Home Decor Market Size and Forecast to 2030 (2024)

Global Home Decor Market size was valued at USD 856.26 billion in 2022 and is poised to grow from USD 912.77 billion in 2023 to USD 1522.02 billion by 2031, growing at a CAGR of 6.60% during the forecast period (2024-2031).

The rise in demand for upholstery products, decor, and fixtures will drive up market product demand. The market for the product is supported by consumer preferences for ostentatious home décor products, particularly timber flooring and furniture. A further factor driving demand for home décor products throughout the projection period is a trend towards using environmentally friendly items that are less stressful on the environment. This development has increased demand for innovative home décor products that utilize an array of raw materials.

The growth of the market has been driven by consumer shifting preferences towards urban lifestyles brought on by the speedy urbanization of society. A change in lifestyle necessitates the right placement of furniture and other furnishings made of excellent-quality premium goods. 55.0% of people on earth live in urban areas, according to the United Nations. As a result, the demand for home décor goods will increase during the forecast period as a result of this rate increase. Additionally, it is anticipated that the growth of the home decor market would be complemented by growth in the real estate industry.

The growth of the market has been driven by consumer shifting preferences towards urban lifestyles brought on by the speedy urbanization of society. A change in lifestyle necessitates the right placement of furniture and other furnishings made of excellent-quality premium goods. 55.0% of people on earth live in urban areas, according to the United Nations. As a result, the demand for home décor goods will increase during the forecast period as a result of this rate increase. Additionally, it is anticipated that the growth of the home decor market would be complemented by growth in the real estate industry.

Additionally, since e-commerce and smart devices like smartphones and tablets with simple payment and delivery options have grown in popularity, more people are choosing to buy for home décor online. The market expansion for various home décor products has also been boosted by broader availability and easy access to products. However, these goods are frequently more expensively priced, which makes it challenging for customers of all economic levels to buy. Additionally, the market's ability to expand is being hampered by rising raw material prices for goods made of wood and leather.

US Home Decor Market is poised to grow at a sustainable CAGR for the next forecast year.

Market snapshot - 2024-2031

The global home decor market is segmented based on product, application, and region. Based on product, the market is segmented into furniture, textile, flooring, and others. In terms of categorization by application, the market is grouped into indoor, and outdoor. Regionally, the global home decor market is segmented into North America, Europe, Asia-Pacific, South America, and MEA.

Home Decor Market Analysis by Product

The largest product category, accounting for 51.1% of total revenue, was the furniture segment. Growing popularity of wooden furniture due to its high quality and attractiveness has propelled the segment's rise. In addition, the influence of western society is a major factor in the growing popularity of modular wardrobes and kitchens.

The application of eco-friendly items in various areas of the home, including the bedroom, bathroom, outdoor area, and interior area, has expanded due to shifting trends towards the adoption of eco-friendly products. In addition to pinewood as an alternative, a variety of raw materials used in the production of furniture, like metal, plastic, glass, and leather, have acquired popularity on the market. Additionally, the market for furniture is expanding as multipurpose furniture becomes more and more popular due to its better convenience.

Home Decor Market Analysis by Application

The largest portion, or 92.6%, was accounted for by the indoor application category in 2022. The term "indoor application" refers to indoor living areas like a home's living room, bedroom, bathroom, kitchen and other covered spaces. Consumers have been motivated to invest in these products by changing trends towards creative and inventive furniture and home decor. The market for foldable furniture, which offers convenience and ease of storage, has been pushed by consumers' increasing preference for small products in the home.

The product is specifically designed for people who live in compact spaces. In the market for interior home décor, there is also a lot of potential due to the expanding use of upholstery in numerous applications. While the growing acceptance of western culture's way of life has significantly pushed customers to purchase luxury goods, especially for the bathroom and bedroom. However, there is a growing market desire for more experimentation using different types of lighting to decorate living rooms.

North America accounted for 37.7% of global revenue in 2022, thus, making it the largest regional market. The market's growth is attributed to increasing product accessibility and expanded online and offline home décor channels penetration. The region that the most market players exhibit the greatest penetration of different décor products, such as furniture, lighting, decorative flooring, and the usage of textiles. Additionally, the U.S. dominates the world market for outdoor furniture as a result of customers' increasing willingness to spend money on home décor items.

The Asia Pacific market is anticipated to grow significantly as a result of a population migration to cities. The local real estate market is growing quickly, which suggests that new residences and buildings are being constructed. As a result of new construction, the market is flooded with innovative and creative décor products. As the interior design industry grows in developing nations like Indonesia, China, and India, there is a rising demand for home décor products. The growing inclination of consumers for eco-friendly products has also increased the popularity of using waste materials to produce attractive aesthetics. As a result, the creative component in the creation of home décor objects has increased.

Home Decor Market Drivers

Growing Disposable Income

• Rising disposable income levels have led to an increase in consumer spending on home decor products. As consumers have more money to spend, they are more likely to invest in higher-end home decor items.

Home Decor Market Restraints

High Competition

• The home decor market is highly competitive, with many companies vying for a share of the market. This can make it difficult for smaller businesses to compete with larger, more established companies.

The home decor market is highly competitive, with a diverse range of players, from small boutique stores to large multinational corporations. The competitive landscape of the home decor market is influenced by a range of factors, including product quality, price, design, brand reputation, customer service, and marketing. Many companies differentiate themselves through a combination of these factors. For example, Ikea is known for its affordable yet stylish designs, while Williams-Sonoma is known for its high-end products and personalized customer service.

Home Decor Market Top Player’s Company Profiles

• Ikea

• Bed Bath & Beyond

• Wayfair

• Williams-Sonoma, Inc.

• Home Depot

• Lowe's

• Target

• Amazon

• Pier 1 Imports

• Pottery Barn

• West Elm

• Crate & Barrel

• Ashley Furniture Industries

• Ethan Allen Interiors

• Mohawk Industries

• Sherwin-Williams

• Benjamin Moore & Co.

• J.C. Penney

• Kirkland's

• HomeGoods.

Home Decor Market Recent Developments

• In April 2023, IKEA launched a new line of sustainable home decor products, including furniture made from recycled materials and textiles made from organic cotton.

• In March 2023, Wayfair announced that it was partnering with several home decor brands to offer a wider range of products on its platform, including luxury furniture and decor.

• Sustainability: Sustainability has become a major trend in the home decor market, with consumers increasingly interested in eco-friendly and sustainable products. Companies are responding by introducing products made from recycled materials or sustainably sourced materials.

• Personalization: Consumers are increasingly looking for personalized home decor items that reflect their individual style and taste. This trend has led to the rise of customizable home decor products, such as custom-made furniture, personalized wall art, and monogrammed linens.

• Bold colors and patterns: Bold colors and patterns are in vogue in the home decor market, with consumers embracing bright hues and eye-catching prints. Companies are introducing colorful and patterned home decor products, such as vibrant accent pillows, bold wallpaper, and patterned rugs.

• Minimalism: While bold colors and patterns are popular, minimalism is also a trend in the home decor market. Consumers are opting for clean lines, neutral colors, and simple designs, which create a calming and peaceful atmosphere.

• Smart home technology: The rise of smart home technology has led to the introduction of smart home decor products, such as lighting, security systems, and smart thermostats. Consumers are increasingly interested in products that can be controlled via their smartphones or voice assistants.

SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Correlates and Analyzes the Data collected by means of Primary Exploratory Research backed by the robust Secondary Desk research.

According to our analysis, we found that the home decor market the market Increased demand for upholstery products, decor, and fixtures will drive up market product demand. The market for the product is supported by consumer preferences for ostentatious home décor products, particularly timber flooring and furniture. A further factor driving demand for home décor products throughout the projection period is a trend towards using environmentally friendly items that are less stressful on the environment. This development has increased demand for innovative home décor products that utilize an array of raw materials.