Intuit Corners the Personal Finance Market: Business Casual

 

Set to close in the second half of 2020—if it clears the regulatory process—Intuit’s acquisition of Credit Karma for $7.1 billion in cash and stock will basically limit taxpayers to essentially one key player in the tax filing space. As the parent company of TurboTax, Intuit’s purchase will corner the market to some degree, deepening its push into consumer finance further while making its product suite even more robust, as it’s gaining access to free credit scoring services.

“One of the converse things to look at is that I think is actually maybe a pro out of this is the fact that by consolidating financial information—by consolidating financial services—we garner a breadth of security that kind of comes with localizing into a central place where now we don’t have half of our credit information in one area and half of our personal finances here in another area, and then trying to figure out how to merge those two together,” remarked Bagley.

While Credit Karma will reportedly continue to operate as a standalone entity, with both companies able to leverage data from one another, unethical accusations leveraged against TurboTax in the past may bring unease to some of the 90 million Credit Karma users who are now under the Intuit umbrella.

“You often see with mergers or with companies kind of eating each other up, that there is no guarantee that the consumer is going to trust the new brand—the new consolidated brand,” said Litwin. “You gotta keep the consumer in mind because people can be kind of fickle, and just because you say things are going to be the same, they may not perceive it that way.”

For more Business Casual, listen live on MarketScale Radio on Wednesdays and Fridays at 9 AM CT, and follow us on Twitter at @BizCasualRadio.

Follow us on social media for the latest updates in B2B!

Latest

Your Relevant Solution: The Key Differentiators of Relevant Industrial
June 28, 2022
  Finding answers and delivering results is what Relevant Industrial is all about. As an industrial business in a competitive market, Relevant Industrial has learned to adapt in order to grow. Jeremy Wilcox, Read more
How Sustainability and Gamification Factor into the Future of 3PL Strategies
June 28, 2022
One of the most well-known phrases in many industries is: If you’re not innovating, you’re dying. While the saying applies to a variety of industries, today, it is cozignant of the transportation Read more
Bill Gates-Led Fund Backs Startup With Cheaper Way to Move Hydrogen
June 28, 2022
(Bloomberg) -- A hydrogen molecule is tiny. So tiny, in fact, that trying to store and transport it via existing tanks and pipes can end up causing cracks in steel. If hydrogen is to become a clean fuel of Read more