Arts, Entertainment & Recreation Sector Industry Profile

Companies in this industry sector produce or promote live entertainment and other events, operate amusement and leisure activity facilities, or preserve and exhibit objects and sites of historical or cultural significance. Major companies and organizations include Creative Artists Agency (CAA), Las Vegas Sands, Live Nation Entertainment, the New York Yankees, the Smithsonian Institution, and Walt Disney Parks and Resorts (all US-based); as well as Cirque du Soleil (Canada); Galaxy Entertainment (Hong Kong); IGT, Merlin Entertainments, and William Hill (all based in the UK); the Louvre (France); and Real Madrid (Spain).

The global recreation market is forecast to grow to more than $2 trillion in 2027 at a compound annual growth rate (CAGR) of 3.7%, according to The Business Research Company.

The US arts, entertainment, and recreation sector includes about 140,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $265 billion.

COMPETITIVE LANDSCAPE

Advancements in consumer electronics have given rise to a growing variety of at-home entertainment options that compete with those offered by companies in the arts, entertainment, and recreation sector. Smartphones, tablets, gaming consoles, video streaming services, and social media have made it easier to stay busy and have fun without leaving the house. This is especially true of younger consumers, who represent a critical customer base for the industry. To lure people away from their screens, amusement parks, arcades, museums, and other institutions are ...