How to Create a Database in Excel – A Brief Guide

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Starting a business is not difficult; the main thing is to handle the ups and downs that come with a business. You may have to deal with marketing, brand strategy, client communication, and much more. Data management is the main thing a person has to face while running a business.

Databases are useful not only for big companies even small trading companies can avail this option. If you are one of those who want to convert manual working on autopilot, you can use a database. It helps in tracking, recovering, and saving all kinds of data. The thing is how to create a database when you are just a beginner.

What is a Database?

Before getting into how a database is created, let’s understand what is a database and who can use it. Actually, a database is an extensive term that helps in storing more than one record of data at a time. You may find the database in several different forms that let you store, find, filter data, and analyze generic data.

With a database, you can have one-to-one, one-to-many, or many-to-many relationships which simply means one record can have more than one record.

Choose the Type of Database

First, you need to make a database and choose which kind of database you need. We have four major kinds of databases:

Relational Databases

In this kind of database, you can store and get your data back with the help of tables. All tables have a separate name and each table is a collection of related data. In a file system, tables are mostly like folders, when folders have a collection of related files.

Object Oriented Databases

This kind of database can help in storing and retrieving data by simply using objects. These objects are a range of related data and all of them have a separate names. Objects you will see as similar to files in a file system. And each file has a series of related data.

Hierarchical Databases

In this kind of database, you can store and get back data by using a hierarchy. By using this database, you will note that a hierarchy is connected with nodes and each node appears with a separate name. In a file system, nodes present as similar to folders and each folder shows a node in the hierarchy.

Network Database

By using this type of database, you can store as well as retrieve data by using a network. You will notice a network as a series of linked nodes and each node comes up with a separate name. Moreover, you will notice that nodes are similar to files in a file system and each file shows a node in the network.

How to Create a Database in Excel?

Tracking data is a real headache in Excel that you will suffer while in the race of making or maintaining a database. So, before wasting much time, let’s dive in to see how to create a database in Excel.

  • First, you need to set up a data spreadsheet framework.
  • For this, open the Excel sheet and put the cursor in the A1 cell. Now, type the title of your database.
  • Move to the next row and use the Tab key from left to right to move throughout the empty database. It will add the column headers.

Client Name


Contact Name

Health Level (drop-down)

Support Level (drop-down)

Engagement Level (drop-down)

Last Touchpoint

NPS Score

how to create a database

  • Open the database title and choose the first row up to the last column of the table. Choose Merge & Center from the Home tab given in the menu toolbar.

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  • In the second step, you need to add or import data.
  • For this, you can add data manually or import data from the existing database with the External Data tab. below is a list you can use:

Client Name

Contact Name


Health Level

Support Level

Engagement Level

Last Touchpoint

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  • You know editing data in bulk could be terrifying, that’s why you need to be careful.
  • In the next step, you have to convert data into a table form.
  • For this, we have selected a data model table to convert data. Click on the cell with data and try not to choose an empty cell. Open the Insert tab and then click on the Table option from the menu toolbar. You will see the rows and columns will be selected. You can highlight the table without a title and click OK.

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  • In the next step, you need to format the table.
  • Click on any table design given in the menu toolbar from the Table tab that suits your preferences.

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  • In the next step, you can save the database spreadsheet.
  • At the end of the procedure, you can save the sheet because you may have to edit the database more than once to update it.
  • For this, click on the File tab and choose Save As.
  • Enter the name you want to give to the database and then click on the Save button.

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Sum Up

Data is known to be a key thing for any business organization. A database is needed when you have to keep track of all the changes such as inventory, customers, sales, or other data. Microsoft Excel is the one and only tool that lets you create a database on a budget. As Excel has a row and column format that’s why it becomes one of the best options that fits perfectly for entering any data in a table format.

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