Accommodation and Food Services

The Accommodation and Food Services sector (NAICS 72) aggregates 34 distinct sub-industries into one benchmarking unit. At the sector level, the average net profit margin is 5.5% - a figure that is below the national median. Averages at this tier can mislead because they blend high-margin specialty lines with commodity operators: Accommodation runs at 5.7%, 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 14,608,170 employees across 784,882 establishments in this sector, with $529.8B of annual receipts flowing through the IRS SOI filings. The largest employer sub-industry is Food Services and Drinking Places with 12,644,827 workers, followed by Accommodation at 1,963,343. 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.