In 2024, furniture and home furnishings store sales in the United States amounted to about ***** billion U.S. dollars, a decrease compared to the ***** billion recorded a year earlier. Furniture & home furnishings The home furnishings retail industry allows consumers to make their homes truly their own with their very choices of furniture and décor to adorn them. Style, affordability and functionality are the main reasons consumers give for shopping lifestyle furniture stores, such as IKEA and Williams-Sonoma.Demand for home furnishings is cyclical, influenced by housing starts, as desires to remodel and redesign are not necessary during slow economic times. Demand is also driven by consumer income. Large companies compete through volume purchasing, breadth of products, and effective merchandising and marketing. Small companies focus on a market segment and compete through depth of products and superior customer service. Competition for home furnishing stores includes department stores, mass merchandisers, home improvement stores, furniture makers that have their own stores, and online and mail order retailers. Sustainable furniture on demand Increased consumer interest in home decoration is fueling new market growth. In particular, demand for organic home furnishing products is continuing to rise thanks to increased consumer awareness regarding the importance of choosing more environmentally friendly materials. Other factors driving market growth include availability of wider product ranges, regional market development and electronic media campaigns. Consumers are showing particular interest in sustainable materials, and organic design in the home furnishing products sector.

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.

In 2019, Ashley HomeStore was the top ranked furniture store in the United States with sales that amounted to about *****billion U.S. dollars. Amazon.com was the top ranked online furniture retailer in the United States that year.

Over the past five years, the US household furniture manufacturing industry has faced a range of challenges, from housing market slowdowns to persistent inflation and volatile supply chains. As elevated mortgage rates and sky-high housing prices led to a drop in existing home sales, demand for new furniture softened, forcing manufacturers to refine their product offerings and optimize operational efficiency. Revenue has been expanding at a modest CAGR of 0.9% over the past five years and is expected to reach $28.0 billion in 2025, when revenue will fall by an estimated 0.7%. One significant trend shaping the industry has been shrinking profitability amid heightened costs and shifting consumer habits. Increased input prices, rising freight costs and ongoing inventory surpluses have weighed on industry profit, just as inflation and the threat of a recession make consumers more selective about large purchases. Many households are focusing on essential replacements, like mattresses and sofas, rather than discretionary purchases, prompting manufacturers to consolidate product lines and streamline inventory. Although select companies have taken advantage of “Made in USA” branding and tech investments to shore up their position, industry profit has still fallen over the period, and manufacturers continue to feel the pinch from heavy discounting and tough global competition. Looking ahead, the next five years are expected to bring gradual transformation but only muted growth for the industry. The outlook calls for a continued focus on essentials, increased innovation around multifunctional and sustainable furniture and deeper e-commerce integration as consumer habits evolve. With ongoing trade tensions and tariffs set to keep pressure on supply chains and costs, manufacturers will need to adapt quickly by diversifying suppliers, embracing new materials and enhancing automation. Over the next five years, revenue is forecast to rise at a CAGR of just 0.7%, reaching $29.0 billion in 2030. While opportunities exist in smart and sustainable product lines and expanded direct-to-consumer channels, manufacturers will have to stay agile and innovative to overcome ongoing economic and competitive headwinds.

In 2024, Wayfair had retail sales of approximately ***** billion U.S. dollars in the United States. Williams-Sonoma was ranked second, with sales of about *** billion U.S. dollars that year. The home goods market in the United States The home goods market consists of the manufacture, distribution, and retail of home furniture, cookware, gardening equipment, and household accessories. The home décor market in the United States alone has been forecasted to generate approximately ***billion U.S. dollars in revenue by 2029. The e-commerce segment of this market is also anticipated to witness growth over the next few years, with many consumers making their purchases online instead of at a physical home goods retailer. Furniture retail sales in the United States In 2024, almost ** percent of consumers surveyed shared that they would spend up to 1,000 U.S. dollars on furniture. The previous year, the average expenditure per consumer unit on furniture amounted to around ****** U.S. dollars. While Wayfair took the leading position amongst brick-and-mortar stores, consumers turned to Amazon, Home Depot, and Walmart when shopping for furniture online.

Amazon.com is leading the furniture and homeware e-commerce market in the United States, with e-commerce net sales in that category of *** billion U.S. dollars generated in 2024, followed by walmart.com, with online sales reaching *** billion. For an extended ranking, please visit ecommerceDB.com.

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North America High End Furniture Market Size 2025-2029

The North America high end furniture market size is forecast to increase by USD 3.63 billion at a CAGR of 4.6% between 2024 and 2029.

The market is witnessing significant growth, driven by the increasing preference for multi-functional luxury furniture. This trend is particularly prominent among the millennial demographic, who prioritize versatile and stylish home solutions. However, the market faces challenges, including frequent product recalls, which can negatively impact brand reputation and consumer trust. Manufacturers must address these challenges by ensuring stringent quality control measures and transparency in communication with consumers.
To capitalize on the market's potential, companies should focus on designing innovative, functional, and sustainable luxury furniture offerings that cater to the evolving needs and preferences of the consumer base. By doing so, they can differentiate themselves from competitors and establish a strong market presence. Furthermore, the growing affluence of the millennial demographic is fueling demand for high-end furniture, as they prioritize investing in quality home furnishings.

Major Market Trends & Insights

  By the Distribution Channel, the Offline sub-segment was valued at USD $ billion in 
  By the Product, the Seating products sub-segment accounted for the largest market revenue share in 

Market Size & Forecast

  Market Opportunities: USD $ 25.44 billion
  Future Opportunities: USD $ 3.63 billion 
  CAGR : 4.6%

What will be the size of the North America High End Furniture Market during the forecast period?

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The market continues to evolve, showcasing innovative designs and materials across various sectors. Leather furniture, with its timeless appeal, remains a popular choice for luxury interiors, while modern furniture, featuring sleek lines and minimalist designs, gains traction in contemporary residences. Outdoor furniture, crafted from weather-resistant materials, experiences significant growth, with sales increasing by 12% in the past year. Industry analysts anticipate a 5% annual expansion in the market, driven by consumer preferences for bespoke furniture, storage solutions, and commercial applications.
For instance, cabinet doors with door hinges that blend seamlessly into the design, and sectional sofas with drawer slides for convenient storage, have become essential features in both residential and commercial spaces. The fusion of classic and modern elements, as seen in armchair designs with upholstered fabric and metal legs, adds to the market's continuous dynamism. Attention to detail is evident in elements like furniture legs, furniture feet, and furniture handles, all of which contribute to both style and ergonomics. Modern furniture aesthetics and ergonomic designs cater to contemporary tastes, while traditional styles continue to be popular home decor.

How is this North America High End Furniture Market segmented?

The North America high end furniture market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2025-2029,for the following segments.

Distribution Channel

  Offline
  Online


Product

  Seating products
  Cabinets and entertainment units
  Tables
  Beds


Material

  Wood
  Metal
  Leather
  Plastic
  Others


Geography

  North America

    US
    Canada
    Mexico

By Distribution Channel Insights

The Offline segment is estimated to witness significant growth during the forecast period. The high-end furniture market in North America is characterized by a focus on craftsmanship and quality, with companies prioritizing various techniques to create luxurious pieces. Wood preservation and antique restoration are essential processes for maintaining the value and authenticity of solid wood furniture. Paint finishing techniques and polishing methods enhance the aesthetic appeal of furniture, while advanced joinery methods ensure structural integrity. Luxury furniture manufacturing incorporates ergonomic design principles and sustainable materials sourcing. For instance, a leading furniture manufacturer uses recycled wood and high-density foam to create comfortable, durable pieces. Ergonomic furniture design caters to consumers' comfort and well-being, with adjustable features and supportive structures.

The High-End Furniture Market in North America is evolving rapidly, fueled by growing consumer demand for luxury, craftsmanship, and customization. One of the major trends driving this market is the revival of traditional wood carving techniques, especially in handcrafted furniture, where artisans combine skill and creativity to deliver unique pieces. From solid wood furniture manufacturing process to advanced design technologies, manufacturers are embracing innovation

The US upholstered furniture market is projected to grow at a CAGR of 5.50% during the forecast period of 2025-2033. The market size is expected to reach $20 million by 2033. The growth of the market is attributed to factors such as increasing demand for comfortable and stylish furniture, rising disposable income, and growing urbanization. The upholstered furniture market is segmented by production analysis, consumption analysis, import market analysis, export market analysis, price trend analysis, companies, and region data. The major companies operating in the market include Mayo Furniture, Rowe Furniture, American Furniture Manufacturing Inc., Lancaster Custom Upholstery, Kincaid, Lazar Industries, Style Upholstery, Hickory White, Benchmark Upholstery, Stickley, and Bassett Furniture. The market is also segmented by region, including North America, South America, Europe, Middle East & Africa, and Asia Pacific. Recent developments include: May 2023: Bassett Furniture Industries partnered with Acuative to support its growing need for efficient, state-of-the-art networking communications and security technology. Bassett is a 121-year-old manufacturer of home furnishings with 60 corporately owned retail stores across the U.S., September 2022: Bassett Furniture acquired the capital stock of Noa Home Inc., a mid-priced e-commerce furniture retailer headquartered in Montreal, Canada. Noa has operations in Canada, Australia, Singapore, and the United Kingdom and had net revenues of approximately C$19.1 million for its most recent fiscal year., November 2022: -Hickory Furniture Collective acquired Old Hickory Furniture Company in Shelbyville, Indiana. With this acquisition, Hickory Furniture Collective is now the largest maker of hickory furniture worldwide. Hickory Furniture Collective was formed in 2018 with three brands: Hickory Furniture Designs, Flat Rock Furniture, and Rocky Top Furniture. Now, Old Hickory Furniture Company joins the family of brands, all proudly made in the USA.. Key drivers for this market are: Increase in the online sales of upholstered furniture, Customizations available of high-quality and cost-effective. Potential restraints include: Factors such as increased manufacturing complexity and labor shortage.. Notable trends are: Upholstered Furniture Dominates Wooden Residential Furniture in the United States.

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Home Furniture Market Size 2024-2028

The home furniture market size is forecast to increase by USD 95.7 billion at a CAGR of 4.72% between 2023 and 2028.

The rising volume of online sales is a key factor driving the growth of the furniture market, as more consumers opt for the convenience of shopping from home. A notable trend in the industry is the increasing demand for innovative, customized furniture, as customers seek unique and personalized pieces to fit their specific needs and preferences. This shift towards bespoke designs is pushing manufacturers to adopt new technologies and offer tailored solutions. There is an increasing demand for beds with pull-out shelves, universal serial bus (USB) ports, and outlets to charge iPods, laptops, and smartphones. However, the market faces challenges, particularly due to fluctuating labor costs and the volatility of raw material prices. These unpredictable costs create difficulties for manufacturers in managing their production expenses, affecting pricing strategies and profitability. To stay competitive, companies must find ways to mitigate these challenges while continuing to innovate and meet the growing demand for customized furniture. Balancing cost management with product differentiation remains a critical focus for industry players.

What will be the Size of the Home Furniture Market During the Forecast Period?

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How is this Home Furniture Industry segmented and which is the largest segment?

The industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Distribution Channel

  Offline
  Online


Product

  Living room furniture
  Bedroom furniture
  Storage furniture
  Others


Geography

  APAC

    China
    Japan


  North America

    Canada
    US


  Europe

    Germany


  Middle East and Africa



  South America

By Distribution Channel Insights

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

Offline stores enable consumers to physically experience the product before purchasing it. Therefore, offline stores are prominent in developed and developing countries across the world. The growth in offline distribution is augmented by a significant increase in the number of vendors expanding and operating their offline stores across both developed and developing regions. Such expansion has led to the growth of the global market through the offline distribution channel. Furthermore, the advent of online retailing positively impacted product sales in the regional market. Quick delivery options and secure transactions contribute to the popularity of online distribution channels in India. The global market is flooded with a rising number of online startups and various other already-established companies venturing into the digital space to reach out to a larger customer base. The millennial crowd is the largest set of the population using smartphones. This is driving the sales online.

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The Offline segment was valued at USD 236.50 billion in 2018 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 44% to the growth of the global market during the forecast period.

Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

For more insights on the market size of various regions, Request Free Sample

The rapidly growing real estate sector in APAC has led to an increase in the adoption of these by both domestic users, which in turn, has boosted the growth of the regional market. In India, consumers are opting for branded home furnishing products due to growing disposable incomes. Thus, various key companies are expanding their retention in the region. Thus, the increasing penetration of retail channels in the region will drive the growth of the regional market in focus during the forecast period.

Market Dynamics

Our researchers analyzed the data with 2023 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 the adoption of Home Furniture Industry?

Increasing online sales is the key driver of the market.

The rising popularity of online channels is the primary driver behind the growth of the global market. Owing to increasing internet penetration globally, the influence of e-commerce-based shopping and online retailing has grown.
Many major players have either launched their new specialist online s

According to Cognitive Market Research, The Global American Furniture market will grow at a compound annual growth rate (CAGR) of 4.0% from 2023 to 2030.

The demand for American Furniture is rising due to the raising of people's discretionary incomes.
Demand for indoor remains higher in the American Furniture market.
The wood held the highest American Furniture market revenue share in 2023.
North America will continue to lead, whereas the Europe American Furniture market will experience the strongest growth until 2030.

Housing Market Strength to Provide Viable Market Output

A significant market driver for American Furniture has been strength. Housing demand was driven by low mortgage rates and people's need for greater room as they spent more time at home. Demand for furniture rose as more people looked for new residences or started remodeling projects. This tendency is anticipated to continue, with the housing sector being a major factor in supporting furniture purchases. Due to the increase in remote work, the requirement for dedicated home offices has also increased demand for office furniture. The housing market will continue to be a major factor driving the American furniture market as long as it remains robust.

E-commerce and Digitation to Propel Market Growth

The increasing use of e-commerce and digital transformation is a major factor propelling the American furniture business. The pandemic changed consumer behavior: furniture purchases are now made online. Manufacturers and retailers swiftly adjusted, strengthening their online presence and e-commerce skills. Thanks to this shift, customers could now shop for furniture online, even for larger purchases. Online shopping's ease and security have allowed furniture sales to grow significantly through e-commerce. The expansion of digital furniture retail is further fueled by the development of augmented reality and virtual showrooms, which offer immersive online furniture purchasing experiences. The American furniture market is changing, and one of the main factors driving this change is the continued digital transformation of the sector and the ease it provides to consumers.

Rise in disposable income and increased consumer spending will propel market growth 

Market Dynamics of the American Furniture Market

Key Drivers of American Furniture Market

Rising Homeownership and Renovation Activities

With increasing homeownership rates, especially among millennials and Gen Z, and a growing culture of home renovation and remodeling, demand for furniture—both essential and decorative—continues to rise. Government incentives for homebuyers and low mortgage rates (historically) have further accelerated the trend of furniture spending.

Growth of E-commerce and Omnichannel Retailing

Digital transformation in the furniture industry has enabled consumers to browse, customize, and purchase furniture online. Brands like Wayfair, Ashley, and IKEA have optimized omnichannel strategies that combine physical showrooms with online platforms, offering greater convenience, personalization, and access to a wider product range.

Restraints of American Furniture Market

High Raw Material and Transportation Costs

The cost of wood, steel, foam, and upholstery materials has surged due to supply chain disruptions, tariffs, and inflation. Additionally, rising freight charges and labor costs have strained manufacturer margins and driven up retail prices, making furniture less affordable for certain customer segments.

Long Lead Times and Supply Chain Delays

The market has been affected by global shipping delays, port congestion, and shortages of key materials—particularly since the pandemic. Extended delivery timelines and backorders impact customer satisfaction and hinder inventory planning for retailers, leading to lost sales opportunities.

Key Trends of American Furniture Market

Growing Demand for Sustainable and Eco-Friendly Furniture

Consumers are increasingly favoring furniture made from reclaimed wood, recycled materials, and non-toxic finishes. Brands are responding with green certifications (e.g., FSC-certified wood), transparency in supply chains, and eco-conscious product lines—making sustainability a key market differentiator.

Personalization and Customization Options

There's rising interest ...

In the United States, Millennials were the generation with the largest share of consumers purchasing home and garden products online in the second quarter of 2023, with 61 percent. Gen Z followed behind with 29 percent.

The furniture market in the United States is a major industry, with a market size of XX million in 2023 and a projected CAGR of 4.00% from 2023 to 2033. The market is driven by factors such as rising disposable income, increasing urbanization, and growing demand for home furnishings. Key trends in the market include the growing popularity of online furniture sales, the increasing use of sustainable materials, and the rising demand for customizable furniture. The furniture market in the United States is segmented by material, application, and distribution channel. By material, the market is segmented into wood, metal, plastic, and other materials. By application, the market is segmented into home furniture, office furniture, hospitality furniture, and other furniture. By distribution channel, the market is segmented into supermarkets, specialty stores, online, and other distribution channels. The major players in the furniture market in the United States include Berkshire Hathaway Inc., Herman Miller, HNI Corporation, Steelcase, IKEA, Williams Sonoma, American Signature, Rooms To Go, TJX Companies, and Ashley Homestore Corporation. Recent developments include: In 2021,America's two most celebrated manufacturers of modern furnishings and accessories for both the office and home, Herman Miller and Knoll, become a single powerhouse design entity., In 2021, Knoll Inc., the storied Montgomery County furniture and textile designer and manufacturer, is being acquired by longtime competitor Herman Miller Inc. for $1.8 billion.. Key drivers for this market are: Tech-Integrated Furniture are Helping to Grow the Market. Potential restraints include: Raw Material Cost Barrier to Growth. Notable trends are: Home Furniture Segment is Driving the Market.

The US Sustainable Home Furniture Market is experiencing robust growth, projected to exceed a market size of approximately $15,000 million by 2025, with a compelling Compound Annual Growth Rate (CAGR) anticipated to be over 5.00%. This upward trajectory is fueled by a confluence of evolving consumer preferences and industry-wide shifts towards eco-conscious practices. Consumers are increasingly prioritizing furniture that not only enhances their living spaces but also aligns with their environmental values. This has led to a significant demand for products crafted from sustainable materials like wood sourced from responsibly managed forests, recycled PET, and rapidly renewable bamboo. The desire for transparency in the supply chain and the ethical production of home furnishings is also a major driver, pushing manufacturers to adopt more sustainable sourcing and manufacturing processes. Furthermore, the growing awareness of the environmental impact of traditional furniture production, including deforestation and excessive waste, is compelling consumers to seek out greener alternatives. Key market segments such as Home Furniture are at the forefront of this sustainable revolution, driven by homeowners looking to furnish their living spaces with products that reflect their commitment to environmental stewardship. While Office Furniture also presents opportunities, the residential sector currently holds a dominant position due to a more direct consumer connection to sustainability values. The distribution channels are also adapting, with both Offline and Online platforms playing crucial roles in reaching environmentally conscious consumers. Major players are investing heavily in research and development to innovate with sustainable materials and designs, while also enhancing their supply chain transparency and ethical manufacturing practices. The market is expected to continue its expansion as sustainability becomes a non-negotiable factor for a growing segment of the US consumer base, indicating a long-term shift in furniture purchasing habits. Key drivers for this market are: Rise in E-commerce is Driving the Market, Rise in Construction and Real Estate Sector Drives the Furniture Market. Potential restraints include: Economic Fluctuations, High Competition in the Furniture Market. Notable trends are: Residential Sector Driving the Market.

In 2023, China was the leading exporter of furniture to the rest of the world, with an export value of approximately 75 billion U.S. dollars. Germany, ranking second, exported about 14.1 billion U.S. dollars worth of furniture that year. Global furniture import As of 2023, the United States was the leading importer of furniture, with a value over three times that of Germany, which followed in second place. The value of imported furniture in the United States amounted to nearly 58 billion U.S. dollars. China as a leading import partner In a similar fashion to the global market, the United States’ main trade partner for furniture was China in 2023, with a value of over 20 billion U.S. dollars for imported furniture. China’s furniture market generated around 83 billion U.S. dollars in revenue the same year.

According to Cognitive Market Research, the global Home Furniture market size was 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, and p...

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Home Furnishings Market Size 2025-2029

The home furnishings market size is valued to increase USD 538.8 million, at a CAGR of 7.2% from 2024 to 2029. Increasing interest in interior design will drive the home furnishings market.

Major Market Trends & Insights

Europe dominated the market and accounted for a 37% growth during the forecast period.
By Product - Home furniture segment was valued at USD 419.80 million in 2023
By Distribution Channel - Offline segment accounted for the largest market revenue share in 2023

Market Size & Forecast

Market Opportunities: USD 95.70 million
Market Future Opportunities: USD 538.80 million
CAGR : 7.2%
Europe: Largest market in 2023

Market Summary

The market encompasses a diverse range of products and services, with core technologies and applications continually advancing to meet evolving consumer preferences. Notable trends include the increasing interest in interior design and the rise of eco-friendly home furnishings. Despite these opportunities, the market faces challenges such as uncertainty in prices of raw materials. According to recent market research, the eco-friendly segment is projected to account for over 25% of the market share by 2026, underscoring its growing significance. As the home furnishings landscape continues to unfold, stakeholders must navigate these dynamics to capitalize on emerging opportunities and mitigate potential risks.

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

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How is the Home Furnishings Market Segmented and what are the key trends of market segmentation?

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. ProductHome furnitureHome textilesFloor coveringsDistribution ChannelOfflineOnlineMaterialWoodFabric/TextileMetalPlasticGlassEnd-userResidentialCommercialDecorative AccessoriesWall ArtRugs and CarpetsLighting FixturesGeographyNorth AmericaUSCanadaEuropeFranceGermanyItalyUKMiddle East and AfricaUAEAPACChinaIndiaJapanSouth KoreaSouth AmericaBrazilRest of World (ROW)

By Product Insights

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

The market is a significant sector, accounting for over half the market share due to its essential role in residential buildings, villas, and bungalows. Among the regions, Asia Pacific (APAC) exhibits the fastest growth, with countries like China, India, and Japan leading the charge. This expansion is attributed to the increasing average dual-household income and population growth. Multifunctional and ready-to-assemble (RTA) furniture are popular choices within this segment, catering to the evolving consumer preferences. The market is projected to witness continued growth, fueled by the rising demand for luxury furniture. Home furniture encompasses various categories, including living room, bedroom, kitchen, and bathroom furnishings. Consumers increasingly prioritize bathroom furniture, particularly country and rustic styles. Interior design elements, such as upholstery fabrics, stain finishes, and fabric durability, significantly influence furniture selection. Spring systems, rug materials, particle board, wood treatments, plywood construction, textile blends, metal furniture, foam density ratings, ergonomic chairs, furniture design software, cushion fillings, furniture repair, glass furniture, supply chain logistics, furniture assembly, sustainable materials, window treatments, curtain fabrics, home decor styles, recycled wood, solid wood furniture, carpet fibers, cabinet hardware, laminate flooring, paint finishes, quality control furniture manufacturing processes, upholstery maintenance, wood veneer types, furniture refinishing, and lighting fixtures are all integral aspects of this market. The living room category dominates the market, with bedroom and kitchen furniture following closely. The kitchen segment is expected to gain traction due to the ongoing trend of open-concept living spaces and the growing popularity of modern kitchen designs. In the bedroom furniture segment, ergonomic chairs and furniture design software are increasingly popular, reflecting the importance of comfort and functionality. Furniture repair and maintenance services are also gaining significance as consumers seek to extend the life of their furniture investments. The market for sustainable materials, including recycled wood and solid wood furniture, is on the rise, driven by growing environmental awareness and consumer preferences for eco-friendly products. The furniture industry's supply chain logistics and furniture assembly processes are undergoing signif

Furniture and home furnishings sales represent around 8.36 percent of total U.S. e-retail sales, according to 2025 estimates. This segment is expected to see its share gradually reduced until 2028, when it could account for less than seven percent of total retail e-commerce sales in the United States. Will American consumers stop buying furniture online? Although furniture and home furnishing sales represent a small and decreasing segment of total e-commerce sales, the market revenue of furniture e-commerce worldwide is expected to reach 318.5 billion U.S. dollars in 2025. As of 2024, the United States also remains the leader of the worldwide e-commerce furniture market. In other words, American consumers are still buying furniture online, especially from retailers like IKEA. Spotlight on IKEA IKEA is one of the most valuable brands worldwide, and the United States is one of the top selling countries for IKEA products. In 2025, experts predict that IKEA will make more than 11.6 million U.S. dollars in e-commerce net sales, showing that e-retail furniture and home furnishing sales are far from in trouble despite a smaller share of the total e-retail market.

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US Home Decor Market Size 2025-2029

The home decor market size in US is forecast to increase by USD 75.9 billion at a CAGR of 8.2% between 2024 and 2029.

The home decor market is experiencing significant growth, driven by several key factors. One major trend is the rise in online spending and smartphone penetration, enabling consumers to shop for home decor items from anywhere at any time. Additionally, there is a growing demand for eco-friendly and sustainable home decor items, reflecting consumers' increasing awareness and concern for the environment. For instance, Threaded provides eco-friendly bedding and linens in fabric bags instead of plastic packaging.


These trends, among others, offer both opportunities and challenges for players in the home decor market. As consumers continue to prioritize personalized, sustainable, and convenient shopping experiences, companies must adapt to remain competitive. This market exhibits strong growth, driven by the increasing demand for personalized living spaces and the expanding real estate industry. Furthermore, long product replacement cycles result in infrequent purchases, making it essential for businesses to focus on customer retention and brand loyalty. 

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

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The home decor market encompasses various sectors, including furniture, home textiles, floor coverings, and artisanal processes, among others. The interior design industry is witnessing a shift towards personalized living spaces, with consumers seeking unique and customized home decor products. This trend is particularly noticeable in apartment living, where space is at a premium. Home renovation projects continue to fuel demand for home decor products, with homeowners investing in upgrades to create clean, modern spaces. Omnichannel retail strategies are gaining traction, as consumers increasingly turn to digital platforms for research and purchase. Floor coverings, such as wood floors, remain popular choices for both residential and commercial applications, including offices, restaurants, and libraries.


Mechanical processes have streamlined production, making these products more accessible to consumers. Consumer trends towards outdoor living and camping have led to increased demand for home decor products tailored to these activities. The real estate industry is also influencing home decor trends, with developers focusing on creating visually appealing spaces to attract tenants or buyers. Furthermore, the transportation sector is impacting home decor, with innovations in shipping and logistics enabling faster delivery of home decor products. Home improvement stores are capitalizing on this trend, offering a wide range of home decor items for both indoor and outdoor use.

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

  Furniture
  Floor coverings
  Others


Application

  Indoor
  Outdoor


Geography

  North America

    US

By Distribution Channel Insights

The offline segment is estimated to witness significant growth during the forecast period. The US home decor market encompasses a range of entities, including the bedroom, upper middle income consumers, artisanal and mechanical processes, marble floors, the interior design industry, clean rooms, personalized living spaces, decorative lighting, restaurants and spas, home improvement, e-commerce, real estate industry, carpets and rugs, stores, libraries, customized online sales, environmentally friendly furniture, camping, omnichannel retail strategies, vinyl and rubber, textiles, office, outdoor, smart home technologies, home textiles, home decor products, infrastructure facilities, transportation, fashionable designs, home renovation, floor coverings, specialty stores, wood, tiles, smart devices, furniture, plastics, apartment living, digital marketing initiatives, raw materials, and metals.

Upper middle income consumers seek trendy and customized home decor, driving demand for a diverse range of products. Artisanal processes and mechanical processes coexist, with consumers appreciating both the unique and the mass-produced. Marble floors and clean rooms are popular choices for modern, minimalist interiors. The interior design industry caters to personalized living spaces, offering a wide array of decorative lighting, furniture, and textiles. Restaurants and spas create inviting atmospheres with decorative elements, while home improvement projects and real estate transactions fuel demand for home decor products. E-commerce and omnichannel retail strategies expand accessibil

In 2023, the number The Home Depot stores amounted to over ************ across the United States, while IKEA North American Services registered only ** stores in that year.

In 2024, Wayfair was the specialist homeware retailer with the largest market share, followed by HomeGoods and Ikea. The latter had a market share of just below ** percent. Other companies, such as Walmart and Target, also account for a large number of homeware sales, but are not included in this ranking, as they are not specialist homeware retailers.