US Accommodation and Food Services Sector NAICS 72

Aug 13, 2025 - Robots, Drones Delivering Food

• To make restaurant delivery better, faster, and cheaper, robots are taking the place of humans, The Wall Street Journal reports. With US restaurants receiving around 4 billion food-delivery orders a year through apps alone, according to data-insights company Consumer Edge, billions of dollars are being invested in robots, drones, and other advanced technologies, per WSJ. Robotics companies have received around $3.5 billion in investment since 2019 to improve the speed and reduce delivery costs, according to PitchBook. Fast-growing technologies include food-delivery robots resembling coolers on wheels that navigate city sidewalks while making deliveries, and delivery drones from Zipline, which besides delivering medical products to remote areas now counts food as one of its fastest-growing segments. WSJ notes that while the permitting process for robots and drones to navigate city streets and airspace is complex, proponents note robots don’t take tips and their wages aren’t rising.
• Consumer confidence fell sharply in June, according to the Conference Board’s Consumer Confidence Index, which declined by 5.4 points in June to 93, giving up much of May’s gains. Meanwhile, the CB’s Expectations Index fell to 69.0, remaining below the recession-signaling threshold of 80. Declines in confidence were observed across all age, income, and political groups, according to the June report. While consumers’ spending plans showed mixed signals, service sector intentions weakened broadly, with dining out being an exception. Despite the recent slip in consumer confidence, travelers are still planning trips and hotel stays this summer, Hotel Dive reports citing a Bank of America’s Summer Travel Trends Survey, which found 70% of respondents said they plan on vacationing this summer – a 3% increase from 2024. While more Americans may travel this summer, they’ll do so on tighter budgets, according to the Deloitte 2025 Summer Travel Survey.

• International travel to the US is trending downward, according to preliminary data from the Department of Commerce, US Customs and Border Protection, and other organizations that track inbound US travel. Total international visits to the US fell approximately 14% in March compared to the same period last year. Moreover, traffic from the highest-value inbound travel markets declined significantly. March saw a 26% year-over-year decline in overnight land trips by Canadians and air travel to the US from Canada fell 14% YoY. Travel from Western Europe declined for the first time since 2021, with a 17% drop in March visits to America. Travel from Asia fell for the second consecutive month in March and remains 25% below 2019 levels, while visits from South America fell 10% following a flat February. Florida was the top destination for international visitors in March, per the US Travel Association.
• Producer prices for providers of accommodations fell 1.1% in June from their peak a year ago, after rising 2.1% in the previous June-versus-June annual comparison, according to the latest US Bureau of Labor Statistics data. Despite their recent easing, industry producer prices remain historically high. Employment by accommodation and food services grew 1% year over year in June to a record high level, while sector wages increased 3.6% YoY in May to a new high of $19.69 per hour, BLS data show. Rising labor costs are a pain point for the sector, which must contend with rising minimum wages in many US states and competition for workers.