NAICS 44-45

Retail Trade in Alabama: 2026 Market Risk Report

Entry risk 46.4 (Elevated), ranked #36 of 51 states. 19,398 establishments, 239,581 jobs.

Entry Risk Assessment

Entry Risk Score 46.4
Low 0-30
Moderate 30-42
Elevated 42-55
High 55+
Elevated

ⓘ Lower is better. Relative to national retail trade average.

The retail trade sector in Alabama is tracking close to the U.S. baseline, with no extreme signals in volatility, saturation, or wage pressure. Entry conditions are within the national median range.

5-Year Firm Retention
41.2%
Percentile within industry
Rank #31 of 51 states
Growth Momentum
43.0
Scale of 0-100
Rank #20 of 51 states
Establishment Density
67.7
vs. national average
Rank #37 of 51 states
Market Volatility
3.3
Lower is more stable
Wage Pressure Index
22.7
Labor cost pressure

19,398 Establishments in Alabama

19,398
Establishments
+1.1% YoY
239,581
Total Employment
+0.3% YoY
$37,136
Average Annual Wage
+1.9% YoY

Alabama vs National Retail Trade Average

How Alabama's retail trade market compares to the national average across all 51 states.

Metric AL National Difference
Entry Risk Score 46.4 44.6 +1.8
5-Year Retention 41.2% 51.0% -9.8
Growth Momentum 43.0 42.9 +0.1
Market Volatility 3.3 24.4 -21.1
Establishment Density 67.7 49.0 +18.7
Wage Pressure 22.7 30.5 -7.8

Green = favorable vs national average. Red = less favorable. Metrics are relative within retail trade only.

Alabama Ranks #36 of 51 for Retail Trade

Alabama ranks #36 out of 51 states for retail trade market entry conditions.

Retail Trade Entry Risk by State

Rank State Risk Score Classification
#1 Wisconsin 33.3 moderate
#2 Nebraska 35.9 moderate
#3 Nevada 37.0 moderate
#4 Massachusetts 37.1 moderate
#5 Alaska 37.2 moderate
#36 Alabama You 46.4 elevated
Entry Risk by State Alaska — 37.2 · #5 Alabama — 46.4 · #36 Arkansas — 51.8 · #44 Arizona — 44.9 · #32 California — 44.0 · #28 Colorado — 42.9 · #23 Connecticut — 44.7 · #31 District of Columbia — 58.0 · #50 Delaware — 41.8 · #19 Florida — 51.0 · #43 Georgia — 47.5 · #38 Hawaii — 56.1 · #48 Iowa — 40.8 · #16 Idaho — 40.1 · #12 Illinois — 48.1 · #39 Indiana — 39.8 · #10 Kansas — 40.4 · #14 Kentucky — 46.4 · #36 Louisiana — 52.3 · #46 Massachusetts — 37.1 · #4 Maryland — 43.6 · #26 Maine — 44.1 · #29 Michigan — 40.5 · #15 Minnesota — 39.6 · #9 Missouri — 50.6 · #42 Mississippi — 59.2 · #51 Montana — 45.8 · #34 North Carolina — 43.4 · #25 North Dakota — 49.9 · #41 Nebraska — 35.9 · #2 New Hampshire — 48.7 · #40 New Jersey — 43.7 · #27 New Mexico — 39.9 · #11 Nevada — 37.0 · #3 New York — 57.2 · #49 Ohio — 39.2 · #8 Oklahoma — 46.3 · #35 Oregon — 42.9 · #24 Pennsylvania — 38.1 · #6 Rhode Island — 42.3 · #21 South Carolina — 44.3 · #30 South Dakota — 38.9 · #7 Tennessee — 42.8 · #22 Texas — 41.6 · #17 Utah — 40.3 · #13 Virginia — 41.6 · #17 Vermont — 52.1 · #45 Washington — 42.0 · #20 Wisconsin — 33.3 · #1 West Virginia — 52.8 · #47 Wyoming — 44.9 · #33
Low Moderate Elevated High

Tap a state to view details

About Entry Risk Score: A weighted composite of firm retention, growth momentum, market volatility, establishment density, and wage pressure. Lower scores indicate more favorable conditions. Read full methodology →

Data Sources

Data period: 2024. Last updated: February 2026. Next refresh expected: Q2 2026 (BLS QCEW update).

Compare to Another State

How does Alabama stack up against other states for retail trade?

Select a state above to see the comparison

Retail Trade in Neighboring States

How Alabama's retail trade market compares to bordering states.

Tennessee 42.8 #22/51 Georgia 47.5 #38/51 Florida 51.0 #43/51 Mississippi 59.2 #51/51

Other Industries in Alabama

Construction → Healthcare and Social Assistance → Accommodation and Food Services → Professional, Scientific, and Technical Services → Finance and Insurance → Real Estate and Rental and Leasing → Administrative and Support Services → Information → Other Services →