Luxury Furniture Market Size to Worth USD 33.31 Billion by 2030 | With a Striking CAGR of 5.57%
Pune, India, Aug. 29, 2023 (GLOBE NEWSWIRE) — The global luxury furniture market size was valued at USD 21.67 billion in 2022 and is projected to grow from USD 22.78 billion in 2023 to USD 33.31 billion by 2030, exhibiting a CAGR of 5.57% during the forecast period.
The industry outlook is being positively influenced by growing consumer spending and various other factors such as household debt levels, per-capita income, and consumer expectations. Other aspects, such as ever-increasing disposable income, improvement in living standards, growing demand for furniture, and robust popularity of home renovation and decoration projects, will also fuel the market growth.
Fortune Business Insights™ presents this information in a report titled, “Global Luxury Furniture Market, 2023-2030
The research report analyzes the industry in detail and highlights several crucial aspects such as prominent companies, competitive landscape, raw materials, end users, and distribution channels. Apart from this, the report also offers insights into the industry trends and underlines many important developments in the market.
Drivers and Restraints:
Rapid Growth of Real Estate Sector to Contribute to the Luxury Furniture Industry Growth
The real estate sector has recently shown substantial expansion due to increased demand for office and residential spaces. The growing construction of residential and commercial buildings will drive the market progress.
The wide availability of counterfeit products might hinder the market development. Counterfeiting also involves placing the logo or trademark of a famous brand on a product, but the product is not manufactured or authorized by that brand.
Border Closures and Lockdowns during COVID-19 Caused Major Decline in Market Development
The COVID-19 pandemic negatively affected the global luxury furniture market growth as governments imposed several travel and movement restrictions to contain the spread of the virus. This resulted in the complete closure of international and domestic borders. The import and export of various raw materials came to a complete standstill during this period, which created several production and supply chain disruptions. These factors further hampered the market growth.
Factors Affecting the Growth of the Luxury Furniture Market:
Consumer Income and Spending Power: The growth of the luxury furniture market is significantly influenced by the disposable income and purchasing power of consumers. As people’s incomes rise, they are more likely to invest in premium and luxury products, such as handbag-inspired furniture pieces.
Consumer Preferences and Lifestyle: Changing consumer preferences and lifestyles can drive demand for unique and stylish furniture pieces. As consumers seek to personalize their living spaces, handbag-inspired furniture that adds a touch of luxury and fashion can attract their interest.
Fashion Trends and Design Innovation: Trends in the fashion industry, particularly in luxury handbags, can impact the design and aesthetics of handbag-inspired furniture. Design innovation that aligns with current fashion trends can make these furniture pieces more appealing to consumers.
Branding and Reputation: The reputation of luxury brands that venture into the furniture market can influence consumer perception and purchasing decisions. Established luxury brands with a strong reputation for quality and exclusivity can leverage their image to drive growth in the handbag furniture segment.
Marketing and Promotion: Effective marketing strategies, such as collaborations with fashion influencers or celebrities, can create buzz around handbag-inspired furniture collections. Creative promotional campaigns can increase consumer awareness and generate interest in these unique products.
Economic Conditions: Economic stability and growth can impact consumer confidence and willingness to invest in luxury goods, including furniture. During economic downturns, demand for luxury items might decrease, whereas during economic upturns, there might be greater willingness to splurge on such products.
Distribution Channels: The availability of handbag-inspired furniture through various distribution channels, such as exclusive showrooms, online platforms, and high-end retail stores, can affect accessibility for consumers and ultimately influence market growth.
Cultural and Demographic Factors: Cultural preferences and demographics play a role in shaping consumer tastes. Different cultures may have varying inclinations toward luxury items, and understanding these nuances is crucial for successfully tapping into different markets.
Quality and Craftsmanship: Luxury inspired furniture is often associated with superior craftsmanship and quality materials. Ensuring that these aspects are maintained can help sustain demand and justify premium pricing.
Sustainability and Ethical Practices: In recent years, consumers have shown increasing interest in sustainable and ethically produced products. Brands that emphasize environmentally friendly practices in the production of handbag furniture can attract environmentally conscious consumers.
Aesthetic Design and High Durability Offered by Wooden Furniture to Support Market Expansion
Based on raw material, the market is divided into wood, metal, plastic, and others. The wood segment is expected to hold a dominant market share, owing to its adaptability and high-quality finishing. Wood is the most popular material due to its high aesthetic value and durability. These features will boost the sales of luxurious wooden furniture.
Rise in Home Décor Projects to Fuel Market Growth
Based on end-user, the market is divided into residential and commercial. The residential segment is predicted to hold a significant market share owing to the large-scale manufacturing of home décor and furnishing products.
Growing Demand for Personalized Shopping Experience to Boost Sales of Offline Distribution Channels
In terms of distribution channel, the market is divided into online and offline. The offline segment is predicted to capture a sizeable industry share as it offers customers a personalized experience and allows them to check a product’s quality through physical inspection.
In terms of region, the market is studied across North America, Europe, Asia Pacific, South America, and the Middle East & Africa (MEA). The Europe region is anticipated to capture a sizeable luxury furniture market share during the forecast period as many companies across the region are involved in in-depth research & development. They are also constantly upgrading technologies used in the production of luxury furniture, thereby spurring the product sales across the region.
The North America region is also predicted to hold a major market share as there is a notable presence of reputed luxury furniture manufacturers. Also, the construction of residential and commercial buildings will spur the adoption of luxurious furnishing products.
Detailed Table of Content:
Definitions and Assumptions
Overview of the Furniture Market
Industry SWOT Analysis
Supply Chain Analysis
Impact of COVID on the Luxury Furniture Market
Impact of COVID-19
Potential Opportunities due to COVID-19
Recent Industry Developments – Policies, Partnerships, New Product Launches, and Mergers & Acquisitions
Global Luxury Furniture Market Analysis, Insights and Forecast, 2019–2030
Acquisitions and Partnerships by Leading Companies to Boost Market Growth
Reputed organizations, such as Scavolini S.P.A., Cassina S.p.A., Kimball International, Inc., Brown Jordan International, and many others, are developing a wide range of growth strategies to fortify their presence in the global market. For example, in October 2022, Linly Designs acquired Marge Carson, a luxury furniture brand, which manufactures high-end residential furniture. The deal is expected to enhance operational efficiencies and product offerings.
Key Industry Development:
May 2022: Natuzzi S.p.A. signed a partnership deal with a reputed listed furniture supplier to speed up the brand’s retail expansion in the APAC region. This move will help generate more revenue and increase customer base.
Fortune Business Insights™ delivers accurate data and innovative corporate analysis, helping organizations of all sizes make appropriate decisions. We tailor novel solutions for our clients, assisting them to address various challenges distinct to their businesses. Our aim is to empower them with holistic market intelligence, providing a granular overview of the market they are operating in.