Arts, Entertainment, and Recreation

The Arts, Entertainment, and Recreation sector (NAICS 71) aggregates 61 distinct sub-industries into one benchmarking unit. At the sector level, the average net profit margin is 9.8% — a figure that is in line with the national median. Averages at this tier can mislead because they blend high-margin specialty lines with commodity operators: Arts, Entertainment, and Recreation runs at 15.7%, while other sub-industries inside the same sector operate well below that headline. When you benchmark a business against a sector, always drop one level deeper to the NAICS 6-digit industry that matches your actual operations.

Scale metrics reinforce the story. Census Bureau CBP 2023 records 12,070,497 employees across 831,780 establishments in this sector, with $547.0B of annual receipts flowing through the IRS SOI filings. The largest employer sub-industry is Arts, Entertainment, and Recreation with 1,794,693 workers, followed by Arts, Entertainment, and Recreation at 542,145. Understanding which sub-industries drive headcount helps identify where labor cost trends, wage pressure, and hiring competition will concentrate — all of which feed directly into the profit margin shown above.

For operators, investors, and analysts, the right move is to use this sector page as a map rather than a conclusion. Click into any sub-industry below to see its actual NAICS-6 profit margin, entity-type breakdown (sole prop vs. S-corp vs. C-corp), state-level employment concentration, and SBA lending activity. Sector-level numbers are the aggregate; the real benchmarking precision lives one layer down in the IRS SOI and Census CBP micro-data that PlainBizBench surfaces on each industry page.