Luxury Furniture Market - By Product Type (Table, Chair, Sofas & Lounges, Kitchen, Lightening, Interior accessories, Beds and Others), By Distribution Channel & Forecast, 2024 – 2032

Luxury Furniture Market Size

Luxury Furniture Market was valued at USD 23.9 billion in 2023 and is anticipated to register a CAGR of 4.5% between 2024 and 2032. The market is expanding rapidly, driven by various factors. An important factor is the rise in disposable incomes, particularly in developing countries as more consumers find themselves with increased financial resources, they can purchase luxury products such as high-quality furniture.
 

In addition, improved living standards, the changing lifestyles and cultural shifts are also contributing to the market growth, which is raising demand for high-end luxury goods. For instance, according to the Federal Reserve Bank of St. Louis, the state's per capita personal income raised from USD 64,174 in 2019 to 77,036 in 2022. The data indicates a significant increase in income levels, which has resulted in a higher standard of living.
 

The market is heavily influenced by rapid urbanization. As cities grow and more people move to urban regions, the need for new development and premium living spaces rises. Urban people, looking to create sophisticated and elegant homes, are increasingly turning to luxury furniture to represent their tastes and status. As a result, the need for comfort and elegance in urban living spaces is driving a strong growth in the luxury furniture industry. For instance, according to the United States Census Bureau, overall construction spending in May 2024 is expected to be $2,139.8 billion, a 6.4% rise from May 2023. 

The luxury furniture market faces significant challenges due to the high costs associated with raw materials, production, and labour. The luxury furniture sector has major problems due to the high costs of raw materials, manufacturing, and labour. These costs result in higher prices for luxury furniture items, thus limiting the customer base to a smaller, more affluent part of the population. This financial barrier can limit market growth, manufacturers must carefully target and engage their high-end customers while assuring great quality and craftsmanship to justify the higher prices.

Luxury Furniture Market Trends

The luxury furniture industry is increasingly adopting sustainability and personalization to meet the changing preferences of high-end buyers. As environmental responsibility is essential, there is an increasing demand for furniture produced from eco-friendly materials such as recycled wood and bamboo. In addition, the desire for unique, customized furnishings is fuelling the trend toward personalization, with affluent customers looking for furniture that reflects their individual taste and preferences.

Luxury Furniture Market Analysis

Based on Product type, the market is segmented into Table, Chair, Sofas & Lounges, Kitchen, Lightening, Interior accessories, Beds and Others. The chair segment was valued at USD 5.6 billion in 2023 and is expected to grow at a CAGR of 4.6% from 2024 to 2032. Chairs are adaptable and important items of furniture that can be found in every area, making them a must-have for both home and commercial settings. The great demand for luxury chairs stems from its ability to provide value and aesthetic appeal, providing comfort while boosting overall interior design. Additionally, the growing popularity of home offices and remote work has increased the demand for high-quality, ergonomic chairs.
 

Based on Distribution channel, the luxury furniture market is segmented into Online and Offline. The Offline Distribution channel accounted for 65.3% of market share in 2023 and is expected to grow at a CAGR of 3.9% from 2024 to 2032. Offline outlets, such as exclusive showrooms, high-end furniture stores, and luxury department stores, offer a physical and immersive shopping experience that appeals to customers. These physical locations allow clients to engage directly with the furniture, evaluate quality, and experience the luxury spaces, which is critical for high-value purchases such as luxury furniture. Furthermore, offline channels frequently provide personalized client service, including expert advice and support in choosing unique and customized furniture items.
 

Europe dominated the market for luxury furniture market with a share of USD 7.4 billion in 2023 and is expected to grow at a robust CAGR of 4.3% during the projected period from 2024-2032. The region has a long history of craftsmanship and design expertise, and it has earned a reputation for creating high-quality luxury furniture. European makers are known for their attention to detail, use of high-quality materials, and inventive designs that appeal to discerning buyers looking for both aesthetic appeal and utility in their furniture purchases.
 

The U.S. dominated the North America market with a share of 3.9 billion in 2023. The US luxury furniture industry benefits from a significant number of affluent consumers who value quality and elegance in their home furnishings. The strong economy, which is characterized by high disposable incomes and high levels of consumer confidence, has encouraged People to spend money on high-quality furnishings that will improve their living spaces.
 

China dominated the Asia Pacific luxury furniture industry accounted for 35% of market share in 2023. China's rapid economic expansion has raised disposable incomes across the country, resulting in increasing demand for luxury products, particularly premium furnishings. As more Chinese customers gain purchasing power, there is a growing preference for choosing high-end furniture that represents status and luxury.
 

Germany is expected to grow at a CAGR of over 5% due to shift towards sustainability and eco-conscious consumerism, particularly in the luxury furniture sector. German customers, known for their environmental consciousness and commitment to sustainability, are increasingly valuing items that reduce environmental effect and support ethical production processes. As a result, luxury furniture manufacturers in Germany are responding by offering environmentally friendly solutions such as reclaimed wood, bamboo, or recycled materials.
 

Luxury Furniture Market Share

The global market is fragmented in nature, with prominent players such as Kubota Corporation, Briggs & Stratton Corporation, Kawasaki Heavy Industries, Ltd., Kohler Co., Yanmar Co., Ltd.  and Honda Motor Co., Ltd. accounting for ~10% of the market share. Manufacturers are adopting strategic steps, such as mergers, acquisitions, partnerships, and collaboration, to consolidate their market position and meet the growing consumer demand.
 

Luxury Furniture Market Companies

Major players operating in the luxury furniture industry include:

• Bentley Home
• Boca do Lobo
• cassina
• Furniture Concepts
• Godrej & Boyce Manufacturing Co. Ltd.
• Haworth Inc
• Heritage Home
• Herman Miller, Inc.
• HNI
• IKEA
• Illulian Luxury Rugs
• Knoll, Inc.
• Kohler Inc
• MARIONI
• Renaissance furniture
• Urban Office
   

Luxury Furniture Industry News

• In October 2022, Linly Designs, a Chicago-based interior design and retail company, acquired Marge Carson, a California-based manufacturer of handcrafted furniture. Marge Carson furniture is well-known not just in the United States, but also around the world, for its high quality, proportionate forms, and textiles in the industry
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• In December 2022, Kogan.com started handling the operation of Brosa, Australia's largest online supplier of luxury furniture. The contract is expected to enable the famed furniture brand to relaunch its operations with the assistance of the Kogan Group.
   

The luxury furniture market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Billion) and volume (Thousand Units) from 2021 to 2032, for the following segments:

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Market, By Type

• Table
• Chair
• Sofas & Lounges
• Kitchen
• Lightening
• Interior accessories
• Beds
• Others

Market, By Distribution Channel

• Online
• Offline

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Spain
  • Italy
  • Portugal
  • Romania
  • Switzerland
  • Netherlands
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific 
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• MEA
  • UAE
  • Saudi Arabia
  • South Africa
  • Rest of MEA