Small Screens, Big Impact: Mobile Adoption Fuels Intuit’s Transformation to Connected Services

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Company Debuts Next-Generation Mobile Solutions for Payments, Healthcare and Financial Services

MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)-- From filing taxes to creating a budget, from selling produce in India to taking credit card payments for collectibles at a local flea market, Intuit’s mobile solutions are changing the way people do business around the world.

And today, the company revealed the next generation of mobile products that will expand its portfolio of connected services. These range from innovations that will make it easier for the smallest of businesses to accept credit card payments, to others that will help doctors and patients communicate quickly, to a banking application that allows consumers to deposit a check from anywhere with just their mobile phone.

This new lineup debuted at the company’s Innovation Gallery Walk, a showcase of more than 20 mobile solutions designed to help Intuit’s 50 million customers manage and improve their financial lives. Today, more than 35 million people already use Intuit connected services, which includes Software-as-a-Service, mobile and other digital services that can be accessed any time, any place. These connected services generated 62 percent of the company’s revenue in fiscal year 2011 – nearly $2.4 billion – and are expected to grow to 75 percent of revenue by 2015.

“As our customers’ technology tools of choice increasingly become mobile devices we’re moving with them, creating innovative new offerings in every category we serve,” said Brad Smith, Intuit’s president and chief executive officer. “Connected services are driving customer acquisition and revenue growth in all of our businesses and mobile is accelerating these trends.”

Intuit is harnessing the power of mobile to solve important customer problems in new and innovative ways. Recent successes include SnapTax, the first start-to-finish tax prep app on a smartphone, and GoPayment, a mobile app and credit card reader that lets small businesses process credit cards on mobile devices, no matter where they are.

The Impact of Mobile on Connected Services Growth

Intuit is developing new to the world, “mobile first” solutions, as well as extending the capabilities of existing products to mobile platforms A core part of the company’s strategy, mobile is accelerating connected services growth by:

  • Driving new customer acquisition. Mobile is proving to be an effective channel for bringing new customers to Intuit franchises. For example, Mint, which has more than tripled its user base since being acquired by Intuit, is seeing growth in the use of mobile, with 35 percent of new users signing up via mobile.
  • Increasing customer engagement. The anytime, anywhere nature of mobile increases customer use of applications, which creates new monetization opportunities. For example, Intuit Financial Services’ mobile offerings, which are available through banks and credit unions, are now used by more than one million end users. These banking customers have on average 50 percent more interactions with their financial institution than those who only use online banking solutions. And more than 50 percent of Mint’s users are accessing the service through their mobile device.
  • Helping to enter new markets. In emerging markets, mobile provides opportunities for Intuit to solve new customer problems. For example, Intuit Fasal helps farmers in India get the best prices on their crops by delivering text messages that provide prices at local markets. Farmers report getting an average of 20 percent more for their produce as a result.

A Look at the Future

At the Innovation Gallery Walk, Intuit introduced several new mobile solutions that represent the next generation of products designed to help consumers and small businesses manage their financial lives anytime, anywhere. These included:

  • Intuit Financial Services Consumer Mobile Solutions – Intuit added a new solution to its mobile lineup offered by banks and credit unions. An enhanced version of Intuit’s Mobile Remote Deposit Capture will give banking customers the ability to take a picture of and immediately deposit checks using a mobile device. This will eliminate unnecessary trips to branches or ATMs and get customers faster access to deposited funds.
  • Prepaid Debit Card for Intuit GoPayment – To make it easier for small businesses to get started processing credit cards on a mobile device, GoPayment will soon enable users to deposit funds directly onto a prepaid debit card. This will make it faster to start taking payments because new users can sign up for GoPayment without needing to provide bank account details. For smaller businesses, it also provides a convenient way to keep their business finances separate from their personal funds. The prepaid debit card for GoPayment will be available later this fall.
  • Intuit Health iPad Patient Check-In and Mobile Inbox – Intuit debuted two new applications designed to improve relationships and communication between doctors and their patients. The Intuit Health iPad Patient Check-In replaces the paper clipboard patient registration process, meaning less paperwork for patients and improved patient flow and efficiency for doctors’ offices. In addition, a new Mobile Inbox for the Intuit Health Patient Portal will allow patients to communicate and accomplish key tasks like making appointments, getting lab results and paying their co-pay from their handheld devices. Both solutions are slated to be available in mid-2012.
  • ProOnGo Expense for Intuit App Center – ProOnGo Expense is one of many third-party mobile applications built on the Intuit Partner Platform that works with QuickBooks and QuickBooks Online. The ProOnGo app on Intuit App Center makes expense tracking, approval and reimbursement a breeze for QuickBooks users, empowering employees to submit expenses from anywhere using their Android, BlackBerry or iPhone devices.

Additional Resources:

About Intuit Inc.

Intuit Inc. is a leading provider of business and financial management solutions for small and mid-sized businesses; financial institutions, including banks and credit unions; consumers and accounting professionals. Its flagship products and services, including QuickBooks®, Quicken® and TurboTax®, simplify small business management and payroll processing, personal finance, and tax preparation and filing. ProSeries® and Lacerte® are Intuit's leading tax preparation offerings for professional accountants. Intuit Financial Services helps banks and credit unions grow by providing on-demand solutions and services that make it easier for consumers and businesses to manage their money.

Founded in 1983, Intuit had annual revenue of $3.9 billion in its fiscal year 2011. The company has approximately 8,000 employees with major offices in the United States, Canada, the United Kingdom, India and other locations. More information can be found at www.intuit.com.

Cautions About Forward-Looking Statements

This press release contains forward-looking statements, including expectations regarding future revenue growth from connected services; expectations regarding the functionality, timing and success of future mobile solutions; expectations regarding the percentage of revenue that will be generated from online services and connected services in 2015; and the belief that mobile will continue to accelerate connected services growth; and our belief that mobile services will create new monetization opportunities.

Because these forward-looking statements involve risks and uncertainties, there are important factors that could cause our actual results to differ materially from the expectations expressed in the forward-looking statements. These factors include, without limitation, the following: inherent difficulty in predicting consumer behavior; difficulties in receiving, processing, or filing customer tax submissions; consumers may not respond as we expected to our advertising and promotional activities; product introductions and price competition from our competitors can have unpredictable negative effects on our revenue, profitability and market position; governmental encroachment in our tax businesses or other governmental activities or public policy affecting the preparation and filing of tax returns could negatively affect our operating results and market position; we may not be able to successfully innovate and introduce new offerings and business models to meet our growth and profitability objectives, and current and future offerings may not adequately address customer needs and may not achieve broad market acceptance, which could harm our operating results and financial condition; business interruption or failure of our information technology and communication systems may impair the availability of our products and services, which may damage our reputation and harm our future financial results; as we upgrade and consolidate our customer facing applications and supporting information technology infrastructure, any problems with these implementations could interfere with our ability to deliver our offerings; any failure to properly use and protect personal customer information and data could harm our revenue, earnings and reputation; if we are unable to develop, manage and maintain critical third party business relationships, our business may be adversely affected; increased government regulation of our businesses may harm our operating results; if we fail to process transactions effectively or fail to adequately protect against potential fraudulent activities, our revenue and earnings may be harmed; any significant offering quality problems or delays in our offerings could harm our revenue, earnings and reputation; our participation in the Free File Alliance may result in lost revenue opportunities and cannibalization of our traditional paid franchise; the continuing global economic downturn may continue to impact consumer and small business spending, financial institutions and tax filings, which could negatively affect our revenue and profitability; year-over-year changes in the total number of tax filings that are submitted to government agencies due to economic conditions or otherwise may result in lost revenue opportunities; our revenue and earnings are highly seasonal and the timing of our revenue between quarters is difficult to predict, which may cause significant quarterly fluctuations in our financial results; our financial position may not make repurchasing shares advisable or we may issue additional shares in an acquisition causing our number of outstanding shares to grow; our inability to adequately protect our intellectual property rights may weaken our competitive position and reduce our revenue and earnings; our acquisition and divestiture activities may disrupt our ongoing business, may involve increased expenses and may present risks not contemplated at the time of the transactions; our use of significant amounts of debt to finance acquisitions or other activities could harm our financial condition and results of operation; and litigation involving intellectual property, antitrust, shareholder and other matters may increase our costs. More details about these and other risks that may impact our business are included in our Form 10-K for fiscal 2011 and in our other SEC filings. You can locate these reports through our website at http://investors.intuit.com. Forward-looking statements are based on information as of September 22, 2011, and we do not undertake any duty to update any forward-looking statement or other information in these materials.

Intuit Inc.
Holly Perez, 408-338-7752
holly_perez@intuit.com
or
Access Communications for Intuit
Jen Garcia, 415-828-2514
jgarcia@accesspr.com

Source: Intuit Inc.

Released September 22, 2011