Retail Trade - Market Size, Financial Statistics, Industry Trends

Industry Overview

The Sector as a Whole The Retail Trade sector comprises establishments primarily engaged in retailing merchandise, generally without transformation, and rendering services incidental to the sale of merchandise. The retailing process is the final step in the distribution of merchandise; retailers are, therefore, organized to sell merchandise in small quantities to the general public. Retail stores are fixed point-of-sale locations, located and designed to attract a high volume of walk-in customers. In general, retail stores have extensive displays of merchandise and use mass-media advertising to attract customers. Retailers often reach customers and market merchandise with methods other than, or in addition to, physical stores, such as Internet websites, the broadcasting of infomercials, the broadcasting and publishing of direct-response advertising, the publishing of paper and electronic catalogs, door-to-door solicitation, in-home demonstration, selling from portable stalls (street vendors, except food), and distribution through vending machines. Establishments engaged in the direct sale and home delivery of products, such as home heating oil dealers and home delivery newspaper routes, are included here. Retail establishments typically sell merchandise to the general public for personal or household consumption, but some also serve business and institutional clients. These include office supply retailers, computer and software retailers, building materials dealers, plumbing supply retailers, and electrical supply retailers. In addition to retailing merchandise, some retailers are also engaged in the provision of after-sales services, such as repair and installation. For example, new automobile dealers, electronics and appliance retailers, and musical instrument and supplies retailers often provide repair services. As a general rule, establishments engaged in retailing merchandise and providing after-sales services are classified in this sector. Retail trade establishments are grouped into industries and industry groups typically based on one or more of the following criteria: (a) The merchandise line or lines carried; for example, specialty retailers are distinguished from general-line retailers. (b) The usual trade designation of the establishments. This criterion applies in cases where a retailer is well recognized by the industry and the public, but difficult to define strictly in terms of merchandise lines carried; for example, pharmacies and department stores. (c) Human resource requirements in terms of expertise; for example, the staff of an automobile dealer requires knowledge in financing, registering, and licensing issues that are not necessary in other retail industries. The buying of goods for resale is a characteristic of retail trade establishments that particularly distinguishes them from establishments in the agriculture, manufacturing, and construction industries. For example, farms that sell their products at or from the point of production are not classified in retail, but rather in agriculture. Similarly, establishments that both manufacture and sell their products to the general public are not classified in retail, but rather in manufacturing. However, establishments that engage in processing activities incidental to retailing are classified in retail. This includes optical goods retailers that grind lenses, and meat and seafood retailers that process carcasses into cuts. Wholesalers also engage in the buying of goods for resale, but they are not usually organized to serve the general public. They typically operate from a warehouse or office, and neither the design nor the location of these premises is intended to solicit a high volume of walk-in traffic. Wholesalers supply institutional, industrial, wholesale, and retail clients; their operations are, therefore, generally organized to purchase, sell, and deliver merchandise in larger quantities. However, dealers of durable nonconsumer goods, such as farm machinery and heavy-duty trucks, are included in wholesale trade even if they often sell these products in single units.
Source: U.S. Census Bureau

Retail Trade Market Size

This report includes historical and forecasted market sizes and industry trends for Retail Trade. It reveals overall market dynamics from 2020 through the present, and predicts industry growth or shrinkage through 2030. Revenue data include both public and private companies in the Retail Trade industry.

	Historical					Forecasted
	2020	2021	2022	2023	2024	2025	2026	2027	2028	2029	2030
Market Size (Total Revenue)	Included in Report
% Growth Rate
Number of Companies
Total Employees
Average Revenue per Company
Average Employees per Company

Source: U.S. government financial data



Pell Research's advanced econometric models forecast five years of industry growth based on short- and long-term trend analysis. Market size statistics include revenue generated from all products and services sold within the Retail Trade industry.

Geographic Breakdown by U.S. State

Retail Trade market share by state pinpoints local opportunities based on regional revenue statistics. Growth rate for each state is affected by regional economic conditions. Data by state can be used to locate profitable and nonprofitable locations for Retail Trade companies in the United States.

Distribution by Company Size

Company Size	All Industries	Retail Trade
Small Business (< 5 Employees)	Included
Small Business (5 - 20)
Midsized Business (20 - 100)
Large Business (100 - 500)
Enterprise (> 500)

Industry Income Statement (Average Financial Metrics)

Financial statement analysis determines averages for the following industry forces:

• Cost of goods sold
• Compensation of officers
• Salaries and wages
• Employee benefit programs
• Rent paid
• Advertising and marketing budgets

The report includes a traditional income statement from an "average" Retail Trade company (both public and private companies are included).

	Industry Average	Percent of Sales
Total Revenue	Included
Operating Revenue
Cost of Goods Sold (COGS)
Gross Profit
Operating Expenses
Operating Income
Non-Operating Income
Earnings Before Interest and Taxes (EBIT)
Interest Expense
Earnings Before Taxes
Income Tax
Net Profit

Financial Ratio Analysis

Financial ratios allow a company's performance to be compared against that of its peers.

Financial Ratio	Industry Average
Profitability Ratios	Included
Profit Margin
ROE
ROA
Liquidity Ratios
Current Ratio
Quick Ratio
Activity Ratios
Average Collection Period
Asset Turnover Ratio
Receivables Turnover Ratio
Inventory Conversion Ratio

Compensation and Salary Surveys

Salary information for employees working in the Retail Trade industry.

Title	Percent of Workforce	Bottom Quartile	Average (Median) Salary	Upper Quartile
Management Occupations	3%	Included
Chief Executives	0%
General and Operations Managers	2%
Business and Financial Operations Occupations	6%
Business Operations Specialists	6%
Computer and Mathematical Occupations	6%
Computer Occupations	6%
Arts, Design, Entertainment, Sports, and Media Occupations	44%
Art and Design Workers	44%
Designers	44%
Floral Designers	44%
Food Preparation and Serving Related Occupations	6%
Food and Beverage Serving Workers	5%
Fast Food and Counter Workers	5%
Personal Care and Service Occupations	11%
Animal Care and Service Workers	10%
Nonfarm Animal Caretakers	9%
Nonfarm Animal Caretakers	9%
Sales and Related Occupations	74%
Supervisors of Sales Workers	8%
First-Line Supervisors of Sales Workers	8%
First-Line Supervisors of Retail Sales Workers	8%
Retail Sales Workers	65%
Cashiers	8%
Cashiers	8%
Retail Salespersons	56%
Retail Salespersons	56%
Office and Administrative Support Occupations	11%
Information and Record Clerks	17%
Customer Service Representatives	11%
Customer Service Representatives	11%
Order Clerks	5%
Order Clerks	5%
Material Recording, Scheduling, Dispatching, and Distributing Workers	5%
Shipping, Receiving, and Traffic Clerks	7%
Shipping, Receiving, and Traffic Clerks	7%
Stock Clerks and Order Fillers	17%
Stock Clerks and Order Fillers	17%
Other Office and Administrative Support Workers	5%
Office Clerks, General	5%
Office Clerks, General	5%
Installation, Maintenance, and Repair Occupations	6%
Other Installation, Maintenance, and Repair Occupations	5%
Heating, Air Conditioning, and Refrigeration Mechanics and Installers	7%
Heating, Air Conditioning, and Refrigeration Mechanics and Installers	7%
Miscellaneous Installation, Maintenance, and Repair Workers	29%
Coin, Vending, and Amusement Machine Servicers and Repairers	29%
Transportation and Material Moving Occupations	5%
Motor Vehicle Operators	17%
Driver/Sales Workers and Truck Drivers	17%
Driver/Sales Workers	20%
Heavy and Tractor-Trailer Truck Drivers	12%
Light Truck or Delivery Services Drivers	16%
Material Moving Workers	11%
Laborers and Material Movers, Hand	10%
Laborers and Freight, Stock, and Material Movers, Hand	6%

Government Contracts

The federal government spent an annual total of $215,518,357 on the Retail Trade industry. It has awarded 10,186 contracts to 1,080 companies, with an average value of $199,554 per company.

Top Companies in Retail Trade and Adjacent Industries

Company	Address	Revenue ($ Millions)
Included