NAICS 72

Accommodation and Food Services in Phoenix-Mesa-Chandler, AZ

Metro Market Score 55.9 (Challenging), ranked #161 of 298 metros. 9,214 establishments, 218,810 jobs.

Metro Market Assessment

Metro Market Score 55.9
Favorable 0-35
Moderate 35-48
Challenging 48-60
Difficult 60+
Challenging

Lower is better. Relative to national accommodation and food services average.

💰High-Cost Market📈Rapid GrowthRising Wages

Wage costs in Phoenix-Mesa-Chandler's accommodation and food services sector are well above the metro average, with wage competitiveness at 89.3 and rising pressure at 73.7. New entrants should factor higher labor costs into their financial projections for this market.

Industry Concentration
48.7
LQ: 1.02
Rank #145 of 298 metros
Wage Competitiveness
89.3
$32,198 avg wage
Growth Trend
77.8
Employment growth index
Rank #67 of 298 metros
Wage Pressure
73.7
YoY wage change index

9,214 Accommodation and Food Services Firms in Phoenix-Mesa-Chandler

9,214
Establishments
+0.9% YoY
218,810
Total Employment
+2.1% YoY
$32,198
Average Annual Wage
+4.2% YoY
1.02
Location Quotient
Above national avg

Phoenix-Mesa-Chandler vs Arizona Statewide

How this metro's accommodation and food services market compares to Arizona overall. The state ranks #40/51 for entry risk.

Measure Phoenix-Mesa-Chandler AZ Statewide
Overall Score 55.9 Challenging 46.9 Elevated
Score Type Metro Market Score Entry Risk Score
Rank #161 of 298 metros #40 of 51 states

Metro and state scores use different methodologies (metro has 4 QCEW-based metrics; state adds BDS survival and momentum data). Direct score comparisons are approximate.

Other Industries in Phoenix-Mesa-Chandler

Accommodation and Food Services in Other Arizona Metros

About Metro Market Score: A weighted composite of industry concentration (25%), wage competitiveness (25%), wage pressure (20%), and employment growth trend (30%). Lower scores indicate more favorable conditions. For Phoenix-Mesa-Chandler's accommodation and food services sector, the wage competitiveness component (89.3) has the strongest pull on the composite. Metro scores use QCEW data only (no BDS survival data at metro level). Read full methodology →

Data Sources

Data period: 2024. Last updated: April 2026.