Promoters of Performing Arts and Sports Events NAICS 711310, 711320

Jun 30, 2025 - Nearly Two-Thirds of Independent Venues Unprofitable in 2024: NIVA

• A new study by the National Independent Venue Association (NIVA) showed that independent venues generated $153 billion in total economic input in the US in 2024, though nearly 65% of stages struggled with profitability, according to a report in Pollstar. In 2024, independent stages put on more than 153,000 events in the US, serving 183.7 million fans and supporting nearly 908,000 jobs. The study revealed that 64% of venues were not profitable in 2024, noting top operational challenges for venues included marketing and bringing in an audience, higher artist and staffing costs, inflation, rising insurance costs, and scalpers and predatory resale platforms, among others. Over 90% of independent venues operated year-round, with 62% hosting artist showcases. The study was conducted by economic research firm TEConomy Partners.
• The art, entertainment, and recreation services industry is one of the 10 industries reporting growth in May’s Services ISM Report on Business. Executives in the art, entertainment, and recreation services industry reported an increase in business activity, employment, and new orders in May. Other services industries reporting growth during the period included Accommodation & Food Services; Public Administration; Mining; Utilities; Educational Services; Real Estate, Rental & Leasing; Information; Health Care & Social Assistance; and Professional, Scientific & Technical Services. The eight services industries reporting contraction during the period were Other Services; Retail Trade; Management of Companies & Support Services; Agriculture, Forestry, Fishing & Hunting; Finance & Insurance; Construction; Transportation & Warehousing; and Wholesale Trade. Overall, economic activity in the services sector contracted in May, with the Services PMI registering 49.9%.

• The US promoters of performing arts and sports events industry is projected to grow at a CAGR of 3.5% between 2025 and 2029, according to a forecast from Inforum and the Interindustry Economic Research Fund, Inc. The industry’s expected growth rate is slower than the overall economy‘s anticipated growth. Consumer confidence is expected to improve in the forecast period, which bodes well for the arts, entertainment, and recreation industries. A factor that may curb consumer spending is substantially higher tariffs on consumer goods, which may be painful for households. On a positive note, lower inflation supports a moderate increase of real disposable income by about 2% in 2025 and 1.9% in 2026. Real income could suffer if average prices rise due to tariff implementation. Per the forecast, live entertainment has improved significantly post pandemic, including movie theater attendance and music concerts, though the extent of recovery remains to be seen.
• Consumer sentiment, an indicator of discretionary spending, is on the rise as consumer pessimism lifts amid a de-escalation of the trade war, according to two major indicators. The final index of consumer sentiment from the University of Michigan grew 15.9% in June 2025 from the previous month, as the Trump administration put some tariffs on hold against major US trade partners, according to CFO Dive. Year over year, the index of consumer sentiment was down 11.3%. An index measuring consumers’ expectations for the future was up 21.9% from the previous month, but was down 16.1% year over year. According to survey director Joanne Hsu, “Consumers appear to have settled somewhat from the shock of the extremely high tariffs announced in April and the policy volatility seen in the weeks that followed.” Hsu noted that consumers’ views of business conditions, personal finances, buying conditions for big ticket items, labor markets and stock markets all remain below six months ago. The Consumer Confidence Index increased by 12.3 points in May 2025, compared to the previous month. The index improved in May following five consecutive months of declines, according to The Conference Board, which publishes the monthly index.