Furniture Market

Furniture Market Outlook (2024 to 2034)

The global furniture market size is estimated to be valued at US$ 649.8 billion in 2024. The global demand for furniture is anticipated to rise at a 5.3% CAGR, reaching a market valuation of US$ 1,089.1 billion by 2034.

The demand for furniture to decorate newly constructed homes and flats is growing as more people relocate to metropolitan regions. Different kinds of furniture become increasingly crucial due to lifestyle changes brought on by urbanization. Modern lifestyle changes like working from home and emphasizing the multipurpose nature of the house have raised demand for particular kinds of furniture. For instance, home office and ergonomic furniture are becoming increasingly popular.

Customers can shop for furniture more easily from the comfort of their homes today, thanks to the growth of e-commerce. E-commerce sites provide more selections and affordable pricing. These days, many buyers are searching for customized and distinctive furnishings. Customization possibilities are attractive to manufacturers and merchants catering to this expanding market niche.

Key Market Growth Drivers

• Furniture incorporating smart home features, wireless charging, and Internet of Things (IoT) connections is growing in popularity. Customers are looking for furniture that fits perfectly into the trend of smart homes.
• There continues to be a high demand for environmentally friendly and sustainable furniture. Furniture manufactured from recycled materials or created using sustainable processes is becoming increasingly trendy due to consumers' growing awareness of the environmental effects of their purchases.
• Furniture that can be quickly rearranged or changed to suit multiple purposes is becoming increasingly popular as the emphasis on multipurpose living spaces grows. Furniture can be easily arranged and used in various ways thanks to modular designs.
• There is a growing trend among consumers to seek customized and distinctive furniture that reflects their particular preferences and likes. Businesses that provide customizable alternatives are benefiting from this shift.
• Utilizing ecological and organic materials like bamboo, rattan, and wood is becoming progressively more prominent. This pattern aligns with the more significant shift in home furniture toward organic and environmentally friendly options.

Report Attributes	Details
Estimated Market Value (2024E)	US$ 649.8 billion
Forecasted Market Value (2034F)	US$ 1,089.1 billion
Global Market Growth Rate (2024 to 2034)	5.3% CAGR
Plastic Material Type Segment Growth Rate (2024 to 2034)	5.7%
Commercial End-user Segment Growth Rate (2024 to 2034)	5.7%
North America Market Share (2024)	22.4%
East Asia Market Share (2024)	28.3%
Key Companies Profiled	IKEA Ashley Furniture Industries Steelcase Herman Miller La-Z-Boy HNI Corporation Knoll Stanley Furniture Rooms To Go Masco Corporation (including brands like Behringer and Milgard) Hooker Furniture Bassett Furniture Industries Natuzzi Leggett & Platt Global Furniture Group

Which Factors are Boosting the Global Demand for Furniture?

“Growth of Flexible Subscription Models”

One notable development in the ever-changing furniture market is the rise of flexible subscription arrangements. Customers now have the option to choose rentals over regular purchases courtesy of this creative business strategy. Because it meets the changing demands of contemporary customers who value flexibility, this model is a compelling option for people who regularly move homes or who want to update their living areas frequently. Adopting subscription-based tactics helps businesses in several ways. For example, it gives them a steady income stream, fosters customer loyalty via continued interaction, and makes it possible to modify product offers in response to shifting consumer demands.

“Surge in Demand for Upcycled and Repurposed Furniture”

Repurposed and upcycled furniture is becoming increasingly popular as a green and creative trend in the industry. By repurposing old or abandoned materials to create fresh, distinctive furnishings, companies that follow this trend support the circular economy. This strategy presents businesses as supporters of sustainable practices while appealing to environmentally sensitive customers. Repurposed designs have several economic benefits, including cheap production costs, product differentiation through unique products, and a favorable brand image linked to ecologically conscious activities. Businesses that upcycle show that they are dedicated to lessening their environmental effect, which is in line with the ideals of an increase in socially concerned customers.

“Virtual and Augmented Reality Integration in Shopping Experiences”

Virtual and augmented reality (VR/AR) technology integration is a smart move that improves the online customer journey regarding furniture purchasing. Clients can visually arrange furniture in their homes before making selections with the help of businesses that integrate VR/AR into their platforms. This offers a more engaging and dynamic buying experience and lowers anxiety around online transactions. Business-wise, integrating VR/AR technology calls for expenditures on digital infrastructure, teamwork with tech experts, and persuasive marketing to convey the advantages of improved online visualization. As a result, businesses are positioned to lead the way in technological innovation and attract tech-savvy customers looking for a flawless and exciting purchasing experience.

Which Factors Present Challenges to the Furniture Market?

“Managing Operational Expenses Due to Rising Energy Costs”

The furniture market is vulnerable to changes in energy prices due to its energy-intensive production methods. It can be difficult for businesses to control operating costs while implementing environmentally friendly measures. Essential tactics include investing in energy-efficient technology, embracing renewable energy sources, and implementing operating procedures that lower energy usage. Companies can ensure persistent affordability and resilience in a competitive market by proactively addressing growing energy prices and improving operational efficiency. This also helps to promote environmental sustainability.

“Rapidly Shifting Consumer Preferences”

The furniture market is constantly changing due to rapidly changing customer demands. For organizations to remain relevant, they must be aware of changing trends and lifestyle shifts. Conducting ongoing market research, analyzing trends, and exercising agility in developing new products and marketing plans is essential. Investing in flexible manufacturing methods, utilizing data analytics, and taking a customer-centric approach are all factors that help companies match their product offers to evolving consumer tastes. Businesses that proactively adjust to new trends establish themselves as leaders in the industry, guaranteeing long-term consumer loyalty and market resonance.

Country-wise Insights

The North American is anticipated to witness substantial expansion, with the furniture market in the United States leading at a 4.7% CAGR through 2034. In the East Asia furniture market, China is projected to be at the forefront with a 5.1% CAGR through 2034.

Why is the Demand for Furniture Rising in the United States?

“Notably Rising Prominence of the Second-hand Furniture Market and Micro-mobility Trends”

Country	Value CAGR (2024 to 2034)
United States	4.7%

The furniture market in the United States is anticipated to surge at a 4.7% CAGR through 2034. The market for used and luxury furniture is becoming increasingly prominent, which is a noteworthy expansion aspect. Pre-owned, premium furniture is becoming more appealing to people who care about the environment. Companies could capture an expanding proportion of customers looking for eco-friendly furniture and value by carefully positioning themselves in this space, maybe through collaborations with resale platforms or carefully selected collections.

The expansion of the American furniture market is also being fueled by urbanization and the emergence of micro-mobility lifestyles. Compact living spaces in metropolitan areas have increased demand for multipurpose furniture that saves space. Companies that provide small, inventive designs to these urban populations are well-positioned to utilize this specialized market and match products with changing urban lifestyles.

Why is China a Thriving Market for Furniture Manufacturers?

“Expanding Middle-class Population, Urbanization and Real Estate Boost Furniture Demand”

Country	Value CAGR (2024 to 2034)
China	5.1%

The sales of the furniture market in China are predicted to rise at a 5.1% CAGR through 2034. China's fast urbanization and simultaneous real estate growth are driving the country's furniture market expansion. The demand for home furniture is fueled by the increase in housing renovations and development that occurs as cities expand. By carefully aligning with real estate and urban development trends, furniture firms could capitalize on the growing demand for fashionable and contemporary furniture in newly constructed urban areas and tap into this lucrative market.

China's growing middle-class populace is ambitious; they want high-end goods and lifestyle changes. Customers want to fill their homes with beautiful, well-made furniture supporting the furnishing sector. By using premium product offers and clever marketing to present themselves as providers of aspirational lives, brands can effectively target this group and capitalize on the rising trend of middle-class ambitions.

Category-wise Insights

Why is the Demand for Wood Furniture High?

“Rising Sustainability Trends Surge Demand for Wood as the Preferred Material Type”

Segment	Value Share (2024)
Plastic (Material Type)	44.9%

Based on material type, the wood segment holds 43.1% of market shares in 2024 and is projected to thrive at a 5.5% CAGR through 2034. A surge in interest in hardwood furniture originating from properly managed forests can be attributed to the growing demand for eco-friendly and sustainable products. Sustainable harvesting methods are indicated by certifications such as the Forest Stewardship Council (FSC) certification. Wood is in high demand because consumers appreciate using renewable resources and because environmental consciousness is growing. Wood is frequently thought of as having superior quality and a luxurious look. Wood's reputation as a high-end material makes it more appealing to buyers prepared to shell out money for furniture that exudes class and worth. Manufacturers and merchants can capitalize on this premium perception to place their items in the market.

Why is the Demand for Furniture Surging for Commercial End Use?

“Shift Toward Flexible and Agile Work Environments Boosts Demand in Commercial Sector”

Segment	Value Share (2024)
Commercial (End User)	45.7%

Based on end users, the commercial segment holds 45.7% of market shares in 2024 and is estimated to rise at a 5.7% CAGR through 2034. A key trend in the retail sector is the move toward more adaptable and agile work environments. Open floor designs, activity-based workstations, and collaborative environments are becoming common in businesses, necessitating flexible furniture options. There is an increasing need for furniture that facilitates flexible work arrangements and enhances the welfare of employees. Commercial organizations are demanding more home office equipment as a result of the growth of remote and hybrid work approaches. Businesses are supporting their staff by investing in ergonomic and helpful home office furniture as more workers choose to work from home, which adds to the total demand in the commercial sector.

Competitive Landscape

The furniture market is exceptionally competitive, with a wide range of participants, including global businesses, local producers, and up-and-coming start-ups. Prominent entities within the industry comprise recognizable labels, including Ashley Furniture Industries, Steelcase, and IKEA. To stay dominant in the market, these multinational behemoths make use of economies of scale, wide-ranging distribution networks, and well-known brands. They frequently get into strategic partnerships, mergers, and acquisitions to diversify their product lines and increase their market share.

Recent Developments

• In July 2023, Ebarza made public the debut of its unique line of intelligent furniture items. The Nova collection is one of the notable items that was unveiled. It includes a cozy sofa and a hidden double bed that is incorporated with cupboards and shelves. A variety of clever and adaptable solutions are included in the Life collection.
• In March 2023, in line with the concept of ‘BE AGILE BE READY’ at CIFF 2023, JIECANG unveiled several innovative lifting system solutions that will further inspire the design of agile workspaces. Telephone booth raising systems, television lifting systems, and motorized and flip standing desk solutions are among the solutions offered in the range.

Furniture Market Segmentation

• By Material Type:

  • Wood
  • Metal
  • Plastic
  • Glass
  • Others

• By End User:

  • Residential
  • Commercial
  • Industrial

• By Region:

  • North America
  • Europe
  • Latin America
  • East Asia
  • South Asia & Oceania
  • The Middle East & Africa