The furniture market is an off-shoot of an even larger market, home decor. These markets have seen major growth in recent years and researchers are anticipating that the home decor market as a whole will be worth $664 billion by the year 2020.
Furniture alone is expected to contribute to a significant amount of the home decor market share.
In 2017, the global furniture market was worth $480.7 billion and this industry is expected to grow at a CAGR of 5.1% from 2018 to 2025. North America and Europe own the majority of the market share, followed by Asia-Pacific.
Consumers today are looking for furniture that is functional (for sleeping, sitting, eating, etc) but also opting for items that are fashionable and will add to the overall aesthetics of the home. The furniture market has and will continue to evolve as consumer preferences change.
Three major factors influencing the furniture market today include:
- Demand for Multi-Functional Furniture – Modern day consumers are on the hunt for versatile furniture that can function in small spaces like pieces with extra hidden storage.
- Growth of Real Estate – The real estate market has been climbing in recent years. As more houses are purchased, more furniture sales are made by effect.
- Rising Disposable Income – There has also been an increase in disposable income among consumers, promoting more home decor purchases including furniture.
Furniture includes everything from tables, chairs, couches, beds, nightstands, wardrobes and more. What’s more, furniture isn’t just for the home. Products in this market can be found in hospitals, hotels, banks, schools and various businesses.
What’s more, customers are beginning to prefer purchasing furniture items online. Products, even large furniture pieces, can be shipped directly to consumers doors, eliminating the need for in-store purchases and transport.
