Market Trends of United States Luxury Furniture Industry
Rising Disposable Income and Urbanization is Driving the Market
The rising disposable income in the United States is increasing the focus of individuals on aesthetics and urban lifestyles, and this is further leading to the increased usage of high-end furniture. With the increasing number of consumers shifting their preference toward quality and stylish furniture products due to higher disposable incomes and better lifestyle requirements, the furniture market in the United States is expected to witness stronger growth in terms of domestic sales and international exports. In 2019, Americans had a total of USD 15.74 trillion in disposable personal income and the per capita personal disposable personal income was USD 47,763 in 2019. In 2019, the highest growth in disposable incomes was observed in the United States, Switzerland, and Norway. Households in these countries observed a Y-o-Y growth, with more people spending money in 2019 as compared to that of 2018. The European countries also recorded significant growth. Urbanization is also augmenting the growth of the market in the United States, thereby fueling the demand for premium products, like luxury furniture. In 2019, North America was the most urbanized continent across the world, with about 82% of the population residing in urban areas.
Rising Consumer Expenditure on Furniture Products is Driving the Market
The average annual expenditure on furniture per consumer increased from USD 518.43 in 2018 to USD 520.99 in 2019, reflecting a healthy market growth. This trend is expected to continue during the forecast period, after overcoming the adverse effects of the COVID-19 pandemic. Italian-made furniture is widely acknowledged as the most popular. Most high-end customers generally have a strong sense of identification in terms of the design and quality of Italian furniture. The growth of the market is also being driven by the hospitality industry, as hotels and restaurants demand more luxurious furniture solutions. However, by far, the largest growth area is the domestic segment, where the increase in urban population is enhancing the market demand.
