NAICS 72

Accommodation and Food Services in Ann Arbor, MI

Metro Market Score 59.3 (Challenging), ranked #178 of 298 metros. 733 establishments, 13,791 jobs.

Metro Market Assessment

Metro Market Score 59.3
Favorable 0-35
Moderate 35-48
Challenging 48-60
Difficult 60+
Challenging

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

Rising Wages

Ann Arbor's accommodation and food services sector saw employment decline over the past year (growth trend: 9.7). That contraction, combined with a 59.3 market score, puts this metro in the lower half for market conditions. Understand why the local market is shrinking before committing.

Industry Concentration
2.0
LQ: 0.70
Rank #6 of 298 metros
Wage Competitiveness
67.1
$27,829 avg wage
Growth Trend
9.7
Employment growth index
Rank #270 of 298 metros
Wage Pressure
74.7
YoY wage change index

733 Accommodation and Food Services Firms in Ann Arbor

733
Establishments
-6.0% YoY
13,791
Total Employment
-3.2% YoY
$27,829
Average Annual Wage
+4.5% YoY
0.70
Location Quotient
Below national avg

Ann Arbor vs Michigan Statewide

How this metro's accommodation and food services market compares to Michigan overall. The state ranks #10/51 for entry risk.

Measure Ann Arbor MI Statewide
Overall Score 59.3 Challenging 29.2 Low
Score Type Metro Market Score Entry Risk Score
Rank #178 of 298 metros #10 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 Ann Arbor

Accommodation and Food Services in Other Michigan 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 Ann Arbor's accommodation and food services sector, the employment growth component (90.3) 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.