Import vs DirectQuery vs Live Connection — Which Should You Choose (and When)?

If you’ve ever built a Power BI report and paused at the “Data Connectivity Mode” screen, you’re not alone. Import, DirectQuery, Live Connection… sounds simple enough — but choosing the wrong one can mean the difference between a blazing-fast dashboard and a report that crawls.

This question dominates forums like Reddit, Microsoft Community, and Stack Overflow because every mode comes with trade-offs in speed, scalability, and refresh control. Let’s break it down the way a Power BI professional should think about it.

What These Modes Actually Mean?

Import Mode

This is Power BI’s default — and for good reason. It imports a copy of your data into Power BI’s internal data model (VertiPaq). Once loaded, reports run lightning-fast because everything happens in-memory.

Best for:
1. Small to medium datasets
2. Reports requiring lightning performance
3. Scenarios where near real-time data isn’t needed
 

Pros:

• Fast performance (in-memory engine)
• Supports all DAX features
• Works offline
• Excellent for data modelling and transformations

Cons:

• File size limits (1 GB for Pro, 10 GB+ for Premium)
• Data becomes stale until refreshed
• Refresh schedule limits (up to 8 times/day on Pro)

In short: Import is ideal when your data can be refreshed periodically (say, every hour or day) and fits comfortably in memory.

DirectQuery Mode

DirectQuery doesn’t store the data in Power BI — instead, it queries the source database live every time a user interacts with the report.

Best for:
1. Real-time or near real-time dashboards
2. Massive datasets (too large to fit in memory)
3. When data security requires staying at source
 

Pros:

• Always up-to-date data
• No data duplication
• Good for large, centralised SQL databases

Cons:

• Slower visuals (depends on source query speed)
• Limited DAX functions
• Limited transformations (no complex Power Query steps)
• Puts load on your database server

Trainer Tip:
Use DirectQuery only when real-time data is a must. For most business dashboards, near-real-time isn’t worth the trade-off in speed.

Live Connection

Live Connection is similar to DirectQuery, but instead of connecting to a generic data source, it connects to an existing Analysis Services model or another published Power BI dataset.

Best for:
1. Centralised enterprise models
2. Large organisations needing a single version of truth
3. Shared semantic models across multiple reports
 

Pros:

• Centralized model maintenance
• Consistent logic across reports
• Real-time sync with source dataset

Cons:

• No Power Query or data modelling at the report level
• You can’t add new calculated columns or tables
• Heavily dependent on the dataset’s performance and permissions

Think of it as:
“Borrowing someone else’s Power BI brain.”
You use their model — but can’t alter its memory.
 

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2. Quick Comparison: Import vs DirectQuery vs Live Connection

3. Hybrid Mode: The Best of Both Worlds?

Many advanced professionals now use Composite Models — a hybrid of Import + DirectQuery.
This allows some tables (like lookup/dimension tables) to be imported, while large transactional tables stay in DirectQuery.

Example:

• Import: Product, Date, Customer (small static tables)
• DirectQuery: SalesTransactions (millions of rows)

This setup gives you faster slicing and reduced server load — without losing real-time access where it matters most.

4. How to Choose Like a Pro?

Here’s how professionals make the call:

When in doubt, start with Import Mode, validate performance, and only move to DirectQuery or Live Connection if you must.

5. Real-World Scenario

Let’s say you’re building a sales dashboard for your retail chain:

• Your sales data sits in SQL Server (millions of rows).
• You refresh once every night.
• You need interactive visuals and complex DAX.

Answer: Import Mode.
Your data doesn’t need to be real-time, and Import will give the best experience.

Now imagine your CEO wants a real-time operations dashboard showing store stock every 5 minutes — that’s when DirectQuery earns its place.

Final Thought

Choosing the right connection mode is like choosing a car — it depends on the road you’re driving.

1. If your goal is speed, Import Mode wins almost every time.
2. If your goal is live data, DirectQuery has your back — but at a cost.
3. And if your goal is governance, Live Connection brings everyone under one roof.
 

The key is understanding what your dashboard really needs — not what sounds “advanced.”

Editor’s Note

This article is part of our “Top 10 Power BI Questions Answered” series, inspired by real-world queries from U.S. professionals across Reddit, Microsoft Community, and Quora.

At ExcelGoodies, we’ve trained 25,000+ professionals worldwide to move beyond Excel into the Microsoft Power Platform. Learn Power BI, Power Apps, Power Automate, and MS SQL through hands-on, project-driven learning.
 

Also Read (Q3 in the series):
“How do I choose between Calculated Columns, Measures, and Tables in Power BI?”

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