Area Rugs Market By Product Type (Synthetic Fibers, Natural Fibers, Blended Fibers) , By End User (Residential, Commercial) By Distribution Channel (Hypermarkets/Supermarkets, Specialty Stores, Online Channels) : Global Opportunity Analysis and Industry Forecast, 2024-2033
Area Rugs Market
The area rugs market was valued at $12.5 billion in 2023 and is projected to reach $20.8 billion by 2033, growing at a CAGR of 5.3% from 2024 to 2033.
An area rug is a decorative textile-based floor covering utilized to enhance the aesthetic appeal of a space. Unlike wall-to-wall carpets that cover the entire floor, area rugs are used to outline a small space within a room. Available in a variety of shapes & sizes, they offer comfort, warmth, and protection.
Rise in inclination of individuals toward enhancing the aesthetics of their homes or workspaces is a key driver of the area rugs market. In addition, the availability of customization in terms of size, shape, and theme of the space propels the growth of the market. Furthermore, expansion of the e-commerce industry has fueled the demand for area rugs owing to the vast variety of options available to customers. This surge in demand augments the market development significantly. As the requirement for sustainability continues to expand its horizons across diverse industries, the formation of area rugs using natural and eco-friendly materials is becoming a prominent trend. Materials that are commonly preferred for eco-friendly area rugs include sea grass, sisal, bamboo, jute, and organic cotton.
However, prices of natural raw materials remain highly volatile owing to the dependence of availability on climate change, labor shortages, and supply chain disruptions. This volatility impacts the overall production costs of area rugs, hampering the development of the market. For instance, Real Thread—an online platform for custom-printed T-shirts—mentioned in one of its recent blogs that organic cotton remains significantly expensive owing to its sustainable cultivation practices that result in low yields. According to Textile Exchange, a global non-profit organization, organic cotton merely accounted for 1.4% of the total cotton harvest in 2020/21. On the contrary, to cater to the growing popularity of smart homes, the development of technology-integrated rugs is poised to open new avenues for the market. These area rugs with built-in sensors are projected to detect the ambient temperature and adjust automatically to create a comfortable atmosphere for people.
Segment ReviewThe area rugs market is segmented into product type, end user, distribution channel, and region. On the basis of product type, the market is divided into synthetic fibers, natural fibers, and blended fibers. Depending on end user, it is bifurcated into residential and commercial. As per distribution channel, it is classified into hypermarkets/supermarkets, specialty stores, and online channels. Region wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
Key FindingsOn the basis of product type, the synthetic fibers segment held a high share of the market in 2023.
Depending on end user, the residential segment acquired a high stake in the market in 2023.
As per distribution channel, the specialty stores segment dominated the market share in 2023.
Region wise, North America was the highest revenue generator in 2023.
Competition AnalysisThe major players in the global area rugs market include Tarkett S.A, The Dixie Group Inc., Milliken & Company, Tai Ping Carpets International Limited, Interface Inc., Oriental Weavers Carpet Co., Victoria Plc, Lowe's Companies Inc., Mohawk Industries, Inc., and Shaw Industries Group, Inc. These major players have adopted various key development strategies such as business expansion, new product launches, and partnerships to strengthen their foothold in the competitive market.
Key Market SegmentsBy Product TypeSynthetic Fibers
Natural Fibers
Blended Fibers
By End UserResidential
Commercial
By Distribution ChannelHypermarkets/Supermarkets
Specialty Stores
Online Channels
By RegionNorth America
U.S.
Canada
Mexico
Europe
France
Germany
Italy
Spain
UK
Rest of Europe
Asia-Pacific
China
Japan
India
South Korea
Australia
Rest of Asia-Pacific
LAMEA
Brazil
South Africa
Saudi Arabia
UAE
Argentina
Rest of LAMEA
Key Market PlayersTarkett S.A
The Dixie Group Inc.
Milliken & Company
Tai Ping Carpets International Limited
Interface Inc.
Oriental Weavers Carpet Co.
Victoria Plc
Lowe's Companies Inc.
Mohawk Industries, Inc.
Shaw Industries Group, Inc.