Industries

Description:
The industries that describe the business model of the business. Enigma uses the North American Industry Classification System (NAICS) hierarchy.

Child attributes (and data file structure):

JSON Sample:

{
    "industries":
    [
      {
      "classification_type": "NAICS_2017",
      "classification_code": "2361",
      "classification_description": "Residential Building Construction",
      }
}

Coverage:

• Businesses: 69.7%
• Business Locations: 60.7%

Time structure:

• Current point in time. No historical information.

Data sources:

• Public data (e.g. corporate filings, PPP applications, etc.) where a business specifies their industry
• Online business directories where a business specifies their industry
• Information and keywords on a business’ website
• MCC codes from credit card transactions
• Third party verification services

Methodology:

• All of the data sources listed above go into a model to determine a businesses’ industry
  Enigma only tags a business with an industry code if we have greater than 85%+ confidence that the industry specification is correct.
• Enigma’s system attempts to tag the most granular NAICS code possible while maintaining high accuracy. The system starts by attempting to tag a six digit code, but if the confidence level is less than 85%, then Enigma will try to provide five digit granularity. If Enigma’s system does not have high enough confidence in a five digit code, then it will move on to a four digit code. This process continues all the way to a two digit code.
  • As of March 2022, the breakdown of NAICs codes by granularity, given the business has an industry, is:

• A business location profile may have multiple industry codes. This is reflective that locations may have primary and secondary industries (e.g. a business can be a restaurant and can also sell packaged food).
• Business profiles, however, can only have one primary industry. This is determined by looking at the most prevalent industry across all locations associated with that business.