The global home décor market is on the rise and the trend is about to continue: In 2018, the revenue in the “Furniture and Homeware” sector results in €165.366m. Until 2022, the market volume is expected to hit €258.714m, meaning 11,8% annual growth rate. China accounts for the major revenue generator (€62.373m in 2018). But, what are the key factors for this positive change? And which trends does the sector experience?
Drivers for the industry
There are numerous reasons for the positive outlook on this segment:
– Real estate as well as consumers’ purchasing power is increasing. The unemployment rate in the first quarter of 2018 is the lowest rate recorded in the euro zone since December 2008. As long as people have the money, they will spend it.
– A rapid sales growth can be seen among the millennial clientele. Older millennials are turning into homeowners rather than renters by now. They have experienced the interior design service explosion while growing up and therefore, they are more likely to hire interior designers to support them furnish their homes. On the other side, the youngest millennials are at the beginning of their career and start to have more disposable income. In general, millennials prefer buying online, appreciate authenticity and sustainability and are on-demand shoppers.
– The number of information and inspiration sources is higher than ever before. Home décor shows, magazines, social media… People are watching them and get in the mood to re-furnish or re-decorate their houses.
Growth is coming, but not necessarily from the traditional distribution channels. Also in the Home and décor segment, e-commerce is taking over. The comfort and price convenience are major reasons for costumers to favour purchasing via mouse click. This means, that leading companies of the industry keep investing capital in logistics and delivery to the home. Consumers who value service and the experience of seeing and touching the product before buying still exist, but will rather turn to retailers that differentiate themselves and offer added value, like knowledgeable staff, customer service, etc.
Furthermore, as customers become more and more environmentally-conscious, eco-friendly products also become a key element in home décor. Natural, recycled and organic materials attract this customer group and products like thermal curtains or FSC certified wood (meaning avoiding deforestation) allow guilt-free shopping.
Individuality and the urge to express one’s own style is another visible trend. Costumers like to give their furnishing an individual touch and therefore, options to personalise objects are becoming more and more popular.
Main trade-shows in the sector
The place-to-be to get up to date and analyse the newest trends of the industry are trade shows like:
– MAISON&OBJET, Paris MOM (September 7-11, 2018 and January 18-21, 2019): A great B2B platform to inform oneself about the newest trends and products concerning decoration, home interior solutions and decorative accessories. Takes place twice a year in France.
– ARCHITECT @ WORK – LYON, Exhibition for Architecture & Interior Design. ARCHITECT@WORK gives you the opportunity to get into contact with: architects, interior architects, designers, engineering bureaus, project developers, technical services,
– Light & Building, Premiere showcase, industry meeting place and business forum: Light + Building is the stage for the latest lighting trends and a source of inspiration for building services technology. From 8 to 13 March 2020 Frankfurt am Main is the place where premieres are celebrated and trends are set.
– Imm Cologne, The Imm Cologne is an international furnishing show which occurs every year. This mega event is split into two main themes: a) LivingKitchen and b) LivingInteriors. The LivingKitchen displays take place every odd year, while LivingInteriors occurs every even year. In this way, the event is able to tap trade communities from both the Kitchen and other Home interiors segments. LivingKitchen will be held from January 14 to 20, 2019, at the Koelnmesse, Cologne.
– Ambiente, Frankfurt, Germany (February 8-12, 2019): Business and creativity meats in Frankfurt, where diversity in the Dining, Giving and Living areas can be explored.
– FamaArt, Bologna, Italy (March 1-3, 2019): An event that presents products like photography, gifts, home decoration accessories and more.
– Cafexpo, Yiwu, China (September 18-20, 2018): The China Art and Frame Show is the meeting point for professionals of the picture frame and art industry.
– IMOB, This annual international event exhibition highlights modern and avantgarde furniture, modular furniture, classic and neo-classic furniture, seating groups, office furniture, baby, children and teenager sets, miscellaneous furniture and accessories. Earlier this year, the event took place at the CNR Expo in Istanbul, Turkey from January 22 to January 27, 2019.
– Creativa Zaragoza, Spain (May 4-6, 2018): This fair is accessible to the public and also takes place in Madrid, Barcelona, Málaga, Valencia, Dortmund (Germany) and Metz (France).
– Intergift, Madrid, Spain (September 12-16, 2018): Unlike the name might pretend, Intergift is also focused on decoration and furnishing, textiles, household articles, handicrafts, travel articles and a range of creative ideas for informal and fantasy gifts as well as useful objects.
– Salon de la Photo, Paris, France (November 8-12, 2018): Whether you are interested in taking photos, printing or digital retouching – you are at the right address.
– Créations Savoir-Faire, Paris, France (November 28 – December 2, 2018): An exhibition specialised in craft and DIY.
– EspritMeuble, Paris, France (December 1-4, 2018): Furniture, sofas, living rooms, beds and decorations take centre stage in this fair.
– Bisou Salon Professionnel du Cadeau, Nice, France (January 12-14, 2019): Besides presents, souvenirs and decoration, also gourmet gifts, custom jewelry and much more can be found.