Lesson 601: How the Miami HEAT Empowered Entrepreneurship from Within 🔥🏀
What the HEAT has built is a model for what modern sports organisations can become. Not only licensees. Not just partners. But product builders, brand creators, and market accelerators.
On today’s episode, I'm joined by Matthew Jafarian, Executive Vice President of Business Strategy at the Miami HEAT.
Matthew is also the co-founder of 601 Analytics, a data and analytics platform born inside the HEAT that’s now used by over 20% of the NBA, the league office, and teams across the NFL, NHL, NWSL, MLB, and (soon) MLS.
In this conversation, out tomorrow on all good platforms, we dig into how the role of data is evolving in sport, why teams need to start acting like the billion-dollar businesses they are, and what it means to build a company within a world-famous organisation.
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BIG IDEA
Lesson 601: How the Miami HEAT Empowered Entrepreneurship from Within 🔥🏀
601 Analytics wasn’t part of the master plan.
It was, however, the result of an organisation with an entrepreneurially-inspired leadership willing to back its people and their intuition.
When the Miami HEAT brought in Matthew Jafarian in 2015, the brief was simple: help lead the organisation’s digital transformation. Paper tickets were being phased out. Mobile access and data-driven experiences were the future. The team needed someone who could build products, not just implement tools.
Jafarian, who had previously co-founded and sold a mobile app startup, wasn’t convinced.
“I said no,” he recalls, speaking on the Sports Pundit Podcast, his first podcast appearance. “I didn’t want to go from a tech company to an organisation where we’d just be the IT guys in the corner.”
That changed after a playoff game visit and a behind-the-scenes tour of the HEAT operation.
“The brand of the Miami HEAT and Kaseya Center is as beautiful on the inside as it is on the outside. That’s not always the case.”
That is important context. While many teams talk about innovation, Jafarian saw that the HEAT actually backed it and nurtured it. From ownership to senior leadership, the support was there. From that foundation, he set about solving real problems inside the organisation.
“We created a product that helped the HEAT immensely,” says Jafarian, now EVP of Business Strategy and Co-Founder of the resulting spinout, 601 Analytics. “It helped us understand at any point in time what’s happening in our business. It’s like having an app for your business.”
It was only a few years into the journey that he realised other organisations were facing the same issues. Starting with the Milwaukee Bucks in 2020, what began as an internal tool was spun out as 601 Analytics.
“We were building something for us to meet our needs,” he says. “But our needs are not that different from every other sports team.”
Fast forward to today, and the data platform is now used by 20 percent of NBA teams, as well as clubs in the NFL, NHL, MLB, NWSL, and soon MLS.
This ability to recognise shared problems and act on them is what made the Miami HEAT uniquely well-positioned to build. But the same opportunity exists for all sports teams. They sit on troves of underused data. They operate physical venues. They have built-in audiences, powerful brand affinity, and pain points that external vendors often don’t know as intimately. In short, they have all the ingredients most startups wish they had.
And it’s not just data this applies to. The HEAT has also created Court Culture, an in-house fashion label that emerged from a simple insight: fans didn’t always want traditional licensed merch. Sometimes they wanted something that felt more Miami.
“A lot of the stuff we sell and make a ton of money on doesn’t even say HEAT on it,” Jafarian explains. “It just says Miami on it.”
Again, the idea came from within. People close to the team and fanbase saw the opportunity and were backed to build it. The team even became an NBA licensee to make it happen.
That mindset has brought wider benefits.
“That’s exactly how we frame it… we turned a cost centre into a revenue centre,” Jafarian says. “But it also made our core business a lot stronger. We were able to retain the best people in the business. And we kept them busy. Smart people want to keep solving the next problem.”
That same support from leadership now extends into venture investing. Jafarian leads the HEAT’s strategic investment efforts, helping identify startups that align with the team’s operational priorities.
“If we’re bringing on a vendor into the HEAT, we’re creating an instant showcase for them,” he says. “We’re improving their enterprise value. There could be an equity component as well.”
What the HEAT has built goes far beyond two business lines. It’s a model for what modern sports organisations can become. Not only licensees. Not just partners. But product builders, brand creators, and market accelerators.
When you consider how many industries sports touches (think: media, fashion, food, ticketing, travel), it’s hard not to wonder why more teams don’t take this approach.
They already have what most startups lack: users, distribution, trust, data, and access to capital. What they do need is the mindset to build, the curiosity to solve the problems right in front of them, and perhaps most importantly, the empowerment from ownership.
SP PODCAST
#56 Matthew Jafarian: How the Miami HEAT Empowered Entrepreneurship from Within 🏀🔥
On today’s episode, I’m joined by Matthew Jafarian, Executive Vice President of Business Strategy at the Miami HEAT.
Over the past eight years, Matthew has led one of the most ambitious digital transformations in American sports, overseeing the HEAT’s approach to data, technology, and strategy. But what really sets him apart is the fact that he hasn’t just transformed his own organisation, he’s also helping to reshape the entire industry.
Matthew is also the co-founder of 601 Analytics, a data and analytics platform born inside the HEAT that’s now used by over 20% of the NBA, the league office, and teams across the NFL, NHL, NWSL, MLB, and (soon) MLS. From fan insights to ticketing to food and beverage optimisation, it’s become the operating system behind some of the smartest front offices in sport.
In this conversation, we dig into how the role of data is evolving in sport, why teams need to start acting like the billion-dollar businesses they are, and what it means to build a company within a world-famous organisation.
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