Furniture Market Analysis

Furniture Market Analysis

Offline distribution channels are set to generate around USD 647 billion by 2027 driven by the old-style medium of shopping. Many consumers choose to visit shops and experience the exact size & other aesthetics related to the products. The entry of key industry participants in developing countries to establish the retail stores are further surging the segment growth.

To get key market trends

  Download Free Sample

The metal furniture segment held about 10% of the furniture market share in 2020 on account of the possible customization features. Stainless steel, aluminum, and iron are most commonly used in the making of outdoor furniture to enhance garden designs and it also provides elegance in customized designs due to the light shade properties of the metal.

The business and office application is predicted to capture more than 40% of the commercial furniture market share in 2027, led by persistent economic expansion that results in enhanced corporate earnings, for both business and leisure travel.

Moreover, large projects planned by Amazon, Apple, Google, and other corporate giants, alongside investments in amusement and convention centers, are likely to boost the segment demand. According to the U.S. Census Bureau, the U.S. office construction spending reached to USD 81 billion in 2020 and is poised to witness approximately 6% growth since the year 2017. Furthermore, the growing consumption rate of ready to assemble, eco-friendly & designer furniture and premium furniture will contribute to the business expansion.

Asia Pacific furniture market size generated over USD 270 billion in 2020 impelled by the expansion of the hospitality and real estate sectors coupled with increasing disposable incomes, specifically in urban areas. However, the abundance of low cost & skilled workforce enables Asian countries to retail their products in the international market at very competitive prices. Population growth, environmental impacts, and urbanization have surged the need for smart & sustainable infrastructure solutions. Growing building & construction spending due to the rising per-capita disposable income along with enhanced infrastructure in APAC will augment the product demand.

Commercial office space in India accounted around 600 million square feet in 2018, while office space leasing in the top eight cities is expected to cross 100 million square feet between 2018-20.

The furniture industry is highly fragmented owing to a large presence of industry players in regional and global levels. Numerous companies are involved in partnerships and collaborations to support their industry footprint. To capture a larger industry share, companies are anticipated to develop their supply chain network to profit from being customer-friendly. New entrants will surge steadily propelled by high-profit margins over the forecast timeframe. Mergers & acquisitions will be a key strategy among industry players to enhance their market share.