TurboTax needs a better strategy for moving customers online

Posted Apr 8th 2009 1:30PM by Tom Taulli
Filed under: Intuit Inc (INTU)

Over the years, I've been a loyal customer of Intuit's (NASDAQ: INTU) TurboTax. The product has evolved nicely -- and has certainly made my life easier. In fact, I've recommended it to a variety of people.

But recently things haven't been so good. You see, when I originally purchased the product, there was no online offering. Instead, I would get a CD in the mail. Needless to say, it's kind of Old School.

Well, my CD drive went bad and so I can't load up the new version of TurboTax. So, I reached out to the folks at Intuit and asked if I can use the online version.

And, yes I can. But there's a hitch: I have to pay. Keep in mind I have already paid for the upgrade for the CD. In other words, I will need to pay twice!

It's definitely puzzling. Isn't it better -- and cheaper -- to move customers online?

I filled out their online survey, but no one has gotten back to me. What's more, I reached out to Intuit's PR firm – who relayed my message. Nothing.

With not much time to put my tax return together, I have little choice but to purchase the online version (which I will tonight for $74.95).

That may make it sound like Intuit has a sound strategy for increasing its profits. But the chances are pretty good I'll be using another provider for my 2009 return. Long-term, to keep delivering the stable profits its investors look for, Intuit needs a better plan for transitioning its loyal, Old School CD-ROM customers to the online version.

Tom Taulli is the author of various books, including The Complete M&A Handbook and the founder of BizEquity, a free online business valuation tool for small businesses.

Tags: TurboTax

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Reader Comments (Page 1 of 1)

4-08-2009 @ 2:36PM

Greg Hollingsworth said...

I wonder why you would be willing to shell out almost $80 to be able to use an online version of software that you technically already own.

For $16.95 you could give TaxACT Ultimate Bundle a try (you don't have to pay until you file). http://www.taxact.com

4-08-2009 @ 2:48PM

Eric said...

Why not go out and buy a new cd-rom drive? Simple to install, and will run you ~$25. I do agree that the software should be made available online if you've already purchased a hardcopy version.

4-10-2009 @ 1:56AM

colleen_gatlin said...

Hi Tom,
Colleen from TurboTax here. Not sure who you may have tried to contact, but I'm absolutely happy to help you out. I just tried you via twitter @TtaxColleen, so just contact me and we'll figure it out.

Thanks.