How to Create a Scatter Plot in Excel with 3 Variables?

A Scatter Plot in Excel is one of the best-suited visualization designs for displaying causal relationships in data with more than 2 variables.

Why?

The chart uses a series of dots to display insights into varying sets of data. Interpreting the Scatter Plot with 3 variables in Excel is amazingly easy, even for non-technical audiences (and readers).

To display relationships and associations in your raw data, we suggest you try this type of chart in Excel.

In this blog, you’ll learn:

Table of Content:

1. What is a Scatter Plot in Excel with 3 Variables?
2. How Scatter Plot With 3 Variables in Excel look?
3. How to Arrange Data for a Scatter Graph With 3 Variables in Excel?
4. Can We Create a Scatter Plot with 2 or More Variables in Excel?
5. How to Create a Scatter Plot in Excel with 3 Variables?
6. How to Create a Scatter Plot in Excel with 2 Variables?
7. Advantages of Using a Scatter Chart in Excel Using Variables
8. Why Do We Use a Scatter Plot Graph in Excel with 3 and 2 Variables?
9. How Does a Scatter Plot in Excel with 2 or 3 Variables Display Relationships?
10. Top 6 Best Practices For Excel XY Plot
11. FAQs
12. Wrap Up

What is a Scatter Plot in Excel with 3 Variables?

Definition: A Scatter Plot in Excel with 3 variables is a chart that displays the relationship between two variables on the X and Y axes, while the third variable is represented through markers, such as size or color, to add dimension to data visualization.

This chart communicates insights using dots or markers between its x-axis and y-axis. Essentially, each of the chart’s dots appears “scattered”, hence its name. You can use the XY graph in Excel to compare three key variables in your data to determine the relationships.

The values for each dot are encoded by:

• Horizontal position on the x-axis
• Vertical position on the y-axis
• The physical size

Data Encoding in Scatter Diagram in Excel with 3 Variables
Variable	Representation in Excel	Description
X-axis Variable	Horizontal Position	Plots the first metric, typically the independent variable (e.g., Sales).
Y-axis Variable	Vertical Position	Represents the dependent variable responding to changes in X (e.g., Number of Orders).
Z-axis Variable	Marker Size or Color	Encodes the third variable (e.g., Inventory level), offering a third dimension.
Marker	Dot or Bubble on a Chart	Represents a single data point combining all 3 variables.
Data Labels	Optional Text on Chart	Used to display exact values or category names beside each marker.
Axis Titles	Custom Text	Describe what each axis measures (e.g., “Sales in $”, “Number of Orders”).
Color Coding	Gradient or Category-based Colors	Differentiates groups or intensities of the third variable visually.
Bubble Size	Varying Diameter	Another way to represent third variable magnitude when using a bubble chart style.
Chart Legend	Visual Key	Helps identify what colors or sizes represent for the Z variable.
Data Table	Underlying Spreadsheet Data	Source of values that feed into the X, Y, and Z encodings in the chart.

How Scatter Plot With 3 Variables in Excel look?

Take a look at an example of this Chart below.

There’s a linear relationship between the number of orders and sales, albeit relatively weaker. In other words, the number of orders increases with sales to a certain degree.

How to create a Scatter Plot in Excel with 3 variables does not have to throw a curveball at you. Keep reading to discover more.

How to Arrange Data for a Scatter Graph With 3 Variables in Excel?

• Organize Data:
  • Enter your X-axis data (independent variable) in one column.
  • Enter your Y-axis data (dependent variable) in the adjacent column.
• Select Data:
  • Highlight both columns of data, including headers if you have them.
• Insert XY Plot:
  • Go to the Insert tab on the Ribbon.
  • In the Charts group, click on Scatter.
  • Choose the scatter plot type you prefer (e.g., Scatter with Markers, Scatter with Lines).
• Customize Your Chart:
  • Use Chart Tools on the Ribbon to add titles, adjust axis labels, change marker styles, and customize other chart elements.
• Verify and Adjust:
  • Ensure your data points are plotted correctly.
  • Adjust chart formatting as needed for clarity and readability.

Can We Create a Scatter Plot with 2 or More Variables in Excel?

Yes, it’s possible to generate a Point Plot in Excel with 2 or more variables. However, it depends highly on the tool you’re using for the task.

One of the biggest advantages of the chart is that you can easily uncover hidden “cause-and-effect” relationships between two key variables in data.

Excel is one of the best data visualization tools because it’s familiar and has been around for a long time. Besides, its parent company is a reputable technology firm globally in other segments, such as Windows.

However, it’s not advisable to over-rely on Excel.

Why?

Excel produces pretty basic charts, like Dot Plot Charts. You have to invest significant amounts of brainpower and time editing the chart to align with your needs.

We’re not advocating you ditch Excel in favor of other expensive data visualization tools. There’s a smart Scatter Plot maker (Excel-friendly add-in) you can install in your spreadsheets app to access the ready-made and visually stunning charts and graphs.

We recommend trying ChartExpo to access ready-made and visually stunning charts in Excel.

ChartExpo is a Chart generator that over 40,000 professionals worldwide use to create insightful and easy-to-understand visualizations, particularly when conducting Multivariate Analysis.

Creating a Chart in Excel with 3 variables should never be a stumbling block for you.

You don’t want to miss this.

How to Create a Scatter Plot in Excel with 3 Variables?

This section will use this chart in Excel to display insights into the tabular data below.

Products Type	Products	Sales	No. of Orders	In Stock
Cosmetic	Face Primer	90	10	26
Cosmetic	Foundation	70	12	16
Cosmetic	Concealer	190	9	13
Cosmetic	Blush	880	16	21
Cosmetic	Highlighter	900	22	35
Cosmetic	Bronzer	600	23	23
Cosmetic	Powder	600	42	38
Cosmetic	Eye Primer	1300	19	43
Electronics	TVs	590	28	32
Electronics	Refrigerators	390	11	33
Electronics	Washing machines	490	41	22
Electronics	Air Conditioners	390	18	40
Electronics	Printers	260	17	42
Electronics	Speakers	210	2	19
Electronics	Keyboards	170	23	34
Electronics	E-Readers	170	13	25
Garments	Mobile Phones	140	27	21
Garments	Sweater	110	13	40
Garments	Hoodies	110	12	35
Garments	T-shirts	760	6	35
Garments	Jeans	1500	7	38
Garments	Sweat Shirts	1000	19	39
Garments	Formal Trousers	150	10	28
Garments	Polo Shirts	380	14	15

Click this link to install ChartExpo into your Excel. Congratulations if you’ve installed the add-in into your spreadsheet.

To get started with ChartExpo, follow the simple steps below.

• From the Insert menu, click the My Apps button to access the ChartExpo add-in.

• Select ChartExpo for Excel and click the Insert button to get started with ChartExpo.

• Once ChartExpo is loaded, you will see a list of charts.

• Look for the chart option in Excel and click on the icon to get started, as shown below.”

• Select the sheet holding your data and click the Create Chart From Selection button, as shown below.

• Check out your final chart below.

Insights

• Although it’s relatively weaker, there’s a linear relationship between orders and sales. In other words, the number of orders increases with sales.
• The average number of orders is 17.25.

To find more insights, you can also create a bar graph with 3 variables instead of another chart.

How to Create a Scatter Plot in Excel with 2 Variables?

This section will use a Point Chart in Excel to display insights into the tabular data below.

How to create a Scatter Plot in Excel with 2 variables does not have to be time-intensive.

Cities	Products	Store Sales	Margin %
Dallas	Bread	21835	36
Dallas	Butter	7958	30
Dallas	Jelly	28031	40
Dallas	Pasta	30826	17
Dallas	Cheese	8522	24
Dallas	Ice Cream	55220	41
Dallas	Soda	37511	53
Dallas	Ketchup	11332	54
Dallas	Hand Lotion	43018	31
Dallas	Batteries	30559	50
Chicago	Bread	42919	38
Chicago	Butter	10756	39
Chicago	Jelly	37659	37
Chicago	Pasta	53742	53
Chicago	Cheese	21195	48
Chicago	Ice Cream	8934	59
Chicago	Soda	37851	60
Chicago	Ketchup	11994	41
Chicago	Hand Lotion	52606	24
Chicago	Batteries	11990	19
Boston	Bread	46077	47
Boston	Butter	46566	55
Boston	Jelly	25195	25
Boston	Pasta	59368	15
Boston	Cheese	57330	18
Boston	Ice Cream	27371	14
Boston	Soda	43569	13
Boston	Ketchup	34401	47
Boston	Hand Lotion	53559	10
Boston	Batteries	34039	16

Click this link to install ChartExpo into your Excel. Congratulations if you’ve installed the add-in into your spreadsheet.

To get started with ChartExpo, follow the simple steps below.

• Click the My Apps button to access the ChartExpo add-in.
• Select the ChartExpo add-in and click the Insert button.
• Once the ChartExpo is loaded, you will see a list of charts.
• Then look in the list of charts, as shown below.
• Select the sheet holding your data and click the Create Chart from the Selection button, as shown below.

• Check out your final chart below.

Insights

• There’s no clear relationship between sales and profit margin. It’s impossible to draw the line of best fit that connects the majority of the dots.
• The average profit margin is 35.13%.
• The average sales revenue is $35.1k.

Advantages of Using a Scatter Chart in Excel Using Variables

• Scatter Chart is incredibly crucial, especially if your goal is to display correlational insights.
• Data visualization experts consider a point chart an apt design for showing the non-linear relationship in data.
• These charts are amazingly easy to read, even for non-technical audiences.
• The range and flow of data in this type of visual is readily visible. This means you can easily point out the maximum and minimum points in your data at the snap of a finger.

Why Do We Use a Scatter Plot Graph in Excel with 3 and 2 Variables?

XY Plots in Excel are best suited for visualizing data with more than 2 key variables.

The key advantage is that you don’t have to use more charts to visualize complex data with more variables.

Check out the common uses of the chart below:

• You can use a Point Plot in Excel to investigate the relationship between key metrics (you’re actively tracking).
• You can use this chart in the quality control process as a corrective action approach, especially when investigating the causal factors of poor performance.

Keep reading because, in the next section, we’ll reveal the best point chart maker you can use to visualize your data quickly and easily.

Examples of 3-Variable Scatter Graph Use Cases
Industry	Variables Used in Excel (X, Y, Z)	Description
Retail	Sales (X), Orders (Y), Stock Level (Z)	Analyze product demand versus inventory levels.
Marketing	Ad Spend (X), Leads (Y), ROI (Z)	Visualize campaign efficiency and return.
Manufacturing	Machine Hours (X), Output (Y), Defect Rate (Z)	Spot trends in productivity and quality.
Healthcare	Patients Treated (X), Staff Count (Y), Recovery Time (Z)	Measure service efficiency and health outcomes.
Finance	Investment (X), Return% % (Y), Risk Score (Z)	Compare performance across financial assets.
Education	Study Hours (X), Exam Scores (Y), Attendance (Z)	Understand engagement and academic success.
Logistics	Delivery Time (X), Distance (Y), Fuel Cost (Z)	Evaluate delivery route efficiency and cost.
Real Estate	Size (X), Price (Y), Location Score (Z)	Find pricing patterns relative to location and size.
E-commerce	Traffic (X), Conversions (Y), Abandonment Rate (Z)	Uncover sales funnel optimization opportunities.
SaaS	Active Users (X), Revenue (Y), Churn Rate (Z)	Analyze growth, monetization, and retention.

How Does a Scatter Plot in Excel with 2 or 3 Variables Display Various Types of Relationships?

The most common use of this chart is to display the insights into two or three variables in your data.

The relationships observed can be:

• Positive

A positive correlation depicts a rise. It’s depicted as data points sloping upwards from the lower-left corner of the chart towards the upper-right.

• Negative

Conversely, a negative correlation depicts a fall. It’s depicted as data points sloping downwards from the upper-left corner of the chart towards the lower right.

• No relationship

Data that are neither positively nor negatively correlated is considered uncorrelated (null).

You can use a Scatter Chart with 3 variables to accomplish the following:

• Identify correlational relationships

Use Scatter Plots if your goal is to display the relationships between key metrics in your data.

• Identification of data patterns

Also, you can use the chart to display trends and patterns of variables in your data. The trend can point upwards, downwards, or flat areas (no change).

Top 6 Best Practices For Excel XY Plot

1. Label Axes Clearly: Ensure both X and Y axes are clearly labeled with descriptive titles and units of measurement.
2. Use Appropriate Scales: Choose scales that best represent the data, avoiding distortion or misleading interpretations.
3. Select Data Points Wisely: Highlight data points with different colors or markers to differentiate between categories or series.
4. Add a Legend: Include a legend if multiple data series are plotted, to help identify each series.
5. Include Gridlines: Add gridlines to improve readability and allow for easier comparison of data points.
6. Optimize Data Range: Use an appropriate data range to avoid clutter and focus on relevant data.

Common Mistakes in 3-Variable Scatter Chart(Excel)
Mistake	Description	How to Fix
Using the default chart without customization	Results in unclear Z-variable encoding	Manually adjust the marker size or color for clarity
Overlapping data points	Too many similar values clutter the plot	Use transparency or jitter to spread points
Inconsistent axis scales	Misrepresents data relationships	Set consistent and relevant axis ranges
Missing axis titles	Confuses viewers about what’s being measured	Always label the X and Y axes clearly
No legend for Z-variable	Users can’t interpret size or color	Include a color/size legend explaining Z
Encoding categorical data	These Charts are for numeric data	Use bar or column charts for categorical variables
Too many series	Visual overload reduces insight	Limit to a few clear categories or groupings
Poor color contrast	Difficult for viewers to distinguish variables	Use high-contrast and accessible color schemes
Ignoring outliers	Outliers distort pattern perception	Identify and optionally remove or annotate outliers
Skipping data validation	Incorrect or missing values mislead the analysis	Clean and verify the data before plotting

FAQs

How do you make a Scatter Plot with 3 Variables in Excel?

Tools, such as Excel, come packed with a basic Scatter Chart with 3 variables, which implies you have to spend more time and energy editing.

But you can overcome the challenge above by downloading and installing a particular add-in for Excel called ChartExpo. The aforementioned tool can help you access a ready-made chart with 3 variables.

3-Variable Visualization in Excel with 3 Variables: Pros & Cons
Aspect	Advantages	Limitations
Visual Clarity	Helps reveal relationships among multiple variables in a single view	Can become cluttered with too many data points
Simplicity	Easy to interpret with X, Y, and Z dimensions	Requires manual customization for the third variable
Tool Availability	Can be created using Excel and enhanced with add-ins	Native Excel lacks built-in support for visual Z-variable encoding
Customization	Flexible formatting options via Excel charts	Not intuitive for novice users to adjust the marker size/color for Z
Insight Discovery	Identifies correlations and clusters	Lacks statistical rigor for predictive analysis
Accessibility	No coding required	Limited interactivity compared to BI tools
Versatility	Applicable across industries and domains	Not ideal for categorical or time-series data
Integration	Can be enhanced with ChartExpo for richer visuals	Add-ins may require installation and a learning curve
Data Density	Captures complex patterns in one view	Too many points can reduce readability
Storytelling	Strong at showcasing multivariate narratives visually	Can mislead without proper axis scaling or legend use

Wrap Up

As we said, a 3-variable visualization is one of the best-suited visualization designs for displaying causal relationships in data with 3 variables.

The visualization design uses a series of dots to display insights into two varying sets of data. Interpreting a three-variables visualization in Excel is amazingly easy, even for non-technical audiences (and readers).

To display relationships in your raw data, we suggest you give this type of chart in Excel a try.

Excel is the logical choice for many because it’s inexpensive. However, the tool produces less desirable charts, which require extra time and effort to customize.

How to create a Scatter Plot in Excel with 3 variables does not have to overwhelm or even stress you.

You have the option to install a particular add-in if your goal is to access ready-to-use charts that visualize relationships between variables.

We recommend installing third-party apps, such as ChartExpo, to access a ready-to-use three-variable scatter visualization. This easy-to-use data visualization tool comes as an add-on you can quickly download and install in your spreadsheet app.

ChartExpo is loaded with insightful and easy-to-interpret point charts, plus it offers a variety of other chart types. Best of all, you don’t need programming or coding skills to visualize your data using this Excel add-in.

Sign up for a 7-day free trial today to access a ready-made and crystal-clear 3-variables visualization with three variables for your data stories.