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Look Ahead: More consumers doing taxes online
Tax prep businesses, here's a tip for next April 15: 11% more US consumers did their taxes online in 2012 than in 2011. That trend is likely to continue, making the online space - and online tax-focused content - a potential windfall for tax prep businesses.
"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."
According to data from comScore Intuit is the leader for filing taxes online, with a 60% share of the DIY tax prep space. Intuit, TaxACT and H&R Block account for more than 90% of taxes filed online.
How can tax prep/filing services compete? comScore notes each of the top three filing services (DIY) captured more than 25% of display ad impressions, indicating that tax prep ads are important.
"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," said Jurutka.
In addition to advertising the kind of keyword-based content may be helpful in bringing consumers online. Once online, if the content is useful, there is a strong chance the user will remain online or remember that site when it comes time to file.
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