The UNNEST function is a crucial tool in SQL when dealing with data structured as arrays within a table. Instead of having a single row with an array of values, UNNEST expands that array into multiple rows, each containing one element from the original array. This makes it easier to perform operations on individual elements, such as filtering, aggregation, or joining with other tables. For example, imagine a table storing user preferences, where each user's preferences are stored as an array. UNNEST allows you to query each preference individually. It's a fundamental concept for working with semi-structured data in SQL databases. UNNEST is particularly useful when you need to treat each element of an array as a separate data point for analysis or further processing. It's a versatile function that simplifies complex queries involving array-based data.