Identifying the distribution features and influencing factors of the service industry in urban-rural communities within a county is of great significance for space optimizing, which is important for rural revitalization. Taking the county-level city, Xintai City in Shandong Province as an example, this paper investigated the hierarchical structure and spatial pattern of the service industry in urban-rural communities by using data of the third national land and resource survey coupled with village questionnaire survey, and further discussed the factors influencing the scale of service industry in communities. The results showed that the distribution of the service industry in Xintai was strikingly unbalanced. This unevenness was reflected in the pyramid scale structure and the spatial pattern of ‘one core, two belts, and multiple points’. Market demand factors including the size of population and industry, as well as institutional and cultural factors including administrative levels and kinship networks played an important role in the development of the service industry. While the impact of traffic conditions was relatively limited. In the end, this article proposed policy recommendations to optimize the spatial distribution of urban-rural service industry and meet the basic service needs of rural residents.