The Miami Heat is a team that plays basketball professionally. Did you know they also have a startup company that works with technology?
- The Heat uses lots of data and analytics for their business operations
- They developed their data platform called “601 Analytics.”
- This technology tracks customer activity and spending at games
- It helps the team make better decisions and predictions
- The startup is now selling this technology to other sports teams
Why does a basketball team need so much data? Let’s find out!
Miami Heat Creates Its Own Data Platform
A few years ago, the Miami Heat realized they needed better data about their fans and operations. No existing technology solution worked for them, so the team decided to build its own data platform from scratch.
The platform they created is called 601 Analytics. It gathers all kinds of customer data from games, including:
- When fans enter the stadium and which gates they use
- What concession items do they buy, like food, drinks, or team merchandise
- Their movements and activity levels around the arena
This data is analyzed to understand the fans better. The insights help the Heat make smarter operating decisions for upcoming games.
How 601 Analytics Improves the Fan Experience
The goal of 601 Analytics is to improve the overall experience for fans attending Heat games. Some of the ways it does this:
- Identifying bottlenecks at entry gates so staff can be redeployed
- Tracking which concession items are most popular to ensure adequate supplies
- Using purchasing data to suggest popular music playlists for pre-game entertainment
Having detailed analytics allows the Heat to enhance operations and cater to fans more effectively. It provides a blazing data trail about how people spend their time and money at games.
From Team Operations to Successful Startup
What started as an internal platform is now a thriving tech startup business for the Miami Heat. Their 601 Analytics software is currently used by over 20% of NBA teams.
Other professional sports teams noticed Miami’s data operation and asked to access the same capabilities. Realizing the business potential, the Heat made the strategic decision to spin off 601 Analytics into its own company.
The startup has expanded beyond basketball. Its venue analytics services are being used for concerts, comedy shows, and other live events. This year, it will be the first international client of a new arena opening in Manchester, England.
Data Helps With Even More Than Basketball
While data is crucial to Miami Heat’s business operations, that’s only some of what it’s used for. The team’s analytics extend to even running the massive nightclub located underneath their arena!
Using data about guest demographics, the club staff puts together music playlists that will appeal to different age segmentsโthe analytics guide what music genres and decades to incorporate for a better party vibe.
From basketball operations to in-venue entertainment, data plays an increasingly vital role for this tech-savvy sports franchise.
Conclusion
While the Miami Heat started out simply looking for better data about their fans, they ended up becoming an innovative tech startup, too. Their skills at gathering and utilizing customer analytics proved so valuable that the company grew into a successful business.
As technology becomes more embedded in all types of business operations, we may see more professional sports teams taking a similar data-focused approach. But the real question is – do you think technology and data make the game experience better or worse for fans?
