. Analysis can use transaction-, store-, or market-level data.
Survey Statistics – Analyzes the results of structured surveys, conducted using a sample
of a given population, in order to extrapolate the population’s characteristics using
descriptive and inferential statistical methodologies.
Professionals whose jobs are described as analytics management, business intelligence,
marketing research, and operations research are not considered PAPs, because they do not work
with large datasets or because, in the case of operations researchers, their function is to optimize
well described processes rather than search for patterns in data. Although data scientists are a
subset of PAPs, they were excluded from this sample because they have atypical computer
science skills to manage unstructured data, resulting in higher compensation bands. They were
the focus of a separate study, The Burtch Works Study: Salaries of Data Scientists, which was
released in May 2017.
Completeness & Age of Data

A predictive analytics professionals is included in the sample only if Burtch Works has complete
data about their compensation, and demographic and job characteristics.
All of the 1,752 PAPs in the sample were interviewed over the 12-month period ending April 2017,
which is the year immediately following the period of interviews for the 2016 study. All were
interviewed by Burtch Works recruiters while executing searches for clients.
Segmentations of Predictive Analytics Professionals
To examine how the compensation of PAPs varies, Burtch Works used characteristics of their jobs
(level, location of employer, industry) and demographic characteristics (gender, years of
experience, residency status) to segment data scientists. Burtch Works developed the following
job categories:
Individual Contributors
Typical Years
Level Responsibility
of Experience
Level 1 Learning the job, hands-on analytics 0-3 years
and modeling
Level 2 Hands-on with data, working with 4-8 years
more advanced problems and
models, may help train analysts
Level 3 Considered an analytics Subject 9+ years
Matter Expert, mentors and trains
analysts
Managers
Typical No.
Level Responsibility
of Reports
Level 1 Tactical manager who leads a small 1-3 reports
group within a function, responsible (direct or
for executing limited projects or matrix)
tasks within a project
Level 2 Manager who leads a function and 4-9 reports
manages a moderately sized team, (direct or
responsible for executing strategy matrix)
Level 3 Member of senior management 10+ reports
who determines strategy and leads (direct or
large teams, manages at the matrix)
executive level
Burtch Works divided the U.S. into these five regions:
Northeast
Southeast
Midwest
Mountain
West Coast
Figure 22 U.S. Geographic Regions
NORTHEAST
WEST
COAST
MIDWEST
MOUNTAIN
SOUTHEAST
The firms for which PAPs work were divided into these nine industries:
Academia/Government Healthcare/Pharmaceuticals
Advertising/Marketing Services Retail
Consulting Technology/Telecom/Gaming
Consumer Packaged Goods (CPG) Other
Financial Services
Each PAP was assigned to one of these five residency status categories:
U.S. Citizen
Permanent Resident
H-1B
F-1/OPT
Other
Finally, each PAP was assigned to one of these four education categories:
Bachelor’s degree
Master’s degree
PhD ABD
PhD
SECTION 5
Appendix B:
Glossary
Glossary of Terms
This section provides definitions of terms used in this report.
ABD (All-but-dissertation). ABD is a level of education. A person whose level of education is ABD has
completed all coursework for a Ph.D. but not a dissertation.
Base Salary. An individual’s gross annual wages, excluding variable or one-time compensation such as
relocation assistance, sign-on bonuses, bonuses, and long-term incentive plan compensation.
Bonus. Short-term variable compensation, usually awarded annually, such as individual or company
performance-based bonuses. This does not include long-term incentive plan compensation or awards of
stock or stock options.
Data Scientist. A specialized predictive analytics professional who has both the programming proficiency
required to make enormous sets of unstructured data accessible and also the analytical skills for deriving
useful information from those data.
F-1/OPT. A residency status that allows a foreign undergraduate or graduate student who has a non-
immigrant F-1 student visa to work in the U.S. without obtaining an H-1B visa. The student is required to have
either completed their degree or pursued it for at least nine months.
Geographic Region. One of five groups of states that together comprise the entire United States. These five
groups of states – Northeast, Southeast, Midwest, Mountain, and West Coast – are shown in Figure 22 on page
36.
H-1B. A non-immigrant visa that allows a U.S. firm to temporarily employ a foreign worker in a specialty
occupation for a period of three years, which is extendable to six and beyond. If a foreign worker with an H-
1B visa quits or loses their job with the sponsoring firm, the worker must either find a new employer to sponsor
an H-1B visa, be granted a new non-immigrant status, or leave the United States.
Individual Contributor. An employee who does not manage other employees. Individual contributors among
the PAPs in the Burtch Works sample have all been assigned to one of three levels:
Level 1: Responsible for learning the job; hands-on with analytics and modeling; 0-3 years’
experience
Level 2: Hands-on with data, working with more advanced problems and models; may help train
analysts; 4-8 years of experience
Level 3: Considered an analytics Subject Matter Expert; mentors and trains other analysts; 9+ years’
experience
Industry. One of nine groups of firms employing most data professionals. These nine industries are
Academia/Government, Advertising/Marketing Services, Consulting, Consumer Packaged Goods (CPG),
Financial Services, Healthcare/Pharmaceuticals, Retail, Technology/Telecom/Gaming, and Other.
Academia/Government: Institutions whose purpose is the pursuit of education or academic

research such as public universities, private colleges, and for-profit education companies; or
organizations that are a part of the governmental system, such as the Department of Defense and
national research laboratories
Advertising/Marketing Services: An industry consisting of firms that provide services to other firms that
include advertising, market research, media planning and buying, and marketing analysis.
Consulting: Industry that includes both large corporations and small “boutique” firms that provide
professional advice to the managers of other firms.
Consumer Packaged Goods: Companies whose products are sold quickly and at relatively low cost,
including non-durable goods (e.g. groceries, toiletries) and lower quality consumer electronics.
Financial Services: Firms that provide money management, lending, or risk management services,
including banks, insurance companies, and credit card organizations.
Healthcare/Pharmaceuticals: Firms that provide healthcare services, such as hospitals, and firms that
manufacture medicinal drugs.
Retail: Organizations that purchase goods from a manufacturer to be sold for profit to the end-
consumer.
Technology/Telecom/Gaming: Firms that create or distribute technology products or services, such

as computer manufacturers and software publishers, and firms that provide telecommunications
services.
Other: Companies whose industry falls outside of the categories described above, such as airline
companies, distribution firms, media, and entertainment.
Manager. An employee who manages the work of other employees. Managers among the PAPs in the Burtch
Works sample have all been assigned to one of three levels:
Level 1: Tactical manager who leads a small group within a function, responsible for executing
limited-scale projects or tasks within a project; typically responsible for 1-3 direct reports or matrix
individuals.
Level 2: Manager who leads a function and manages a moderately sized team; responsible for
executing strategy; typically responsible for 4-9 direct reports or matrix individuals.
Level 3: Member of senior management who determines strategy and leads large teams; manages
at the executive level; typically responsible for 10+ direct reports or matrix individuals.
Mean. Also known as the average, it is the sum of a set of values divided by the number of values. For
example, the mean of N salaries is the sum of the salaries divided by N.
Median. The value obtained by ordering a set of numbers from smallest to largest and then taking the value
in the middle, or, if there are an even number of values, by taking the mean of the two values in the middle.
For example, the median of N salaries is the salary for which there are as many salaries that are smaller as
there are salaries that are larger.
N. The number of observations in a sample, sub-sample, or table cell.
OPT. See F-1/OPT.
Permanent Resident. A residency status that allows a foreign national to permanently live and work in the
United States. Those with this status have a United States Permanent Residence Card, which is known
informally as a green card.
Predictive Analytics Professionals. Individuals who can apply sophisticated quantitative skills to data
describing transactions, interactions, or other behaviors to derive insights and prescribe actions. They are
distinguished from the “quants” of the past by the sheer quantity of data on which they operate, an
abundance made possible by new opportunities for measuring behaviors and advances in technologies for
the storage and retrieval of data.
Programming. The process of developing and implementing various sets of instructions to enable a computer
to do a certain task. For the purposes of this study, programming refers to the use of general purpose
programming/scripting languages such as Python, Java, C, C++, or others.
Salary Study. A study conducted to measure the salary distributions of those in specific occupations.
Traditionally, these studies have been executed by obtaining salary data from the human resources
departments of firms employing professionals in those occupations or through online surveys, rather than by
interviewing those employees themselves.
Your source for analytics opportunities, talent, and industry trends.
info@burtchworks.com | 847-440-8555 | www.burtchworks.com/study

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The Burtch Works Study

Salaries of Predictive Analytics

Burtch Works Executive Recruiting

© 2017 Burtch Works LLC THE BURTCH WORKS STUDY 2

Quantitative Initiatives Continue to Grow

Implications for predictive analytics professionals: Opportunities in numerous industries

Implications for employers: The proliferation of analytics initiatives has happened

Professionals: Continuous learning has always been an important aspect of keeping

Companies Need Insight – Not Just Data – to Drive Value

Analytics Needs Ambassadors

Professionals: Simply providing or executing analysis is not sufficient when establishing

This Year’s Compensation Insights

About Burtch Works

As data-driven practices have become a necessary strategy to remain competitive, the

How Changes in Compensation Were Measured

How We Define Predictive Analytics Professionals

Manager 2017 +8%

$0 $50,000 $100,000 $150,000 $200,000 $250,000

*See page 35 for job category definitions.

Job Level Year 25% Median 75%

Figure 3 Change in Base Salaries of Predictive Analytics Managers by Job Level

Job Level Year 25% Median 75%

*See page 35 for job category definitions.

Base Salary Bonus

Figure 5 Compensation of Predictive Analytics Managers by Job Level

Base Salary Bonus

Individual Contributors Managers

Figure 7 Distribution of Predictive Analytics Professionals by Education

Figure 9 Distribution of Base Salaries of Managers by Job Level & Education

 Continuing a trend we have reported previously, level 1 individual contributors who

Figure 10 Distribution of Predictive Analytics Professionals by Residency Status

0% 20% 40% 60% 80% 100%

Manager Citizen $240,000 -

Figure 15 Distribution of Predictive Analytics Professionals by Industry

Financial Services 25%

0% 5% 10% 15% 20% 25% 30%

Manager Financial Services $120,000 $130,000 $133,875 $148,750

Manager Financial Services $143,000 $159,000 $168,395 $185,000

Manager Financial Services $216,250 $235,500 $251,788 $282,500

Figure 18 Distribution of Predictive Analytics Professionals by Gender

0% 20% 40% 60% 80% 100%

 The median years of experience among PAPs is 9 years.

Figure 21 Distribution of Predictive Analytics Professionals by Years of Experience

Mean: 10.4 years

Why The Burtch Works Studies Are Unique

Identifying Predictive Analytics Professionals

To identify PAPs, Burtch Works uses these criteria:

 Educational Background – PAPs typically have a degree – usually an advanced

 Job Responsibilities – PAPs have job responsibilities in the following areas:

Analytical Database Marketing – Studies existing customers using methods such as

Completeness & Age of Data

Figure 22 U.S. Geographic Regions

Academia/Government: Institutions whose purpose is the pursuit of education or academic

Technology/Telecom/Gaming: Firms that create or distribute technology products or services, such

N. The number of observations in a sample, sub-sample, or table cell.

OPT. See F-1/OPT.

info@burtchworks.com | 847-440-8555 | www.burtchworks.com/study

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