Luxury Furniture Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

Luxury Furniture Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

The growing real estate industry and the rising urban population in developing economies are some of the major factors fueling the growth of the luxury furniture market. Additionally, increasing expenditure on domestic luxury furniture products has influenced the demand for luxury furniture products, which is likely to provide opportunities for the market during the forecast period. The growth of the hospitality and infrastructure industry in developing economies is also playing a key role in driving the demand for luxury indoor and outdoor furniture from offices and hotels. The growing popularity of luxury indoor furniture for bedrooms, bathrooms, kitchens, and others is likely to augment the sales of luxury furniture in the domestic segment.

The COVID-19 outbreak disrupted supply chains, caused a shortage of materials, and terminated contracts to control expenses. The lack of labor also hampered the overall luxury furniture market expansion, particularly in countries like Italy, Spain, and Brazil. This may slow down the industry growth during the forecast period.

The market is witnessing an increase in demand for luxury furniture made from premium wood such as mahogany and alder. Moreover, furniture manufacturers are focusing on innovation in luxury furniture designs with the help of other materials such as leather, glass, metal, etc., to attract consumers, which is likely to play a major role in fueling the growth of the luxury furniture market in the upcoming years.

Urbanization is causing people to focus more on aesthetics and urbane lives, which is further resulting in higher consumption of high-end furniture products. Urbanization is accelerating the market's expansion as more people live in cities than ever before, which increases the demand for high-end goods like luxury furniture. With the majority of its citizens living in cities, North America was the most urbanized continent in the world in 2022. Due to its great aesthetic value and durability, luxury furniture made of wood and metal is becoming more and more popular with consumers. The development of luxury eco-friendly and multipurpose furniture is also fostering market expansion in developed nations.

Europe is one of the biggest and most rapidly growing segments in the luxury furniture market. In Europe, many key players in the luxury furniture market are launching their own online platforms and entering partnerships with e-commerce retail stores to strengthen their distribution networks, which is likely to drive the luxury furniture market growth in the region. The growing expansion of luxury furniture manufacturers from Europe in developing countries of Asia-Pacific is likely to change the market dynamics in the upcoming years. Moreover, the increasing international trade of luxury furniture in Germany, Italy, Poland, and China with United States, United Kingdom, France, and Canada is expected to play a major role during the forecast period.

The report covers major international players operating in the luxury furniture market. In terms of market share, few of the major players currently dominate the market. However, with technological advancements and product innovations, mid-size to smaller companies are increasing their market presence by securing new contracts, offering bespoke artisanal products, and tapping into new markets.

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