Duff & Phelps - Competitors

Duff & Phelps Competition

Now Viewing Duff & Phelps's competition in: Accounting Services

Recent Developments

Small CPA Firms Face Challenges - Small CPA firms will face a myriad of challenges in the next 15 years, according to industry consultants. WebCPA reports that pressures include more clients retiring, CPA average age rising, and a labor shortage, along with outdated business models and technology, and regulatory issues. Consultants tell CPAs to update business models, outsource services, and prepare a business exit strategy at least five years prior to retirement.

Industry Prices Vary - Changes in US producer prices for accounting services vary by segment. Overall, prices at offices of certified public accountants rose 1.2 percent in April 2008 compared to year-earlier levels. Among sub-categories, prices for compilation and review increased 3 percent and for tax preparation and planning, 0.7 percent. In contrast, auditors' prices declined 3.6 percent.

Consumers Pay Higher Tax Prep, Accounting Fees - Consumers are paying consistently higher prices for accounting services. US consumer prices for tax return preparation and other accounting fees rose 5.6 percent in May 2008 from year-earlier levels. Consumers paid on average 4 percent more in 2007 than in 2006 and an increase of 26 percent over five years.

Competitive Landscape

Demand for services depends on new business formations, the increasing complexity of corporate business, and higher personal income. The profitability of individual firms depends on effective marketing and the right mix of services. Large firms can provide a range of services to large corporate customers and have the resources to serve customers with many locations. Mid-sized firms can effectively compete for large customers if they have special expertise. Although the industry is labor-intensive, the high value of services produces annual revenue per employee of about $175,000 in large offices.

Full Industry Overview For Accounting Services

Accounting Services Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US accounting and bookkeeping services is forecast to grow at an annual compounded rate of 3.1 percent between 2007 and 2012.

Accounting Services Growth Uneven

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.