The furniture market share is expected to increase to USD 122.32 million from 2021 to 2026, and the market’s growth momentum will accelerate at a CAGR of 4.01%.
Furniture Market: Key Drivers, Trends, and Challenges
Based on research output, there has been a negative impact on the market growth during and after the post-COVID-19 era. The evolving consumer demographics in emerging economies are notably driving the furniture market growth, although factors such as the high exposure to global economic factors may impede the market growth. Our research analysts have studied the historical data and deduced the key market drivers and the COVID-19 pandemic impact on the furniture industry. The holistic analysis of the drivers will help deduce end goals and refine marketing strategies to gain a competitive edge.
Key Furniture Market Trend
The increasing number of strategic alliances and partnerships between vendors worldwide is one of the key furniture market trends expected to impact the industry positively in the forecast period. Vendors are focusing on improving operational efficiency to provide an extensive range of services such as home delivery and end-to-end furniture solutions to become global lifestyle brands.
Key Furniture Market Challenge
- One of the key challenges to the global furniture industry growth is the high exposure to global economic factors.
- The economic factors include consumer spending capacity, income levels, white-collar employment rates, business confidence levels, investments, trade volumes, corporate spending, and the globalization of businesses and companies.
- A downturn in global economic growth or in some key regions such as North America will harm the global furniture market.
- When an economy is depressed and employment rates, as well as disposable incomes, are low, the purchases of furniture and furnishing products tend to decline.
- Commercial and residential construction has also diminished in an economy that is slowing down.
- The demand for new residential and office furniture will be limited, which would also affect the sales of the products offered by the vendors.
- The market is highly dependent on international diplomacy and trade relations. This is estimated to be a significant hindrance to the market growth during the forecast period.
This furniture market analysis report also provides detailed information on other upcoming trends and challenges that will have a far-reaching effect on the market growth. The actionable insights on the trends and challenges will help companies evaluate and develop growth strategies for 2022-2026.
COVID Impact and Recovery Analysis
The market witnessed a decline in 2020, owing to the outbreak of COVID-19. However, the market is expected to see a rise in furniture sales via e-commerce channels during the forecast period. The market recovery started in 2021, with the gradual lifting of COVID-19 restrictions.
What are the Revenue-generating Product Segments in the Furniture Market?
The furniture market share growth in the home segment will be significant during the forecast period. People shifting to urban areas are more likely to purchase home furniture and furnishings, thus driving new product sales in the market. In addition, the increasing government initiatives on urban housing development are estimated to drive the demand for home furniture during the forecast period.