Market Trends of China Furniture Industry
This section covers the major market trends shaping the China Furniture Market according to our research experts:
Online Furniture Sales Are Flourishing in The Country
The e-commerce industry is evolving rapidly in China providing growing avenues for the furnishing industry. E-commerce portals have great features to attract digital customers and provide new growth options for furnishing retailers. Buying furniture online is becoming a trend as customers prefer online buying due to the convenience and comfort of logistics and shipping of furniture items to their doorstep. Many furniture retailers are creating a strong online brand presence and increase their sales with online stores and e-commerce portals. Some of the prominent expert sites for furniture sales in the country include Alibaba, JD.com and Made-In-China.
As per estimates, China leads online furniture sales globally with an estimated sale of over USD 68.6 billion in 2019. The rapid development of e-commerce in China has increased the sales channels for furniture’s in the past 2-3 years. The online sales of furniture through online distribution channels increased from 54% in 2018 to around 58% in 2019 as consumers are showing a rising preference for the purchase of furniture products online. The steady growth in e-commerce and the rise in retailers adopting online channels for selling their furniture products is anticipated to further increase the demand for furniture products in the country.
Living Room and Dining Room Furniture Emerges to be the Largest Segment of Furniture Market
With the improvement of housing conditions, the willingness of Chinese residents to invest more in home furnishings is constantly increasing especially in the living room, dining room, and bedroom furniture products. China’s furniture retail sales also maintained a steady growth trend from 2018 to 2020 with the retail sales of furniture in China amounting to nearly 19.5 billion yuan in 2019. The residential furniture sales dominated retail sales due to the availability and innovation of a large number of new residential furniture products in varied designs and material combinations.
Amongst residential furniture, the demand for living and dining room furniture has shown steady growth in China. The living room and dining room furniture dominated the market with a share of nearly 38% in the overall furniture market followed by a dining room & kitchen furniture in 2019. Seats and sofas contributed largely in terms of sales revenue in the living room furniture segment. Other important categories are Sofa Sets, Dining tables, Central Chairs, and others. The southern and eastern provinces are witnessing increased demand for living and dining room furniture due to the increasing number of residential buildings, high disposable income, and urbanization.
