Scott Brothers Global

Delivered June 21st, 2019. Contributors: Ezeonye J., Barry, Sue M. and

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Scott Brothers Global: Business Overview

Scott Brothers Global is a new company founded/incorporated in 2017. As an umbrella company, it has several brands including business segments and extensions. Some of these include Scott Living, Scott Brothers Entertainment, Property Brothers, Casaza, and the Scott Brothers. Below, is an overview of Scott Brothers Global and its businesses.

Brief Historical backgroundScott Brothers Global (SBG) is a lifestyle and entertainment company founded in 2017 by twin brothers Drew and Jonathan Scott in Las Vegas, Nevada, United States. 
While the brothers have been involved with real estate since they were teenagers, Scott Brothers Global started off as a film company when the brothers, in addition to their older brother, JD, founded Dividian Production Group in 2004.
By 2010, Scott Brothers Entertainment was formed from Dividian Production Group before becoming Scotts Brothers Global in 2017, as an umbrella company.
Corporate/organizational structureSBG's mission statement is "to build aspirational lifestyle brands, content, and experiences rooted in family, style, and fun.”
While the corporation has operations in the US and Canada, its current headquarters is in Nashville, Tennessee, having been recently moved from its birthplace of Las Vegas.
The company has two corporate offices: in Las Vegas and Toronto, Canada.
According to its LinkedIn profile, it has 11-60 employees.
Its top executives include the following:
 David Dembroski — President
 Laura Aldrich — Executive Vice President, Licensing
 Stephanie Pierotti — Vice President, Marketing
 Alina Duviner — Vice President, Communications
 Amy Mellen — Vice President, Production Design
 Michael Kim — Senior Vice President, Corporate Strategy & Leadership 

By virtue of its incorporation, Scott Brothers Global became an umbrella company to several brands which highlight its business segments, and other extensions. Some of these include Drew and Jonathan, Scott Living, Scott Brothers Entertainment, and Casaza.
Acquisitions, partnerships, and investmentsIn May 2019, SBG acquired the Property Brothers brand and the related IP rights from its long-time producers since 2011, Cineflix Media. SBG's Scott Brothers Entertainment will take over the production of the popular show. Although, as part of the deal/partnership, Cineflix will partake in revenue benefits from the show.
In September 2018, SBG partnered with Kohl's as the SBG launched its exclusive home lifestyle collection, Scott Living at Kohl’s. SBG sought to leverage the omnichannel retailer's market presence with over 1,100 stores in 49 states. The exclusive home collection is expected to launch by fall in 2019.
SBG has partnered with Storm 8, a software developer, to develop the "Property Brothers" mobile game based on the popular show.
SBG's most recent investment efforts have been channeled into enhancing the brand by investing in its teams and expertise. Also, as part of its plans for 2019, SBG hopes to continue its expansion drive.
Revenue ModelSenior Vice President, Mike Kim, leads SBG's business development in increasing "the company's revenue, digital media exposure, and market awareness, both nationally and internationally.
SBG acquires customers and generates revenue mainly from "millions of viewers and fans through its multiple HGTV programs focused on home renovation and transformation."

business segmentsScott Living (retail) Scott Living was launched in 2015 by the Scott brothers. Its extension, Dream Homes by Scott Living, focuses on the design of customized, high-end, and luxurious home elements.
Scott Living is headed by SBG's new VP of Production Design, Amy Mellen. She leads the design and creative team "on design direction for the brand’s nearly 2,500 SKUs (stock keeping units)."
SBG's Scott Living is also situated in SBG's new headquarters in Nashville, Tennessee.
Last year, Scott Living generated $250 million in revenue from the retail sales of its home collection consisting of a broad area rug collection, furniture, décor, textiles, and bedding.
In the fall of 2019, the brand hopes to expand its collection in about 1,100 Kohl’s locations across the U.S.
Property Brothers (Real Estate Business)The twin brothers were already involved in real estate as teenagers by renovating houses. They progressed in this line and in time, started their own real estate and construction businesses, Scott Real Estate, Inc. "This eventually caught the eye of producers and led to the beginnings of Property Brothers."
The reality show features hosts Drew as a real estate expert and Jonathan as a licensed contractor. Together, the duo provides solutions to various housing issues for its clients.
The show is watched by millions of fans in over 150 countries. 
Its new shows will be hosted in Las Vegas and Toronto.
Casaza Casaza, SBG's latest venture that was launched in the US in October 2018, is "a consumer-facing design platform" where the brothers and their team of engineers showcase curated looks and designs.
The aim was to provide a convenient platform "where visitors can be inspired and find everything they’ll need to renovate and rejuvenate their spaces, through curated content, high-quality products, and world-class professionals."
Scott Brothers Entertainment Scott Brothers Entertainment was launched as a film company by the Scott twin brothers in 2010 from Dividian Production Group, co-owned by their older brother.
By 2013, the brothers, Drew and Jonathan, "shifted their focus from film to creating original content for television and digital platforms."
"Scott Brothers Entertainment is a full-service independent production company driven by a passionate commitment to produce engaging content across all platforms."
Scott Brothers Entertainment operates from SBG's corporate office in Toronto, Canada. However, it still has its development hubs in Nashville and Toronto.
Some shows it has produced include HGTV Insider, Brother vs. Brother: Jonathan vs. Drew, and Home United.
Through Scott Brothers Entertainment, SBG will produce the corporation's latest show, Property Brothers: Forever Home. The show is expected to premiere this summer.
'The Scott Brothers'"The Scott Brothers" is a music project that Drew and Jonathan embarked upon in 2015. As part of the project, the twin brothers wrote, recorded and released several songs/tracks with SB Records. They include:
Hold On — 2015
Let the Night Shine In — 2015
My House (The brothers' own country spin on Flo Rida’s wildly popular single) — 2017

"Hold On" garnered over 4 million views on both Vevo and YouTube. This was a huge contributing factor as the song hit "the Billboard Hot Country charts within the first month of its release."

SCOTT BROTHERS GLOBAL: EXTENSIONSIn 2018, SBG launched GuruHub.tv, a digital video content platform, where "fans can get direct access to their favorite celebrities and social influencers."
 Drew & Jonathan is a platform where the twin brothers showcase various posts and updates for its followers and fans ranging from lifestyle, food, travel to family posts.

RESEARCH STRATEGYTo provide an overview of Scott Brothers Global's businesses, we primarily visited its official websites, both through its home page and brand pages. While we were able to extract information with this approach, it was not sufficient to draft up a robust report. Hence, we looked into its various social media pages, especially Facebook. As a last resort, we extensively browsed through media reports and news aggregators. We then gathered available information from these steps and used them to synthesize this report.

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Scott Brothers Global: Company Size

Scott Brothers Global business was founded in 2017 and is currently headquartered in Nashville, Tennessee. They have about 11-50 employees and generated about $500 million in sales from 2017 to 2018.
Laura Aldrich, EVP Licensing of Scott Brothers, revealed in an interview that across 2017 to 2018, Scott Brothers Global generated about $500 million in sales from Scott Brothers-licensed products.
Scott Brothers Global was founded in 2017 with the only insight into its revenue available for 2017 to 2018. Hence, there could be no way to determine the growth rate of the company since the 2019 FY is not over yet. However, a 2019 publication by Furniture World News opined that "over the past year, all streams of the company’s portfolio have seen major growth and development". 
Although the company has not made its annual report public, their official LinkedIn page reveals an estimate of 11-50 employees, with 21 employees on LinkedIn.
In February 2019, Scott Brothers Group announced that they were launching a new headquarters in Nashville, Tennessee. The publication by Furniture World News reported that they will be retaining their "corporate office in Las Vegas, Nevada and its television production company office in Toronto, Canada."
The Las Vegas office is located at 8022 S. Rainbow Blvd, Suite #421, Las Vegas, Nevada 89119.
Research Strategy:To provide a complete analysis of Scott Brothers Group, our first approach was to search for any useful information on the official website of the company. Unfortunately, the website has little or no information on the company. There is no press section, about section, contact address section, and others. Then we proceeded to search on the websites of their subsidiaries as found on their website. We hoped to search for any press release by the company or annual report that could provide information on the revenue of the company, the number of employees, and the number of locations. However, no useful information was found.

Our next approach was to search for revenue data from third-party websites such as ZoomInfo, Hoovers, Craft.co and others. While we found revenue data on Scott Brothers Entertainment — a subsidiary of Scott Brothers Global — on Hoovers, no third-party website has any detail on Scott Brothers Entertainment. Then we searched for any interview by top officials from the company. Luckily, we found a publication which quoted the EVP of the company where she gave an insight into the company's revenue.

Furthermore, to search for data on the locations of the company and their addresses, we resorted to the social media pages and media publications. We found that the company moved its headquarters from Las Vegas to Nashville in February 2019, however, they retained the Las Vegas office, as well as another office in Toronto. In light of this, we further searched for the addresses of these locations from media pages, blog posts, and social media. We could only find the address for the Las Vegas office on their official LinkedIn page.

To conclude, the likely reason for the unavailability of detailed information on this company is because of the limited availability of information about the company based on its newness.

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Scott Brothers Global: Customer Demographics

The viewers of the Scott Brothers portfolio of TV productions have a median age of 58 and a median income of $83,000. Moreover, 66% of their audience are female while 34% are male. Below are some other demographic information on Scott Brothers Global customers.
The Company  Scott Brothers Global is an umbrella organization, which includes Drew and Jonathan, a lifestyle company, home furnishing brands Scott Living and Casaza, and the flagship company Scott Brothers Entertainment.
Under Scott Brothers Entertainment, Jonathan and Drew Scott host a number of renovation shows on HGTV, including Property Brothers, Property Brothers at Home, Property Brothers Buying and Selling, Brother vs Brother, Jonathan vs Drew, and Property Brother's at Home: Drew's Honeymoon House.
The Scott Brothers Entertainment also produces HGTV Insider, Home United, Reno, Set, Go, Menu Match-Up, and Half Price Paradise in their production and development sites in Toronto and Las Vegas.
Their newest show Property Brothers: Forever Home made its debut on May 29, 2019, which garnered the highest series premiere rating for the network since March 2017. The show's premiere viewership in the P25-P54 was up by 56% compared to the six weeks before that period. The show attracted more than 3.7 million total viewers, becoming the second most-watched cable program among women aged 25-54, and made HGTV as one of the top five cable networks for the night.
Property Brothers Property Brothers is now ranked as the third most popular show on the HGTV channel.
 Crossover appeal seemed to be significant for the shows that the Scott brothers star in on HGTV. 
A graph of the crossover viewership, which includes Property Brothers, Property Brothers at Home, Property Brothers Buying and Selling, Brother vs Brother, Jonathan vs Drew, and Property Brother's at Home: Drew's Honeymoon House, can be seen here.
Viewership DemographicsThe following demographics, while for HGTV as a network, also applies to the Property Brothers portfolio of TV shows on that network.
Based on a 2018 survey conducted in the US, the viewership by age of HGTV was as follows:
 26.47% of respondents aged 18-29 stated that they watched HGTV in the previous month.
 24.29% of respondents aged 30-49 stated that they watched HGTV in the previous month.
 31.44% of respondents aged 50-64 stated that they watched HGTV in the previous month.
According to the National Media Spots Inc., 34% of those who watch HGTV programs are male while 66% are female.
The viewers of HGTV programs have a median age of 58. Twenty-two percent of the viewers are aged 18-34, 37% are in the 35-54 age range, and 41% are aged 55 and above.
When it comes to educational attainment, 52% have attended college.
As for home ownership, 80% have their own house while 18% are renting.
The median household income of HGTV viewers is $83,000. Twelve percent have an income of $30,000-$49,999, 17% earn $50,000-$74,999, and 54% earn at least $75,000.
 Thirty-four percent of households that watch HGTV have at least one child.
Research Strategy:In searching for the demographics of the Scott Brothers Global customers, we looked for data on any of the sites managed by the company, including the four main corporate sites outlined in the findings.  We found that the company is barely two years old and has not published this kind of information yet.

We then chose to focus our research on the Scott Entertainment Company since it is the largest and most relevant section of the company. Also, all the other companies are offshoots of the original and feed potential customers through the TV shows. Using Statista and media sites like Broadcasting Cable, MultiChannel, and Wide OpenCountry, we were able to find some specific statistics on viewership and some discrete demographic information, but nothing with a complete picture. We then broadened the criteria to consider HGTV network as a whole. Given the size of the Scott Brothers portfolio, its ranking on HGTV, the crossover effect it has, and the fact that 24 hours a week of the shows on HGTV this week were produced by the Property Brothers, we used the viewership demographics for HGTV to reflect the customers of Scott Brothers Global.