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 9.2% - 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: Performing Arts, Spectator Sports, and Related Industries 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 2,491,408 employees across 166,356 establishments in this sector, with $187.5B of annual receipts flowing through the IRS SOI filings. The largest employer sub-industry is Amusement, Gambling, and Recreation Industries with 1,794,693 workers, followed by Performing Arts, Spectator Sports, and Related Industries 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.