DIY U.S. Online Tax Prep Filings Up 11 Percent vs. Year Ago
Intuit Leads Market with 60 Percent of Tax Returns Filed Online
RESTON, VA, May 31, 2012 – comScore, Inc. (NASDAQ: SCOR), a leader in measuring the digital world, today released an analysis of the Online Tax Preparation segment for the tax season ending April 18, 2012, which showed that the volume of tax returns or units filed online grew 11 percent from the previous year. Among online do-it-yourself (DIY) tax preparation providers, comScore data showed that Intuit continued to lead the market with nearly 60 percent of all tax units filed online through the end of the tax season. The three largest DIY online tax preparation providers (Intuit, TaxACT and H&R Block) accounted for more than 92 percent of DIY tax units filed online for the season.
“The sustained growth in the volume of tax units filed online in early 2012 shows that Americans continue to become more comfortable with filing taxes online and appear to be especially reliant on market leaders in the online tax prep category to meet their tax needs,” said Brian Jurutka, comScore Senior Vice President. “The top three DIY online tax prep providers dominated the category with a combined 92 percent of all online filings, offering a strong indication that customers value trusted brands for such important financial undertakings.”
Top 3 Online Tax Prep Providers Continue to Account for 9 in 10 Online Tax Units Filed
An analysis of the share of online tax units or returns filed through online tax preparation services for the tax season through April 18, 2012 shows that Intuit’s TurboTax service led the way with 59.8 percent of all self-prepared units filed online. The number of returns filed through TurboTax grew 11 percent vs. year ago – the second highest growth rate seen for this category. TaxACT, recently acquired by InfoSpace, ranked second with 17.7 percent of tax units and a year-over-year growth rate of 9 percent in the number of returns filed online. H&R Block rounded out the top 3 with 14.7 percent market share while posting the strongest year-over-year growth rate in number of returned filed at 20 percent.
Online DIY Tax Preparation Provider Share of Online Tax Units Filed*
Season though April 18, 2012
Total U.S. – Home and Work Audience
Source: comScore Tax Benchmarker
|Online Tax Preparation Provider||Share of Online Tax Units Filed|
|Season through April 19, 2011||Season Through April 18, 2012|
*Non-Free File Alliance (FFA)
Top 3 Providers Also Dominate Display Advertising for Tax Prep Category
An analysis of display advertising in the Tax Preparation & Advisory category during Q1 2012 shows that the top 3 online tax prep providers accounted for more than 93 percent of all category display ads during the quarter. Intuit led the category with 36 percent of display ad impressions, followed closely by H&R Block and TaxAct, each at nearly 29 percent.
Tax Preparation Advertiser Share of Display Ad Impressions
Total U.S. - Home and Work Audience
Source: comScore Ad Metrix
|Advertiser||Share of Category Display Ad Impressions|
|Tax Preparation & Advisory||100.0%|
“Online advertising is becoming a more important part of the marketing mix for the tax prep category, and we once again saw the top 3 providers dominate the landscape with more than 90 percent market share,” added Mr. Jurutka. “However, while Intuit holds a strong leadership position in terms of share of online filings, it maintained that position without investing a commensurate share of online advertising.”
comScore, Inc. (NASDAQ: SCOR) is a global leader in measuring the digital world and preferred source of digital business analytics. For more information, please visit www.comscore.com/companyinfo.