Market Trends of UAE Smart Furniture Industry
This section covers the major market trends shaping the UAE Smart Furniture Market according to our research experts:
Surge in Number of Smart Homes
With the growing urbanization in developing economies, there has been a surge in smart homes, which is estimated to bolster the market's overall growth. Furthermore, the increasing number of internet users, growing adoption of smart devices further fuels market growth.
With more than 90% of the population residing in urban areas and the rising disposable income per capita, the preference for smart products is high among the consumers in the UAE. Abu Dhabi and Dubai account for more than 50% of the overall population in the country. The UAE is a ready-made market for luxury brands - tourism, combined with a wealthy population, are big drivers for the sector.
Many end consumers are increasingly shifting towards smart furniture owing to the multiple transformation facilities provided by the furniture, such as stools transforming from modular sofas just at the press of a button in the user's smartphone, and smart beds that helps to maintain health of the user by keeping a track of the user's heart rate, respiration rate, sleeping posture and others.
Growth of Construction Sector is Driving the Market
The construction market in Dubai has been impacted by COVID-19, leading to the halt of construction work. This factor has reduced net profits in the sector. The country's government is also focusing on smart cities and planning to digitize up to 1,000 government services and install 2,000 Wi-Fi hotspots. Moreover, liberal trade policies in the country are attracting foreign investors and boosting the UAE construction market.
The construction sector is the essence of the UAE economy, and the industry is expecting rapid growth in the coming years. The construction industry plays an important role in the economic upliftment and development of the country.
United Arab Emirates has about half of the pipeline value of Saudi Arabia, with USD 288 billion in planned projects. An additional concern for the UAE construction is that the USD 125 billion of future projects in the country is low compared to the USD 145 billion of projects in execution, suggesting a shrinking market.
