NAICS 71 - Arts, Entertainment, and Recreation
The Sector as a Whole
The Arts, Entertainment, and Recreation sector includes a wide range of establishments that operate facilities or provide services to meet varied cultural, entertainment, and recreational interests of their patrons. This sector comprises (1) establishments that are involved in producing, promoting, or participating in live performances, events, or exhibits intended for public viewing; (2) establishments that preserve and exhibit objects and sites of historical, cultural, or educational interest; and (3) establishments that operate facilities or provide services that enable patrons to participate in recreational activities or pursue amusement, hobby, and leisure-time interests.
Some establishments that provide cultural, entertainment, or recreational facilities and services are classified in other sectors. Excluded from this sector are: (1) establishments that provide both accommodations and recreational facilities, such as hunting and fishing camps and resort and casino hotels are classified in Subsector 721, Accommodation; (2) restaurants and night clubs that provide live entertainment in addition to the sale of food and beverages are classified in Subsector 722, Food Services and Drinking Places; (3) motion picture theaters, libraries and archives, and publishers of newspapers, magazines, books, periodicals, and computer software are classified in Sector 51, Information; and (4) establishments using transportation equipment to provide recreational and entertainment services, such as those operating sightseeing buses, dinner cruises, or helicopter rides are classified in Subsector 487, Scenic and Sightseeing Transportation.
Industry trends:
In 2023, the Arts, Entertainment, and Recreation sector (NAICS 71) is experiencing several key qualitative trends shaping the industry. One significant trend is the accelerated adoption of digital and virtual experiences. The pandemic-induced shift towards online platforms has led to the proliferation of virtual concerts, digital exhibitions, and online gaming, allowing businesses to reach a global audience.
Another trend is the increasing focus on immersive experiences. Augmented reality (AR) and virtual reality (VR) technologies are being integrated into entertainment and recreational activities to offer more engaging and interactive experiences. This technological integration is particularly appealing to younger, tech-savvy audiences.
Sustainability is also becoming a prominent theme within the sector. Consumers are increasingly aware of environmental issues, pushing arts and entertainment venues to adopt greener practices. This includes the use of sustainable materials, energy-efficient systems, and waste reduction initiatives.
Health and wellness trends are influencing the recreation segment, with consumers seeking activities that promote physical and mental well-being. This has boosted interest in outdoor activities, wellness retreats, and fitness programs, driving growth in these areas.
Looking forward, the industry is likely to continue evolving with a hybrid model that combines physical and virtual experiences. Innovations in technology will play a crucial role, with AI and machine learning offering personalized and enhanced user experiences. The focus on sustainability and wellness is expected to intensify, as businesses align with growing consumer consciousness.
This industry is comprised of:
This report includes the ability to segment your Industry by:
- Region
- Employees
- Net Sales
- Company Age
- Total Assets
- Ownership Type
With iCFO You Get
What Is iCFO?
A review and comparison of financial performance of privately-help companies in specified SIC/NAICS industry segment, using industry standard benchmarks.
Sound Business Analysis
Answers come easily with iCFO. Review ROI, sales per employee, profit margins of the top 10%, top 25% and more, to identify areas of concern and opportunity. Examine what if scenarios and P&L impact of reducing costs or adding revenue.
Your Business’ Health In Minutes
It takes only five minutes to enter your data and produce a concise profile of your company’s fiscal state, including critical business ratios focusing on liquidity, profitability, asset efficiency, and growth.