Economies typically experience transitional stages as they continue to grow, graduating from an initial manufacturing and export-led adolescence to a services-dominated adulthood, where the consumers’ elevated purchasing power plays an important role in keeping the economic momentum chugging along. As a result, consumer services companies progressively become ever more pivotal to an advanced economy’s overall health.
For the benefit of those who might not be aware, consumer services companies typically provide products and solutions that cater to the needs of individuals and households. These entities operate within diverse industries, including retail, hospitality, healthcare, education, insurance, and finance.
There are a number of ways to rank major consumer services companies. However, the most popular method centers around using metrics such as market capitalization. Of course, this method only works for public entities. But then, most major consumer services companies are typically listed on the stock exchange.
So, without further ado, here are some of the largest consumer services companies in the United States:
At the top of the proverbial pack, with a market capitalization of $291 billion and trailing twelve-month (TTM) revenue of $25.49 billion, is the global fast food icon McDonald’s. Established in 1940, the fast food behemoth is now found in almost every corner of the world courtesy of its ever-growing network of outlets, which numbered 40,275 as of the end of 2022.
It is hardly a surprise, therefore, that the market currently values McDonald’s at over a quarter of a trillion dollars, making the fast food chain one of the biggest consumer services companies in the world.
2. Booking Holdings
Next in line in this tabulation of the biggest consumer services companies in the US is the parent company of Booking.com, Booking Holdings. Boasting a market capitalization of $129 billion and TTM revenue of $20.63 billion, Booking.com is one of the world's most prominent online travel agencies.
In fact, the company clinched the title of the most downloaded mobile app in 2022. While Booking.com is headquartered in Amsterdam, its parent company - Booking Holdings Inc. - is listed on the Nasdaq exchange in the US.
Starbucks is next on the list of the biggest consumer services companies in the US. With a market capitalization of $107 billion and TTM revenue of $36.96 billion, the iconic coffeehouse chain spanned 38,038 distinct outlets worldwide as of the end of 2023.
With over 50 years of history behind it, Starbucks is inarguably the largest coffee-oriented retail giant in the world, offering a wide variety of hot and cold drinks, including lattes, espresso, juices, and pastries.
As the largest online marketplace for accommodation rentals worldwide, Airbnb is a prominent name among consumer services companies, bearing a market capitalization of $94 billion and TTM revenue of $9.6 billion.
The company went public only in December 2020, managing to pull off one of the most successful IPOs in history when the stock soared 113 percent above its flotation price on the first day of trading. The company recorded a whopping 393 million bookings in 2022.
5. Chipotle Mexican Grill
As a niche restaurant chain that offers Mexican food across 3,182 locations worldwide, Chipotle Mexican Grill currently bears a market capitalization of $73 billion and TTM revenue of $9.87 billion. Chipotle went public in 2006, recording the best IPO in the US over the preceding six years.
As a major consumer services company, Chipotle specializes in offering authentic Mexican cuisine items such as burritos, tacos, and quesadillas.
6. Marriott International
With a market capitalization of $72 billion and TTM revenue of $6.13 billion, the hotel chain giant Marriott International is the sixth entrant in this list of the biggest consumer services companies in the US.
As of 2021, Marriott controlled 31 brands and 8,000 properties across 139 countries, corresponding to a cumulative capacity of 1.423 million rooms. It is hardly a surprise, therefore, that Marriott is currently the largest hotel chain in the world, based on the number of rooms available.
7. Hilton Worldwide Holdings
As the parent company of Hilton-branded hotels and resorts, Hilton Worldwide is the second hotel chain entrant in the list of the largest consumer services companies in the US, boasting a market cap of $49.4 billion and TTM revenue of $4.41 billion.
This means that the hotel chain trades at a Price-to-Earnings (P/E) ratio of 43x vs. just 25.2x for Marriott. As of mid-2020, the hotel chain owned 6,215 properties across 118 countries, with a cumulative capacity of nearly 1 million rooms.
DoorDash is currently a reigning giant in the online food order and delivery sphere. With a market capitalization of $47 billion and TTM revenue of $8.15 billion, DoorDash is America’s preferred food delivery service, with a market share of around 56 percent. The consumer services-oriented company now has a presence in over 25 countries across North America, Europe, and Asia.
At the heart of DoorDash’s success lies its bespoke algorithm, which maps out the most efficient delivery route automatically, with built-in parameters that vary with the time of the day and the corresponding expected load on the system.
9. Las Vegas Sands Corp.
As the fourth hospitality-related entry in this list, Las Vegas Sands Corp. currently has a market capitalization that is just shy of $40 billion and TTM revenue of $10.37 billion. Headquartered in Paradise, Nevada, Las Vegas Sands Corp. owns a vast array of casinos, hotels, and resorts, making it a valuable player in the consumer services sphere.
The Palazzo and the Venetian are Las Vegas Sands’ two crowning jewels, which together make up the world’s largest hotel under a single roof.
10. Yum! Brands
Yum! Brands is the last entry in this list of the top ten consumer services companies in the US. With a market-based valuation of $36 billion and TTM revenue of $7.08 billion, the company owns marquee brands such as KFC, Pizza Hut, and Taco Bell. The company has a presence in 135 countries, making it a truly global multinational fast food chain.