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Company > Blucora Inc: Business Model, SWOT Analysis, and Competitors 2023

Blucora Inc: Business Model, SWOT Analysis, and Competitors 2023

Published: Feb 17, 2023

Inside This Article


    In this blog article, we will delve into the business model, SWOT analysis, and competitors of Blucora Inc, a well-known company in the financial technology industry. Blucora Inc has gained recognition for its innovative approach to providing digital financial solutions to individuals and businesses. By exploring its business model, we will gain insight into how the company operates and creates value. Additionally, conducting a SWOT analysis will highlight the strengths, weaknesses, opportunities, and threats that Blucora Inc faces in the market. Lastly, we will examine its competitors to understand the competitive landscape Blucora Inc operates in as we look ahead to 2023.

    What You Will Learn:

    • Who owns Blucora Inc and the significance of its ownership structure
    • The mission statement of Blucora Inc and how it guides its operations
    • How Blucora Inc generates revenue and sustains its business model
    • An in-depth explanation of the Blucora Inc Business Model Canvas and its key components
    • The main competitors of Blucora Inc and how they compare in the market
    • A comprehensive SWOT analysis of Blucora Inc, examining its strengths, weaknesses, opportunities, and threats.

    Who owns Blucora Inc?

    Major Shareholders

    Blucora Inc., a leading provider of technology-enabled financial solutions, has a diverse ownership structure with both institutional and individual investors holding significant stakes in the company. Let's take a closer look at some of the major shareholders of Blucora Inc.

    Vanguard Group Inc.

    One of the largest investment management companies in the world, Vanguard Group Inc., holds a substantial stake in Blucora Inc. As per the latest available data, Vanguard owns approximately X% of the company's outstanding shares. Known for its passive investment strategies, Vanguard's presence as a major shareholder signifies confidence in Blucora's long-term growth potential.

    BlackRock Inc.

    BlackRock Inc., another prominent institutional investor, also has a significant ownership interest in Blucora Inc. Holding approximately Y% of the company's outstanding shares, BlackRock's involvement underscores the company's appeal to large investment firms. With its vast resources and expertise, BlackRock's support further strengthens Blucora's position in the market.

    Dimensional Fund Advisors LP

    Dimensional Fund Advisors LP, a global investment firm known for its quantitative investment strategies, is another major shareholder of Blucora Inc. Holding approximately Z% of the company's outstanding shares, Dimensional Fund Advisors LP's presence highlights the company's attractiveness to sophisticated investors. Their involvement suggests confidence in Blucora's ability to deliver sustainable financial solutions.

    Insider Ownership

    In addition to institutional investors, Blucora Inc. also has significant insider ownership. Insiders, including executives, directors, and employees of the company, have a vested interest in its success. They often own a considerable number of shares, aligning their interests with that of other shareholders.

    John Clendening

    John Clendening, the Chief Executive Officer of Blucora Inc., owns a notable percentage of the company's common stock. As the company's leader, Clendening's substantial ownership illustrates his commitment to driving Blucora's growth and generating value for shareholders. His confidence in the company's future prospects is an encouraging sign.

    Other Insiders

    Apart from the CEO, other executives and directors also have significant ownership stakes in Blucora Inc. Their ownership positions indicate a strong belief in the company's potential and their dedication to its success. The alignment of interests between insiders and other shareholders can foster an environment of trust and accountability.


    Blucora Inc. boasts a diverse ownership structure, with a mix of institutional investors and insiders holding significant stakes. The presence of major institutional shareholders like Vanguard Group Inc. and BlackRock Inc. reinforces the company's appeal and reflects confidence in its long-term growth potential. Moreover, insider ownership demonstrates a collective commitment to creating value for shareholders. Overall, Blucora Inc. enjoys strong support from a wide range of investors, positioning it well for future success.

    What is the mission statement of Blucora Inc?

    The Mission Statement of Blucora Inc: Empowering People to Achieve Financial Security

    Blucora Inc, a leading provider of technology-enabled financial solutions, has a clear and concise mission statement that reflects its commitment to empowering individuals to achieve financial security. The company's mission is to develop innovative products and services that help individuals make informed financial decisions, manage their wealth effectively, and ultimately attain their financial goals.

    Blucora Inc recognizes that financial security is a significant concern for people from all walks of life. Whether it is saving for retirement, managing investments, or planning for major life events, the company aims to provide the tools, resources, and guidance necessary for individuals to take control of their financial well-being.

    Driven by Innovation and Technology

    Blucora Inc's mission statement underscores its focus on leveraging innovation and technology to create user-friendly financial solutions. By harnessing the power of technology, the company aims to simplify complex financial processes and make them accessible to a wider audience. Through intuitive platforms and applications, Blucora Inc strives to empower individuals with the knowledge and tools required to navigate the intricacies of personal finance confidently.

    Education and Empowerment

    Blucora Inc understands that financial literacy is an essential component of achieving financial security. Alongside its commitment to innovation, the company places a strong emphasis on education and empowerment. By providing educational resources, personalized guidance, and relevant insights, Blucora Inc equips individuals with the knowledge and confidence needed to make informed financial decisions.

    Collaborative Approach

    Blucora Inc recognizes that no two individuals have identical financial situations or goals. The company adopts a collaborative approach, working closely with its clients to understand their unique needs and tailor solutions accordingly. By fostering a strong relationship built on trust and transparency, Blucora Inc seeks to empower clients to take ownership of their financial futures.


    In summary, Blucora Inc's mission statement is centered around empowering people to achieve financial security. By leveraging innovation, providing education, and taking a collaborative approach, the company aims to equip individuals with the tools and knowledge needed to make sound financial decisions, manage their wealth effectively, and ultimately attain their financial goals.

    How does Blucora Inc make money?

    Advertising and Search Revenue

    One of the primary ways Blucora Inc generates revenue is through advertising and search. Blucora operates several online platforms that serve as search engines and provide users with relevant search results. These platforms, such as InfoSpace and TaxACT, attract a significant amount of traffic and engagement.

    Blucora monetizes this traffic by displaying advertisements alongside search results. Advertisers pay Blucora to have their ads shown to users who are actively searching for specific products, services, or information. This targeted advertising model allows advertisers to reach a relevant audience, increasing the likelihood of converting those users into customers.

    In addition to search-related advertising, Blucora also generates revenue through affiliate marketing. By partnering with various companies, Blucora promotes their products or services to its user base. When users make a purchase through these affiliate links, Blucora earns a commission.

    Wealth Management Services

    Another significant source of revenue for Blucora Inc comes from its wealth management services. Blucora operates an affiliated registered investment advisor (RIA) called Avantax Wealth Management. Avantax provides comprehensive financial planning and investment management services to individuals and businesses.

    Avantax generates revenue through various fee-based services, including advisory fees, asset management fees, and financial planning fees. These fees are typically based on a percentage of the assets under management or a flat fee structure.

    Avantax's wealth management services cater to a wide range of clients, including high-net-worth individuals, small business owners, and retirees. By offering personalized financial advice and investment strategies, Avantax attracts clients who seek professional guidance in managing their wealth effectively.

    Software and Professional Tax Solutions

    Blucora Inc also earns revenue through its software and professional tax solutions division. This division primarily includes TaxACT, a popular tax preparation software used by individuals and tax professionals. TaxACT provides users with a comprehensive suite of tools and resources to simplify the tax filing process.

    TaxACT generates revenue through the sale of its software and various add-on services. Users can purchase different versions of the software based on their tax needs, such as basic, deluxe, or premium editions. Additionally, TaxACT offers additional services like audit defense, priority support, and state tax e-filing, which users can opt for at an additional cost.

    By providing reliable and user-friendly tax preparation software, Blucora caters to a large user base seeking cost-effective solutions for filing their taxes accurately. This division's revenue is mainly driven by the annual tax season, with increased sales and subscriptions during this period.

    In summary, Blucora Inc generates revenue through advertising and search revenue, wealth management services provided by Avantax Wealth Management, and software and professional tax solutions through TaxACT. These diverse revenue streams enable Blucora to maintain a profitable business model while catering to a wide range of customer needs.

    Blucora Inc Business Model Canvas Explained


    Blucora Inc is a leading technology-enabled financial solutions provider that offers a diverse range of products and services to individuals and businesses. In this section, we will delve into the business model canvas of Blucora Inc, explaining each component to provide a comprehensive understanding of how the company operates.

    Key Partnerships

    Blucora Inc has established strategic partnerships with various entities to enhance its offerings and expand its reach. These partnerships include collaborations with financial institutions, technology providers, and industry experts. By partnering with established players in the financial services sector, Blucora Inc is able to leverage their expertise, access new markets, and provide its customers with comprehensive solutions.

    Key Activities

    The key activities of Blucora Inc revolve around the development and deployment of innovative financial solutions. The company invests heavily in research and development to create cutting-edge technology platforms, algorithms, and tools that enable efficient financial management. Additionally, Blucora Inc actively engages in marketing and sales efforts to promote its products and attract new customers.

    Key Resources

    Blucora Inc's most valuable resources lie in its technological infrastructure, intellectual property, and human capital. The company maintains a state-of-the-art IT infrastructure that supports its various platforms and services. Additionally, Blucora Inc holds a significant portfolio of patents and proprietary algorithms, protecting its competitive advantage. The company also boasts a highly skilled and experienced workforce that drives innovation and delivers exceptional customer service.

    Value Proposition

    Blucora Inc's value proposition lies in its ability to simplify and enhance financial management for individuals and businesses. By leveraging advanced technology and data analytics, the company provides personalized solutions that help customers make informed financial decisions, optimize tax strategies, and achieve their financial goals. Blucora Inc's comprehensive suite of products and services, coupled with its commitment to delivering exceptional user experiences, sets it apart from traditional financial service providers.

    Customer Segments

    Blucora Inc serves a diverse range of customer segments, including individual investors, small businesses, and financial advisors. The company tailors its offerings to meet the unique needs of each segment, providing personalized solutions that address specific financial challenges. By catering to a broad customer base, Blucora Inc has built a strong and loyal customer following.

    Customer Relationships

    Blucora Inc places great emphasis on nurturing strong customer relationships. The company leverages technology to provide seamless and convenient customer experiences across various touchpoints. From user-friendly interfaces to 24/7 customer support, Blucora Inc strives to exceed customer expectations and build long-term relationships based on trust and satisfaction.


    Blucora Inc utilizes a multi-channel approach to reach its target customers. The company leverages digital marketing strategies, including online advertising and social media, to generate awareness and attract new customers. Additionally, Blucora Inc partners with financial institutions and financial advisors to distribute its products and reach a wider audience.

    Revenue Streams

    The primary revenue stream for Blucora Inc comes from the fees charged for its financial products and services. These fees may be subscription-based, transaction-based, or asset-based, depending on the specific offering. Additionally, the company may generate revenue through strategic partnerships and licensing agreements.


    Blucora Inc's business model canvas highlights the key components that drive its success as a technology-enabled financial solutions provider. By focusing on strategic partnerships, innovative offerings, exceptional customer experiences, and diversified revenue streams, the company has positioned itself as a leader in the industry. Blucora Inc's commitment to continuous innovation and customer-centricity ensures its continued growth and success in an increasingly competitive market.

    Which companies are the competitors of Blucora Inc?

    Overview of Blucora Inc.

    Before diving into the competitors of Blucora Inc., let's have a brief overview of the company itself. Blucora Inc. is a leading provider of technology-enabled financial solutions, serving both individuals and businesses. Their primary focus is on tax preparation, wealth management, and e-commerce solutions.

    Competitors of Blucora Inc.

    Blucora operates in a highly competitive market, where several companies are vying for market share and striving to provide similar financial solutions. Here are some key competitors of Blucora Inc.:

    1. Intuit Inc.: Intuit is a well-known technology company that offers various financial services, including tax preparation software TurboTax. They also provide solutions for small businesses, self-employed individuals, and accounting professionals through their popular product, QuickBooks.

    2. H&R Block: H&R Block is a leading tax preparation company, offering in-person and online tax filing services. With a vast network of retail tax offices, they serve a significant number of individuals and small businesses every tax season.

    3. Envestnet: Envestnet is a provider of wealth management solutions, offering technology-driven services to financial advisors and institutions. Their platform includes portfolio management tools, financial planning software, and investment research capabilities.

    4. Credit Karma: Credit Karma is a personal finance company that offers free credit scores, credit monitoring, and personalized financial recommendations. While they primarily focus on credit-related services, they have expanded to provide tax preparation services as well.

    5. Wealthfront: Wealthfront is a robo-advisor that offers automated investment management services. They provide personalized investment portfolios and financial planning tools, catering to individuals looking for low-cost and hassle-free investment solutions.

    6. ETRADE Financial Corporation: ETRADE is a well-established online brokerage firm, offering a range of financial services, including online trading, investment advice, and retirement planning. They also provide a suite of tools and resources for self-directed investors.

    These are just a few examples of the notable competitors in the market. It's important to note that the financial technology landscape is constantly evolving, and new players are emerging regularly, making the competition even more intense.


    Blucora Inc. operates in a competitive space, where companies like Intuit, H&R Block, Envestnet, Credit Karma, Wealthfront, and E*TRADE Financial Corporation are among its key competitors. Each competitor brings its unique strengths and offerings to the market, making it crucial for Blucora to continue innovating and delivering value to its customers to stay ahead in this dynamic industry.

    Blucora Inc SWOT Analysis


    1. Diversified Business Model: One of the key strengths of Blucora Inc is its diversified business model. The company operates through two main segments: Wealth Management and Tax Preparation. This diversification allows Blucora to mitigate risks and capitalize on opportunities in both sectors, creating a stable revenue stream.

    2. Leading Position in Wealth Management: Blucora's subsidiary, Avantax Wealth Management, is a leading provider of tax-focused wealth management services. With a network of independent financial advisors, Avantax offers a comprehensive suite of investment advisory, financial planning, and tax preparation services. This leading position allows Blucora to attract a wide range of clients and generate consistent revenue.

    3. Strong Technology Platform: Blucora has invested significantly in developing a robust technology platform to support its operations. The company's innovative technology solutions enable efficient tax preparation, financial planning, and wealth management services. This strong technology infrastructure gives Blucora a competitive advantage, enhancing its ability to deliver quality services to its clients.

    4. Strategic Partnerships: Blucora has established strategic partnerships with industry leaders to enhance its offerings. For instance, the company has collaborated with industry-leading tax software providers, enabling it to provide cutting-edge tax preparation solutions to its customers. These partnerships not only expand Blucora's product portfolio but also strengthen its market position.


    1. Dependence on Market Conditions: Blucora's business performance is heavily dependent on market conditions, particularly in the wealth management sector. Economic downturns or market volatility can negatively impact the company's revenue and profitability. This vulnerability to market fluctuations poses a significant weakness for Blucora.

    2. Concentration Risk: Blucora's revenue is concentrated in its Wealth Management segment, primarily through its subsidiary Avantax. This concentration exposes the company to risks associated with the performance of this segment. Any adverse developments or regulatory changes impacting the wealth management industry could have a substantial impact on Blucora's financials.


    1. Growing Demand for Wealth Management Services: The demand for wealth management services is expected to increase in the coming years, driven by factors such as an aging population, wealth accumulation, and the need for retirement planning. Blucora is well-positioned to capitalize on this opportunity due to its strong presence in the wealth management sector.

    2. Expansion into New Markets: Blucora can explore opportunities to expand its operations into new markets or geographies. By leveraging its technology platform and expertise, the company can target untapped markets and broaden its customer base. This expansion strategy can help Blucora achieve further growth and diversify its revenue streams.


    1. Intense Competition: The wealth management and tax preparation industries are highly competitive, with numerous established players and new entrants. Blucora faces the threat of losing market share to competitors who offer similar services or innovative solutions. To stay competitive, Blucora must continuously innovate and differentiate itself from rivals.

    2. Regulatory Environment: The wealth management and tax preparation industries are subject to extensive regulations and compliance requirements. Changes in regulations or increased scrutiny from regulatory authorities can pose challenges for Blucora. The company needs to stay up-to-date with regulatory changes and ensure compliance to mitigate the risk of penalties or reputational damage.

    Key Takeaways

    • Blucora Inc is owned by various institutional and individual investors, with no single majority owner.
    • The mission statement of Blucora Inc is to provide innovative financial solutions and services that empower people to achieve their goals.
    • Blucora Inc generates revenue mainly through its two business segments: Tax Preparation and Wealth Management.
    • The business model canvas of Blucora Inc encompasses key elements such as customer segments, value proposition, channels, customer relationships, revenue streams, key activities, key resources, and key partnerships.
    • Competitors of Blucora Inc include Intuit Inc, H&R Block Inc, and other tax preparation and wealth management companies.
    • In terms of SWOT analysis, Blucora Inc's strengths include its diversified revenue streams and strong market position, while its weaknesses involve reliance on external partners. Opportunities include the potential for growth in the wealth management sector, while threats include intense competition and regulatory changes.


    In conclusion, Blucora Inc is a company that is owned by various institutional investors and individual shareholders. Their mission statement revolves around providing innovative technology solutions to financial service providers and consumers. They generate revenue through their two primary business segments, which are tax preparation and wealth management. Blucora's business model canvas showcases their key activities, resources, and partnerships that contribute to their success. However, they face competition from companies like Intuit and H&R Block, who also operate in the tax preparation industry. Conducting a SWOT analysis of Blucora Inc reveals their strengths, weaknesses, opportunities, and threats, which can help understand their position in the market and potential future growth. Overall, Blucora Inc remains a prominent player in the financial technology industry, constantly adapting to market trends and consumer needs.


    What will be your SWOT analysis for the company?


    1. Strong brand recognition: The company has a well-established brand with a loyal customer base.
    2. Diverse product portfolio: The company offers a wide range of products, catering to different customer needs and preferences.
    3. Robust supply chain: The company has a well-developed supply chain network, ensuring timely delivery of products to customers.
    4. Strong financial position: The company has a healthy financial standing, with a strong cash flow and low debt levels.
    5. Skilled workforce: The company has a talented and experienced workforce, which contributes to its operational efficiency and innovation.


    1. Limited online presence: The company has a relatively weak online presence and e-commerce strategy, which may hinder its ability to compete in the digital marketplace.
    2. High production costs: The company's production costs are relatively high due to factors such as labor costs and raw material prices, which can impact its profit margins.
    3. Dependence on key suppliers: The company relies heavily on a few key suppliers, making it vulnerable to supply chain disruptions or price fluctuations.
    4. Limited international presence: The company has limited presence in international markets, which may restrict its growth opportunities and expose it to local market fluctuations.
    5. Slow adoption of new technologies: The company has been slow in adopting new technologies, which can hinder its competitiveness and ability to meet evolving customer demands.


    1. Expansion into emerging markets: The company can explore opportunities to expand its presence in emerging markets, where there is a growing demand for its products.
    2. E-commerce growth: The increasing trend of online shopping presents an opportunity for the company to strengthen its online presence and tap into the growing e-commerce market.
    3. Product diversification: The company can consider diversifying its product portfolio by introducing new product lines or exploring new market segments.
    4. Sustainability and environmental initiatives: The growing consumer demand for sustainable and eco-friendly products creates an opportunity for the company to develop and market such products.
    5. Strategic partnerships and acquisitions: The company can pursue strategic partnerships or acquisitions to expand its market reach, gain access to new technologies, or enter new business segments.


    1. Intense competition: The company operates in a highly competitive market, facing competition from both established players and new entrants.
    2. Economic downturns: Economic downturns or fluctuations can impact consumer spending and reduce demand for the company's products.
    3. Changing consumer preferences: Shifting consumer preferences and trends can pose a threat if the company fails to adapt and meet evolving customer demands.
    4. Regulatory changes: Changes in regulations or trade policies can impact the company's operations, supply chain, and international expansion plans.
    5. Counterfeit products and intellectual property infringement: The prevalence of counterfeit products and intellectual property infringement can undermine the company's brand value and revenue.

    What is the SWOT matrix of a company?

    The SWOT matrix is a strategic planning tool used by companies to analyze and evaluate their internal strengths and weaknesses, as well as external opportunities and threats. It is often presented in the form of a 2x2 matrix, with the four quadrants representing the following:

    1. Strengths: These are the internal factors that give a company a competitive advantage over its rivals. These can include strong brand reputation, skilled workforce, advanced technology, efficient processes, and unique products or services.

    2. Weaknesses: These are the internal factors that put a company at a disadvantage compared to its competitors. Weaknesses can include lack of financial resources, outdated technology, poor management, limited market presence, and low customer loyalty.

    3. Opportunities: These are the external factors that a company can exploit to its advantage. Opportunities can arise from changes in market trends, emerging technologies, new customer segments, strategic partnerships, or favorable government policies.

    4. Threats: These are the external factors that pose risks and challenges to a company's success. Threats can include intense competition, economic downturns, changing consumer preferences, regulatory changes, and disruptive technologies.

    By identifying and analyzing these factors, companies can develop strategies to leverage their strengths, overcome weaknesses, exploit opportunities, and mitigate threats. The SWOT matrix helps organizations gain insights into their current situation, make informed decisions, and develop effective action plans.

    What is SWOT analysis in investment?

    SWOT analysis is a strategic planning tool used to evaluate the strengths, weaknesses, opportunities, and threats associated with an investment. It helps investors assess the potential of an investment opportunity and make informed decisions.

    Strengths: This refers to the positive attributes or characteristics of the investment. It could include factors such as strong financial performance, market leadership, unique product offerings, or a competitive advantage.

    Weaknesses: These are the negative aspects or limitations of the investment. It could include factors such as high debt levels, poor management, outdated technology, or a weak market position.

    Opportunities: These are external factors that could positively impact the investment. It could include factors such as emerging markets, changes in regulations, new product or market opportunities, or technological advancements.

    Threats: These are external factors that could negatively impact the investment. It could include factors such as intense competition, economic downturns, changing consumer preferences, or legal and regulatory challenges.

    By analyzing these four aspects, investors can identify the potential risks and rewards associated with an investment opportunity, helping them make more informed investment decisions.

    What is a SWOT analysis for survival strategy?

    A SWOT analysis for survival strategy would involve assessing the strengths, weaknesses, opportunities, and threats related to surviving in a particular situation or industry. Here is an example of a SWOT analysis for survival strategy:


    1. Strong financial position: Having sufficient financial resources to sustain operations during challenging times.
    2. Diverse product or service portfolio: Offering a range of products or services that can cater to different customer needs and preferences.
    3. Established customer base: Having a loyal and existing customer base that can provide stability and support during difficult periods.
    4. Skilled and adaptable workforce: Having employees who possess the necessary skills and can quickly adapt to changing circumstances.
    5. Effective communication channels: Having efficient communication systems in place to relay important information and updates to stakeholders.


    1. Limited market share: Not having a significant market share, which can make it challenging to compete with larger and more established competitors.
    2. Lack of technological capabilities: Not having the necessary technological infrastructure or expertise to adapt to rapidly changing digital trends.
    3. Dependence on a single supplier or customer: Relying heavily on a single supplier or customer, which can be a vulnerability if they experience issues or decide to end the partnership.
    4. Inadequate contingency planning: Not having a well-developed plan in place to address unexpected events or crises.
    5. Limited brand recognition: Not having a strong brand presence, which can make it difficult to attract new customers or generate trust in the market.


    1. Emerging market demand: Identifying and capitalizing on new market trends or customer demands that arise during challenging times.
    2. Strategic partnerships: Exploring collaboration opportunities with other organizations to leverage combined strengths and resources.
    3. Digital transformation: Embracing digital technologies to enhance operational efficiency, reach a wider customer base, and adapt to changing market dynamics.
    4. Cost optimization: Identifying areas where costs can be reduced or eliminated to improve overall financial stability.
    5. Government support: Taking advantage of government initiatives or support programs aimed at assisting businesses during crisis situations.


    1. Economic downturn: Potential recessions or economic downturns that can reduce consumer spending and negatively impact the business.
    2. Intense competition: Facing strong competition from existing players or new entrants, which can put pressure on market share and profitability.
    3. Supply chain disruptions: Experiencing disruptions in the supply chain, such as shortages or delays in receiving crucial materials or components.
    4. Regulatory changes or compliance issues: Facing new regulations or compliance requirements that may increase costs or restrict business operations.
    5. Reputation damage: Suffering reputational damage due to poor crisis management or negative public perception.

    By conducting a SWOT analysis for survival strategy, organizations can identify their strengths to leverage, weaknesses to address, opportunities to pursue, and threats to mitigate, thus improving their chances of surviving and thriving in challenging circumstances.

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