NAICS 72

Accommodation and Food Services in Modesto, CA

Metro Market Score 78.3 (Difficult), ranked #285 of 298 metros. 1,060 establishments, 18,566 jobs.

Metro Market Assessment

Metro Market Score 78.3
Favorable 0-35
Moderate 35-48
Challenging 48-60
Difficult 60+
Difficult

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

💰High-Cost MarketRising Wages

Modesto stands out for high accommodation and food services labor costs. Wage competitiveness hits 84.2 (above the 70th percentile of metros), and year-over-year wage pressure at 93.2 signals continued increases. Plan for higher payroll if entering this market.

Industry Concentration
48.3
LQ: 1.02
Rank #144 of 298 metros
Wage Competitiveness
84.2
$30,696 avg wage
Growth Trend
11.4
Employment growth index
Rank #265 of 298 metros
Wage Pressure
93.2
YoY wage change index

1,060 Accommodation and Food Services Firms in Modesto

1,060
Establishments
+3.8% YoY
18,566
Total Employment
-3.0% YoY
$30,696
Average Annual Wage
+9.9% YoY
1.02
Location Quotient
Above national avg

Modesto vs California Statewide

How this metro's accommodation and food services market compares to California overall. The state ranks #47/51 for entry risk.

Measure Modesto CA Statewide
Overall Score 78.3 Difficult 57.2 High
Score Type Metro Market Score Entry Risk Score
Rank #285 of 298 metros #47 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 Modesto

Accommodation and Food Services in Other California 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 Modesto's accommodation and food services sector, the employment growth component (88.6) 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.