NAICS 72

Accommodation and Food Services Industry: 2026 Market Survival & Risk Analysis

Hotels, restaurants, bars, food services, catering

Accommodation and Food Services: 792,281 Establishments Nationwide

792,281
Total Establishments
14,092,892
Total Employment
$28,617
Average Annual Wage
40.0
Average Entry Risk Score

What Drives Accommodation and Food Services Risk

This sector has the lowest average wage ($28,617) and highest labor turnover among the industries we cover. Success depends on tourism volume, local population density, and seasonal demand. States with year-round visitor traffic or strong population growth show the best momentum. High-cost metro areas like D.C. and Hawaii consistently rank as the riskiest markets.

Accommodation and Food Services vs. All-Industry Average

How this sector compares to the average across all ten tracked industries.

Avg Entry Risk
40 This sector
43.1 All sectors
Avg Annual Wage
$28,617 This sector
$73,293 All sectors
Total Employment
14.1M This sector
9.6M Avg per sector

State Leaderboards for Accommodation and Food Services

Lowest Entry Risk

Best overall market conditions

  1. Delaware 19.8
  2. North Carolina 23.4
  3. New Mexico 24.5
  4. Idaho 26.2
  5. Wisconsin 28.2

Highest Entry Risk

Most competitive markets

  1. District of Columbia 81.4
  2. Hawaii 66.1
  3. Nevada 64.0
  4. New York 58.6
  5. California 57.2

Best for Firm Retention

Highest 5-year firm survival rates

  1. Delaware 100%
  2. Rhode Island 98.04%
  3. Alaska 96.08%
  4. New Hampshire 94.12%
  5. New Mexico 92.16%

Highest Growth Momentum

Fastest new firm formation

  1. Utah 100
  2. Idaho 82.15
  3. District of Columbia 74.43
  4. Florida 74.35
  5. Texas 74.09

Entry Risk by State

Geographic distribution of market entry risk for accommodation and food services. Click any state for detailed analysis.

Entry Risk by State Alaska — 31.6 · #14 Alabama — 44.1 · #37 Arkansas — 36.9 · #26 Arizona — 46.9 · #40 California — 57.2 · #47 Colorado — 46.9 · #41 Connecticut — 37.3 · #27 District of Columbia — 81.4 · #51 Delaware — 19.8 · #1 Florida — 53.6 · #44 Georgia — 43.6 · #35 Hawaii — 66.1 · #50 Iowa — 39.0 · #29 Idaho — 26.2 · #4 Illinois — 39.5 · #30 Indiana — 37.9 · #28 Kansas — 34.2 · #18 Kentucky — 36.9 · #25 Louisiana — 43.8 · #36 Massachusetts — 28.4 · #7 Maryland — 31.7 · #15 Maine — 55.0 · #46 Michigan — 29.2 · #10 Minnesota — 34.9 · #19 Missouri — 47.2 · #42 Mississippi — 35.6 · #21 Montana — 46.1 · #39 North Carolina — 23.4 · #2 North Dakota — 29.5 · #12 Nebraska — 41.5 · #31 New Hampshire — 28.8 · #8 New Jersey — 43.3 · #34 New Mexico — 24.5 · #3 Nevada — 64.0 · #49 New York — 58.6 · #48 Ohio — 29.3 · #11 Oklahoma — 35.0 · #20 Oregon — 42.8 · #32 Pennsylvania — 36.8 · #24 Rhode Island — 28.3 · #6 South Carolina — 29.2 · #9 South Dakota — 36.7 · #23 Tennessee — 29.5 · #13 Texas — 46.0 · #38 Utah — 36.5 · #22 Virginia — 33.6 · #16 Vermont — 51.0 · #43 Washington — 42.9 · #33 Wisconsin — 28.2 · #5 West Virginia — 33.7 · #17 Wyoming — 55.0 · #45
Low Moderate Elevated High

Tap a state to view details

All 51 States Ranked for Accommodation and Food Services Entry Risk

Complete ranking of all 51 states by Entry Risk Score for accommodation and food services. Lower score indicates better market conditions for new entrants.

Accommodation and Food Services Entry Risk by State

Rank State Risk Score Classification
#1 Delaware 19.8 low
#2 North Carolina 23.4 low
#3 New Mexico 24.5 low
#4 Idaho 26.2 low
#5 Wisconsin 28.2 low
#6 Rhode Island 28.3 low
#7 Massachusetts 28.4 low
#8 New Hampshire 28.8 low
#9 South Carolina 29.2 low
#10 Michigan 29.2 low
#11 Ohio 29.3 low
#12 North Dakota 29.5 low
#13 Tennessee 29.5 low
#14 Alaska 31.6 moderate
#15 Maryland 31.7 moderate
#16 Virginia 33.6 moderate
#17 West Virginia 33.7 moderate
#18 Kansas 34.2 moderate
#19 Minnesota 34.9 moderate
#20 Oklahoma 35.0 moderate
#21 Mississippi 35.6 moderate
#22 Utah 36.5 moderate
#23 South Dakota 36.7 moderate
#24 Pennsylvania 36.8 moderate
#25 Kentucky 36.9 moderate
#26 Arkansas 36.9 moderate
#27 Connecticut 37.3 moderate
#28 Indiana 37.9 moderate
#29 Iowa 39.0 moderate
#30 Illinois 39.5 moderate
#31 Nebraska 41.5 moderate
#32 Oregon 42.8 elevated
#33 Washington 42.9 elevated
#34 New Jersey 43.3 elevated
#35 Georgia 43.6 elevated
#36 Louisiana 43.8 elevated
#37 Alabama 44.1 elevated
#38 Texas 46.0 elevated
#39 Montana 46.1 elevated
#40 Arizona 46.9 elevated
#41 Colorado 46.9 elevated
#42 Missouri 47.2 elevated
#43 Vermont 51.0 elevated
#44 Florida 53.6 elevated
#45 Wyoming 55.0 elevated
#46 Maine 55.0 high
#47 California 57.2 high
#48 New York 58.6 high
#49 Nevada 64.0 high
#50 Hawaii 66.1 high
#51 District of Columbia 81.4 high

Not in Accommodation and Food Services?

Compare entry conditions across other sectors.

NAICS 23 Construction NAICS 62 Healthcare and Social Assistance NAICS 44-45 Retail Trade NAICS 54 Professional, Scientific, and Technical Services NAICS 52 Finance and Insurance NAICS 53 Real Estate and Rental and Leasing NAICS 56 Administrative and Support Services NAICS 51 Information NAICS 81 Other Services

How We Calculate Entry Risk

Entry Risk Score combines five normalized metrics: firm retention rates, growth momentum, market volatility, establishment density, and wage pressure. All indices are scaled 0-100 for consistency.

Read full methodology →