The value of the home décor market in the United States was forecast to reach *** billion U.S. dollars in 2024, a ** percent increase from 2019 value, which stood at *** billion U.S. dollars. IKEA, Wayfair, and Bed Bath & Beyond are among the leaders in the home décor and furnishing industry in the United States.

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Home Furnishings Market Size 2025-2029

The home furnishings market size is forecast to increase by USD 538.8 million at a CAGR of 7.2% between 2024 and 2029.

The market is experiencing significant growth, driven primarily by the increasing interest in interior design and the rise in demand for eco-friendly home furnishings. Consumers are investing more in enhancing their living spaces, leading to increased sales in this sector. Additionally, there is a growing preference for sustainable and environmentally-friendly products, presenting a valuable opportunity for companies to cater to this trend. However, the market faces challenges, including uncertainty in the prices of raw materials. This volatility can impact the profitability of businesses in the home furnishings industry, necessitating effective supply chain management and price strategies to mitigate risks and maintain competitiveness.
Companies seeking to capitalize on market opportunities and navigate challenges effectively should focus on offering innovative, eco-friendly home furnishing solutions while managing their raw material costs and ensuring efficient supply chain operations.

What will be the Size of the Home Furnishings Market during the forecast period?

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The market continues to evolve, with dynamic trends shaping various sectors. Customization, such as fire pits and minimalist furniture layouts, gains popularity, while promotions and fabric selection cater to diverse consumer preferences. Scandinavian and bohemian styles coexist with furniture rental and assembly services, ensuring flexibility for modern living. Outdoor furniture and eco-friendly options, like area rugs and sustainable materials, prioritize comfort and environmental consciousness. Furniture pricing and repair services address affordability and longevity, while design trends incorporate smart home technology and space planning. Bedroom and kitchen furniture, along with bathroom accessories, showcase quality materials and innovative design.
Furniture distributors and wholesalers adapt to these trends, providing a seamless supply chain. Furniture stripping and painting add a personal touch, while furniture retailers cater to various styles, from rustic to mid-century modern. Space planning and furniture comfort are essential considerations, with furniture trends embracing contemporary and traditional styles. Furniture financing, leasing, and subscription services offer flexible solutions for Home Renovation projects. Handmade and industrial furniture, along with furniture brands and Office Furniture, cater to unique tastes and professional environments. Furniture guarantees, delivery, and installation ensure customer satisfaction, while online shopping and catalogs provide convenience.
Furniture recycling and sourcing initiatives promote sustainability, with patio sets and Home Decor adding the final touches to living spaces.

How is this Home Furnishings Industry segmented?

The home furnishings industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Product

  Home furniture
  Home textiles
  Floor coverings


Distribution Channel

  Offline
  Online


Material

  Wood
  Fabric/Textile
  Metal
  Plastic
  Glass


End-user

  Residential
  Commercial


Decorative Accessories

  Wall Art
  Rugs and Carpets
  Lighting Fixtures


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    Italy
    UK


  Middle East and Africa

    UAE


  APAC

    China
    India
    Japan
    South Korea


  South America

    Brazil


  Rest of World (ROW)

By Product Insights

The home furniture segment is estimated to witness significant growth during the forecast period.

The home furniture market is a significant sector, accounting for over half of the total market share due to its essential role in residential buildings. APAC, particularly in countries like China, India, and Japan, is experiencing rapid growth in this market. This expansion is attributed to the increasing average dual-household income and population growth. Multifunctional and ready-to-assemble (RTA) furniture are popular choices in this segment, catering to consumers' demand for space efficiency and affordability. Living room, bedroom, and kitchen furnishings are the primary categories, while bathroom furniture is gaining prominence. Consumers are increasingly valuing country and rustic styles for their bathrooms.

Design trends include minimalist and Scandinavian styles, as well as the integration of smart home technology. Furniture customization, restoration, and repair services are also on the rise. Fabric selection, color palettes, and eco-friendly materials are essential considera

US Home Furnishing Market was valued at USD 392 billion in 2024 and is projected to reach USD 649 billion by 2031, growing at a CAGR of 6.5% during the forecast period 2024-2031

US Home Furnishing Market Drivers

Robust Housing Market: The demand for home furnishings is greatly impacted by the state of the housing market, which includes new home construction, existing home sales, and remodelling activities. A healthy real estate market encourages furniture and décor purchases.

Changing Consumer Lifestyles: Trends in home furnishings are influenced by changes in consumer choices, lifestyles, and demography. Modern, functional, and adjustable furniture is in high demand due to factors including family arrangements changing, urbanisation, and millennial homebuyers.

E-commerce Growth: More consumers now have access to a greater selection of home furnishings thanks to the growth of e-commerce platforms and online furniture merchants. Online furniture sales are fueled by convenience, affordable prices, and alternatives for home delivery.

Renovation and Remodelling of Homes: The need for new furniture, flooring, lighting, and décor items to modernise and improve living spaces is driven by homeowners who undertake renovation projects and interior remodelling.

Growing Interest in Interior Design and Home Decor: Social media sites like Pinterest and Instagram are contributing to the growing interest in interior design and home decor, which in turn is encouraging customers to spend money on fashionable and customised furniture for their homes.

In 2021, the home furnishing market in South Korea held a value of around 20 trillion South Korean won, up by five trillion compared to 15 trillion won in 2018. The market was forecasted to grow further and reach approximately 29 trillion won in 2026.

The Home Furnishings Stores industry is experiencing a period of growth fueled by shifting consumer preferences and the boost of hybrid work models. As consumers balance remote and in-office work, there's a growing emphasis on creating living spaces that cater to professional and personal needs. This trend increases demand for multifunctional and ergonomic furniture, propelling sales for retailers who offer innovative, adaptable solutions. Revenue has expanded at a CAGR of 6.3% over the past five years to reach an estimated $90.9 billion in 2025, when income is projected to hike by 0.4%. Heightened competition from online retailers like Amazon and Wayfair has led to fierce price wars and a race to the bottom. Many brick-and-mortar stores have struggled to maintain their profit despite a steady demand for home products. The convenience and accessibility of online shopping have shifted how consumers make purchasing decisions, with many opting for the ease of digital platforms over traditional in-store experiences. This shift has forced brick-and-mortar stores to invest in online strategies and enhance their in-store experiences to remain viable. The home furnishings industry will face a mix of opportunities and challenges. Consumer investment in home improvement will drive growth. However, hurdles like rising tariffs on imports from China, Mexico and Canada might lead to higher prices, impacting profitability and consumer affordability. As geopolitical tensions and trade policies shift, businesses must adapt their cost structures accordingly. Integrating omnichannel retailing becomes critical to remaining competitive. As consumer expectations evolve, creating seamless shopping experiences that blend online convenience with physical interaction is essential. Emphasizing personalization and sustainability will also be crucial, as shoppers increasingly demand products that reflect their tastes and environmental values. Over the next five years, revenue will hike at a CAGR of 1.1% to reach an estimated $96.1 billion in 2030.

The Furniture And Home Furnishing Store Market report segments the industry into By Type (Furniture Stores, Home Furnishing Stores), By Ownership (Retail Chains, Independent Stores), By Store Type (Exclusive/Retail Showrooms, Inclusive Retailers/Dealers Store), and By Geography (North America, Europe, Asia-Pacific, Middle East). Get five years of historical data and five-year market forecasts.

Market Size statistics on the Home Furnishings Stores industry in United States

Global Home Furnishings Stores market size is expected to reach $286.39 billion by 2029 at 5.5%, rising interest in interior design drives growth in home furnishings stores market

Over the five years to 2024, online home furnishing sales have experienced considerable growth, driven by pivotal trends and market dynamics. The rapid acceleration of online shopping, particularly triggered by the COVID-19 pandemic, led to a notable surge in online sales as consumers focused on enhancing their living spaces during lockdowns. With physical retail locations operating at limited capacities or closed entirely, demand for home furnishings through digital channels increased significantly. Generational shifts have also played a crucial role, with Millennials and Gen Z driving sales due to their comfort with digital platforms and preference for convenience and customization. Intensifying competition has pushed retailers to innovate with unique product offerings, superior customer service and eco-friendly practices, contributing to industry revenue growing at a CAGR of 9.4% reaching $15.5 billion over the five years to 2024, including an anticipated 0.6% bump in the final year. In this period of expansion, profitability faces substantial challenges due to rising competition. The influx of new entrants, both startups and traditional retailers pivoting to digital, has heightened competitive pressure, leading to price-based strategies that may compress profit. To maintain profitability, online home furnishing retailers emphasize differentiation strategies, such as personalized product offerings and sustainability initiatives. These strategies address evolving consumer preferences and enable companies to stand out in a densely populated market. Achieving operational efficiencies and maintaining stringent cost management will be key for companies to sustain profit levels amid these competitive dynamics. Looking ahead to the five years to 2029, online home furnishing sales are expected to sustain growth, though at a moderated pace. The convenience and diverse offerings of online shopping will continue to drive revenue opportunities, enticing both new and established players. However, this growth will further exacerbate competitive pressures, necessitating ongoing innovation and adaptation to evolving consumer expectations. Trends in personalization and sustainability present distinct opportunities for differentiation, allowing companies to leverage these shifts in consumer priorities. Despite the challenges, industry revenue is projected to grow at a CAGR of 6.2%, reaching $20.9 billion over the five years to 2029, as businesses strategically position themselves to capture and expand market share in a dynamic landscape.

Global Furniture And Home Furnishings Stores market size is expected to reach $708.16 billion by 2029 at 6.5%, segmented as by type, furniture stores, home furnishings stores

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Europe Home Furnishings Market Size 2025-2029

The Europe home furnishings market size is forecast to increase by USD 213.5 billion, at a CAGR of 7.1% between 2024 and 2029.

The market is experiencing significant growth, driven by the expansion of the real estate and construction industry. This sector's growth is fueled by increasing demand for new homes and renovations, leading to a rise in demand for furniture. Another key trend is the rising adoption of eco-friendly furniture, as consumers become more environmentally conscious. However, manufacturers and companies face challenges, including rising costs due to raw material prices and labor expenses. These factors necessitate strategic planning and cost management to maintain profitability In the market. The market analysis report provides a comprehensive overview of these trends and challenges, offering insights to help businesses navigate the dynamic market.

What will be the Size of the market During the Forecast Period?

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How is this market segmented and which is the largest segment?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Distribution Channel

  Offline
  Online


Product

  Home furniture
  Home textiles
  Floor coverings


Material

  Wood
  Plastic
  Fabric
  Metal
  Others


Geography

  Europe

    Germany
    UK
    France
    Italy

By Distribution Channel Insights

The offline segment is estimated to witness significant growth during the forecast period. The market encompasses specialty stores and home decor chains as its major offline segments. Specialty stores, such as IKEA, Ashley Furniture, Raymour and Flanigan, and West Elm, focus on unique product categories and provide expert guidance to customers. Home decor chains, on the other hand, offer a wide product portfolio with seasonal discounts, pickup, and delivery services.

In the online segment, electrical systems are gaining prominence with the integration of IoT and electrical safety features. Driving factors include capital expenditure on clean energy technology, smart grid, renewable energy, and R&D programs. Regulations regarding electrical protection, load current, overload, and electrical faults are crucial considerations. Key players adopt mergers, joint ventures, and strategic partnerships to gain a competitive edge. Raw material suppliers, wholesalers, and pricing strategies also impact market dynamics.

Get a glance at the market report of share of various segments Request Free Sample

Market Dynamics

The market encompasses a diverse range of products designed to enhance the aesthetic and functional value of residential spaces. This market exhibits steady growth, driven by various factors including consumer preferences for comfort, style, and functionality. The market size is substantial, with continuous expansion fueled by increasing urbanization, rising disposable income, and a growing trend towards personalizing living spaces. Key trends in the market include the integration of technology, such as IoT-enabled smart home solutions, and a focus on electrical safety.

Raw material suppliers and wholesalers play crucial roles in supplying the industry, while pricing and competitive strategies remain significant factors shaping market dynamics. Regulations, particularly those related to electrical safety, also influence market direction. The market includes both organized and unorganized sectors, with key players focusing on product innovation, quality, and customer service to differentiate themselves. Overall, the market presents a dynamic and evolving landscape, underpinned by a strong demand for products that enhance the comfort and functionality of residential spaces.

Our Europe Home Furnishings Market researchers analyzed the data with 2024 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

What are the key market drivers leading to the rise in adoption of Europe Home Furnishings Market?

The growth of real estate and construction industry is the key driver of the market. The market experiences growth due to the expansion of the real estate industry, leading to an increase in demand for furniture in offices, commercial complexes, and residential buildings. The rise In the number of single-person and two-person households has fueled residential construction activities, contributing to market growth. Additionally, the aging population, urbanization, and lifestyle preferences of Millennials have driven the demand for customized furniture. In response, manufacturers focus on producing portable, compact, and multifunctional furniture to cater to the

The Home Furnishing Market in Germany is Segmented by Type (Kitchen Furniture, Living-room, and Dining-room Furniture, Bedroom Furniture, and Other Furniture) and Distribution Channel (Supermarkets and hypermarkets, Specialty Stores, Online, and Others).

The global home furnishing market is anticipated to register an impressive CAGR during the forecast period and The market for home furnishings is expanding healthily as a result of rising disposable incomes, a rebound in the real estate sector

The size of the Home Furnishing Market was valued at USD 1018.2 billion in 2023 and is projected to reach USD 1861.31 billion by 2032, with an expected CAGR of 9.0 % during the forecast period. The global home furnishing market is growing steadily, supported by the increasing demand from consumers for stylish, functional, and sustainable home décor products. With more people investing in making their living spaces comfortable and aesthetically pleasing, the market for furniture, textiles, lighting, and decorative items is expanding. Rising disposable incomes, changing lifestyles, and the trend of home renovation are some of the factors that drive market growth. Besides, e-commerce platforms have enabled consumers to access a vast variety of home furnishing products, which has also helped increase sales. Sustainability is also becoming a significant driver, as more and more consumers prefer home furnishings that are not only eco-friendly but also ethically produced. Innovations in smart furniture that integrates technology to make life easier and multifunctional pieces for smaller living spaces are also being seen in the market. With the increased requirement for personalized and high-quality products, the global home furnishing market is likely to remain positive.

The global market value of furniture was estimated to be *** billion U.S. dollars in 2023, and was expected to increase every year to reach a forecasted value of approximately *** billion U.S. dollars by 2030. Office furniture retail Steelcase, a leading office furniture company, generated a revenue of **** billion U.S. dollars in the United States alone in 2023. Ranked on a global scale, the revenue of the office furniture market is lead by the United States, amounting to ***** billion U.S. dollars. In 2022, the import of office equipment to the States was valued at ** million U.S. dollars. Ready-to-assemble (RTA) furniture Ready-to-assemble (RTA) furniture became popular in the 1950s and introduced selling unassembled furniture in parts to customers who preferred to save money on their purchase and assemble the furniture themselves at home. Perhaps most famous for RTA furniture is the Swedish furniture giant IKEA, the largest furniture retailer in the world. In 2023, IKEA generated nearly ** billion euros in global revenues and recorded more than *** million visits to their stores worldwide. Europe is home to the largest number of IKEA stores, followed by North America and Asia.

Global Home Decor market size is expected to reach $777.81 billion by 2029 at 4.4%, segmented as by product type, furniture, textile, flooring, other products

According to Cognitive Market Research, the global Home Furniture market size will be USD 642514.2 million in 2024. It will expand at a compound annual growth rate (CAGR) of 6.00% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 257005.6 million in 2024 and will grow at a compound annual growth rate (CAGR) of 4.2% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 192754.2 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 147778.2 million in 2024 and will grow at a compound annual growth rate (CAGR) of 8.0% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 32125.7 million in 2024 and will grow at a compound annual growth rate (CAGR) of 5.4% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 12850.2 million in 2024 and will grow at a compound annual growth rate (CAGR) of 5.7% from 2024 to 2031.
The Beds and Mattresses category is the fastest growing segment of the Home Furniture industry

Market Dynamics of Home Furniture Market

Key Drivers for Home Furniture Market

Increasing the Use of Biodegradable and Compostable Materials to Boost Market Growth

The global real estate market is experiencing growth, with many governments promoting affordable housing initiatives and private developers launching new residential projects. This has led to a rise in demand for home furniture to furnish these new homes. According to the National Association of REALTORS, 4.09 million existing homes were sold in 2023. In May 2024, new single-family home sales reached a seasonally adjusted annual rate of 619,000, as the U.S. Census Bureau reported. The Federal Reserve's 2022 Survey of Consumer Finances indicated that 66.1% of families owned their primary residence. Additionally, over 360,000 real estate brokerage firms are operating in the U.S. The booming rental housing market, particularly in metropolitan areas, is also driving demand, with renters seeking affordable, durable, and easily transportable furniture to furnish temporary homes, boosting sales in certain home furniture categories.

Increased Consumer Spending and Urbanization to Drive Market Growth

As disposable incomes rise, particularly in emerging economies such as India, China, and Brazil, consumers increasingly invest in high-quality home furniture. This shift is motivated by the desire to improve living conditions, aesthetics, and comfort. The trend of rapid urbanization is also driving demand for modern homes, which in turn fuels the need for contemporary furniture. People relocating to urban areas are more likely to furnish their homes according to modern styles. Globally, a growing portion of the population resides in cities. In 2012, 52.5% of the population lived in urban areas, and by 2022, this was projected to rise to 56.9%. The urban population share is generally higher in developed regions (79.7% in 2022) than in developing ones (52.3%). In least-developed countries (LDCs), urban residents remain the minority at 35.8%. In the U.S., among cities with populations of 1 million or more, Austin, TX, saw the fastest growth at 32.8%, followed by Raleigh, NC, at 25.1%, and Orlando, FL, at 22.7%. Austin, TX, also led in land conversion from rural to urban, with an 18.5% increase.

Restraint Factor for the Home Furniture Market

Fluctuating Raw Material Prices, will Limit Market Growth

The cost of key raw materials like wood, metal, foam, and fabrics is often highly volatile, directly affecting production costs for manufacturers. This can lead to higher prices for consumers, which may dampen demand. As the furniture market is global, with manufacturers sourcing materials and shipping products internationally, rising freight and shipping costs can significantly impact pricing—particularly for large, bulky items like sofas, beds, and dining tables, where transportation forms a major part of the overall cost structure. Additionally, the furniture manufacturing industry in developed countries faces labor shortages due to an aging workforce and rising wages. These labor challenges drive up production costs, especially in regions with high labor expenses like the U.S., Canada, a...

Home Furnishings Store Market Outlook

The global home furnishings store market size was valued at approximately USD 700 billion in 2023 and is projected to reach around USD 1.1 trillion by 2032, growing at a compound annual growth rate (CAGR) of 5.5% during the forecast period. The substantial growth in this market is primarily driven by increasing consumer inclination towards home decoration, rising disposable incomes, and a growing trend of home renovation and remodeling activities across the globe.

One of the significant growth factors for the home furnishings store market is the increasing consumer demand for aesthetic home environments. With the rise in social media influence and home decor shows, consumers are more aware of the latest trends and styles in home furnishings, which drives them to invest in premium and designer home furniture and decor. Additionally, the growing urban population and the subsequent increase in the number of residential buildings also contribute to the market's growth as more homes mean higher demand for furnishings.

Furthermore, the increasing number of nuclear families and single-person households has led to a rise in demand for compact and multifunctional furniture. As urban living spaces become smaller, consumers are looking for furnishings that maximize space efficiency without compromising on style and comfort. This trend has spurred innovation and competition among manufacturers and retailers, who are continuously introducing new products tailored to modern living needs.

The growing e-commerce sector has also significantly impacted the home furnishings store market. Online platforms offer a vast array of product choices, competitive pricing, and the convenience of home delivery, making them an increasingly popular choice among consumers. The advent of augmented reality (AR) and virtual reality (VR) technologies is further enhancing the online shopping experience by allowing customers to visualize how the furniture will look in their homes before making a purchase, thus boosting online sales.

Loose Furniture has become an integral part of modern home furnishings, offering flexibility and adaptability that cater to the dynamic needs of today's consumers. Unlike built-in furniture, loose furniture pieces such as sofas, chairs, and tables can be easily rearranged or replaced, allowing homeowners to refresh their living spaces without major renovations. This versatility is particularly appealing in urban environments where space is often limited, and the ability to reconfigure a room can significantly enhance its functionality and aesthetic appeal. As a result, manufacturers are focusing on creating innovative designs that combine style with practicality, ensuring that loose furniture remains a popular choice among consumers seeking both comfort and convenience.

Regionally, North America and Europe are currently the largest markets for home furnishings stores, driven by high consumer spending on home improvement and decor. However, the Asia Pacific region is expected to witness the fastest growth during the forecast period, owing to rapid urbanization, economic development, and rising disposable incomes in countries like China and India. The growing middle class and their increasing spending power are likely to fuel the demand for home furnishings in this region.

Product Type Analysis

The home furnishings store market can be segmented by product type into Furniture, Home Decor, Textiles, Lighting, and Others. Each of these categories plays a crucial role in shaping the overall market landscape. Furniture, being one of the most significant segments, includes various products such as sofas, beds, dining tables, chairs, and wardrobes. The demand for furniture is continually rising due to increasing residential and commercial construction activities, coupled with a growing preference for stylish and comfortable living spaces.

Home decor items, such as wall art, mirrors, photo frames, clocks, and decorative accessories, have also seen a surge in demand. This is driven by consumers' desire to personalize and enhance the aesthetics of their living spaces. The rise of social media platforms like Instagram and Pinterest has further fueled this trend, as people seek inspiration from online influencers and home decor blogs to curate their unique styles.

Textiles, including bed linens, curtains, cushions, and rugs, form another vi

The China Home Furniture Market report segments the industry into By Product (Living Room and Dining Room Furniture, Bedroom Furniture, Kitchen Furniture, Lamps and Lighting Furniture, Plastic and Other Furniture) and By Distribution Channel (Supermarkets/Hypermarkets, Specialty Stores, Online Retail Stores, Other Distribution Channels). The report provides historical data and five-year market forecasts.

Learn more about Market Research Intellect's Home Furnishings Market Report, valued at USD 232 billion in 2024, and set to grow to USD 350 billion by 2033 with a CAGR of 5.1% (2026-2033).