QuickBooks Desktop vs. QuickBooks Online, Intuit Desktop vs Online User & Revenue Charts, Part 2

Accountants have long debated QuickBooks Desktop vs. QuickBooks Online. Please first click my prior post on this QuickBooks Desktop vs. QuickBooks Online, Users and Revenue, Part 1 of many.

The related new Intuit charts below, for its upcoming annual stockholder meeting, further clearly show Intuit gradually abandoning Desktop products.

QUICKBOOKS ONLINE NON-US USERS VS QUICKBOOKS ONLINE US

The first chart shows the very fast growth of QuickBooks Online. QuickBooks Online non-US (international) users grew at a Compound Annual Growth Rate (CAGR) of 100% a year, to 503,000, while U.S. users grew 43% a year, to 1,880,000 (total 2,383,000 at 7/31/17).

QuickBooks Online non-US (international) user CAGR was 100% a year, while the CAGR of QuickBooks Online U.S. users was 43% a year

QuickBooks Online non-US (international) users grew 100% a year, while QuickBooks Online U.S. users grew 43% a year, at 7/31/17.

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QUICKBOOKS ONLINE USERS VS. XERO USERS

It is important to relate QuickBooks Online Users to Xero Users. Total Xero Users only grew 44%, in its March 2017 fiscal year, to 1,035,000, while North America Xero users grew 48%.Therefore, QuickBooks Online and Xero international users should be about the same in two years, while QuickBooks Online stays very far ahead in U.S. users. You can already see this in Xero having users in 180 countries and QuickBooks Online having 226 countries.

INTUIT ONLINE USERS VS. INTUIT DESKTOP USERS

There were 37 million Intuit Online Users (growing 12% a year) vs. 9 million Intuit Desktop Users (falling 4% a year, at 7/31/17):

Intuit Online Users vs. Intuit Desktop Users, 7/31/17

37 million Intuit Online Users vs. 9 million Intuit Desktop Users

INTUIT ONLINE REVENUE VS. INTUIT DESKTOP REVENUE

Some QuickBooks Desktop supporters say Intuit gets more revenue from QuickBooks Desktop vs. QuickBooks Online. However, Intuit Online revenue is 73% of $5.2 billion, growing 11% a year, vs. Intuit Desktop Revenue (27%), falling 1% a year.

Intuit Online Revenue vs. Intuit Desktop Revenue 7/31/17

Intuit Online Revenue (73% of $5.2 billion, growing 11% a year) vs. Intuit Desktop Revenue (27%, falling 1% a year)

Only price increases exceeding inflation slowed the dollar losses from many less Intuit Desktop users. The above chart also shows two initial static years, followed by a big drop and two rather good years. This may well relate to Desktop user upgrades to Online, every three years, encouraged by Intuit Sunset policies. That should cause a big Desktop drop this year, as many more Desktop users find Online far better. We already see this in QuickBooks Online growing 56% a year, during the normally very slow quarter ended October 2017.

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