Industry Analysis & Industry Trends
Operators that provide tax services typically generate a steady flow of revenue due to the necessary nature of filing taxes. However, a growing share of consumers and businesses are opting to file their taxes through software as they become attracted by online offerings. This has accelerated industry demand over the past five years, and enabled the industry to outpace growth for other tax-filing services. The industry is expected to continue its upward trend, as revenue is set to rise over the five years to 2016. Revenue for the Tax Preparation Software Developers industry will continue to rise over the five years to 2021, albeit at a slower rate, as price-based competition limits gains... purchase to read more
Industry Report - Starting a New Business Chapter
The industry has moderate barriers to entry. The relative ease of distributing software through the internet or offering services online has eroded many of the traditional barriers to entry throughout the entire software sector. New entrants to the industry that establish a website can sell their product throughout the country without the burden of distribution costs or the need to set up establishments in multiple geographic locations. However, whether these operators can generate significant revenue is highly dependent on establishing a large customer base.
The high level of market share concentration poses a significant barrier to new entrants. Customers that already are familiar with a certain product may be reluctant to switch to another. Add.. purchase to read more