Eco-friendly Furniture Market Size, Share & Trends Analysis Report By Application (Residential, Commercial), By Distribution Channel (Offline, Online), By Region, And Segment Forecasts, 2023 - 2030

Eco-friendly Furniture Market Size, Share & Trends Analysis Report By Application (Residential, Commercial), By Distribution Channel (Offline, Online), By Region, And Segment Forecasts, 2023 - 2030

Eco-friendly Furniture Market Growth & Trends

The global eco-friendly furniture market size is expected to reach USD 83.76 billion by 2030, set to expand at a CAGR of 8.6% from 2022 to 2030, according to a new report by Grand View Research, Inc. Governments across the globe continue to promote green buildings as a measure to reduce the carbon emissions of their respective countries, while aiming to reduce their negative contributions toward climate change. Therefore, various incentive programs are being implemented to encourage building owners and developers to pursue initiatives such as green building certifications to promote green construction. This is expected to open up significant opportunities in the market.

Moreover, consumers remain highly focused on creating a green environment inside their homes, thereby driving the demand for eco-friendly products such as furniture. Moreover, the increasing influx of manufacturers toward eco-friendly offerings across all regions continues to boost the market growth. For instance, according to a 2021 SFC survey, nearly 97% of the respondents showed interest in buying environmentally safe furnishings, assuming favorable style and cost are about the same. Notably, women expressed a slightly higher interest in buying environment-friendly furniture (72% of women versus 66% of men).

Consumers spent a significant time indoors during the COVID-19 pandemic which created a wave of interest in home remodeling and renovation, especially in the U.S. and Europe. Moreover, with increased environmental awareness added to this interest in remodeling, a large number of consumers are opting for environment-friendly products for home renovation including eco-friendly furniture.

The rising number of green building projects results in increased sales of eco-friendly furniture. According to the U.S. Green Building Council (USGBC), the number of LEED-certified homes in the U.S. increased from 167,891 in 2018 to 232,244 by the end of 2021, witnessing a growth of more than 38% during the period. During the same period, Canada witnessed a growth of over 155% with its LEED-certified homes, increasing from 3,036 to 7,750.

North America is anticipated to dominate the market over the forecast period. According to HomeAdvisor, Americans spent nearly 10% more on home improvement projects in 2020 than in 2019, increasing the average spending from USD 7,560 to USD 8,305 in 2020. The increased spending on home improvement projects is likely to favor the growth of the eco-friendly furniture market. Moreover, corporate companies in the region continue to adopt environmentally sustainable practices to reduce the negative impact on the environment.

Eco-Friendly Furniture Market Report Highlights

• The residential application was valued at USD 24.14 billion in 2022 and is expected to witness significant growth over the forecast period. The rise in the number of home improvement projects in the U.S. and Canada is increasing the adoption of eco-friendly furniture among consumers
• The online distribution segment is expected to witness a substantial CAGR of 8.0% from 2023 to 2030. Increasing internet penetration among the middle-class population, coupled with the rising use of smartphones and similar devices, remains the primary driver of growth
• Asia Pacific region was valued a USD 9.37 billion in 2022 and is expected to register a CAGR of over 10% over the forecast period. The growth in the region is majorly attributed to increasing in consumer awareness of sustainability.