Data Label
TERMText on the chart that states a value exactly.
A data label is text printed directly on a chart that states the exact value of a point, bar or slice, so readers do not have to estimate it from the axis.
Reading a value off an axis always involves some guesswork — is that bar at 62 or 64? A data label removes the doubt by writing the number right next to the mark. It trades a little visual cleanliness for precision, which is valuable when the exact figures matter as much as the overall pattern.
How data labels work in a chart
Labels are placed beside the element they describe: above or inside a bar, next to a point, or on a pie slice. They can show the raw value, a percentage of the total, the category name, or a combination. The main risk is clutter — labelling every point on a busy chart can overwhelm it — so labels are most effective when used selectively, for example only on the highest and lowest values or the most recent point.
A concrete example
Picture a column chart of four bars with heights 30, 45, 28 and 52. Without labels you would squint at the axis to read each one. Add data labels and the number "30," "45," "28" and "52" appears at the top of its bar, so the values are read instantly and unambiguously. On a pie chart the same idea shows each slice's share — a slice covering a quarter of the circle carries the label "25%."
Related terms
A data label names the value of a single data point, complementing the broader context given by the axis title and the legend. Labels are especially common on slice charts — see the pie chart guide.