CAGR: 6.3%Current Market Size: USD 93.8 BillionFastest Growing Region: North America
Largest Market: APACProjection Time: 2023-2030Base Year: 2022
The global office furniture market is expected to grow from USD 93.8 billion in 2022 to USD 153.02 billion by 2030, at a CAGR of 6.3% during the Projection period 2023-2030. The growth of this market is mainly driven owing to the increasing demand for office setups for work-from-home employees.
A comfortable and efficient office environment depends on the quality of office furniture. Furniture that is freestanding and doesn't require installation with component parts, such as chairs, desks, file cabinets, tables, lounge seating, and computer desks, is considered office furniture. In a commercial and corporate setting, office furniture is used to create meeting rooms, individual workstations, cafeterias, and lounge areas. There are several essential furniture items that contribute to the aesthetics of these spaces, such as filing cabinets, seating furniture, and tables. A rapid increase in the number of corporate offices has resulted from the creation of IT parks and commercial zones, resulting in the demand for contemporary office furniture throughout the world. Additionally, organizations are creating informal offices to promote colleague communication, collaboration, and socialization. Globally, the rapid construction of information technology parks and commercial zones has created an increase in corporate offices, which has created a demand for modern office furniture. In addition to creating informal office spaces for better colleague communication, collaborative environments, and social interactions, office furniture manufacturers are developing intelligently designed furniture products as a result of this shift. In addition, as a result of technological advancements and an increase in the number of health issues that employees experience because of their sedentary lifestyles, the demand for smart workplace furniture that provides internet connectivity as well as improves posture and movement has increased.
Sample Request: - Global Office Furniture Market
Market Dynamics:
Drivers:
In order to promote start-ups through the implementation of favourable policies, governments around the world are implementing a number of programs to drive the global office furniture market. With the introduction of the idea of home offices and working from home, technological advancements in office furniture are accelerating the industry's growth.
Restraints:
Raw materials such as wood, plastic, metals, and others used in furniture manufacturing remain very volatile. Also, advanced office furniture, such as tech-charging furniture and multi-touch tables, can be quite expensive, which is expected to hinder the growth of the global office furniture market.
Opportunities:
As the global office furniture market expands, significant opportunities are emerging. Furthermore, the increasing emphasis on work aesthetics has led to tremendous growth. Due to its ease of use and convenience, ready-to-assemble furniture is also becoming increasingly popular.
Challenges:
The office furniture market will likely be affected during the Projection period due to the limited number of free plantations available to make wood, coupled with an increasing supply-demand gap. Retail furniture fragmentation will be the biggest and most immediate challenge to market growth during the Projection period.
Segmentation Analysis:
The global office furniture market has been segmented based on material, product, sales channel, and regions.
By Material
The material segment includes plastics, wood, metal and others. The plastics segment led the largest share of the global office furniture market with a market share of around 31% in 2022. Despite the fact that plastic is generally light in weight, it won't damage much if dropped, whereas wooden furniture can easily crack and become damaged. Unlike wooden furniture, plastic chairs and tables do not need to be polished to prevent rust and climate change. The durability and low cost have made plastics an excellent material to use both indoors and out. They can be made from a variety of plastics including polymers, polyvinyl chloride and polypropylene.
By Product
The product segment includes reception furniture, office chairs, storage furniture, office tables, and others. The office chairs segment led the largest share of the global office furniture market with a market share of around 29% in 2022. Approximately 8-10 hours of work per day by employees make proper seating increasingly important. The seating segment will account for the largest revenue in 2021. Office chairs must be designed based on scientific principles to minimize sickness and fatigue, as the optimal posture when working greatly impacts the health of employees. The U.S. is experiencing a growing demand for ergonomic seating, which is beneficial to employees' productivity, efficiency, and workplace aesthetics.
By Sales Channel
The sales channel segment includes e-commerce stores, rental stores, discount stores, manufacturer stores, and others. The e-commerce stores segment led the largest share of the global office furniture market with a market share of around 27% in 2022. In order to compare their desired products and prices, customers gradually switched to e-commerce channels for their business needs, which reduced the number of times they visited physical retail stores. Due to the growth opportunity for office furniture sales through online channels, retailers had to enhance security and reliability in order to improve purchase processes, resulting in an increase in office furniture demand. Secure transactions, cash-on-delivery options, and centralized and integrated customer service are some of the policies that encourage online purchases.
Global Office Furniture - Sales Analysis.
The sale of office furniture expanded at a CAGR of 6% from 2016 to 2022.
A prominent sector in the global economy is commercial real estate, which is well complemented by a growing demand for office space coupled with the growth of the commercial sector. There is a high demand for office spaces in sectors like IT, consulting, retail etc., and this growth in office space absorption will boost the global office furniture market growth.
There is an increasing demand for sustainable furniture variants that have additional features to minimize occupying space and boost workforce engagement. The increasing prevalence of health diseases caused by incorrect postures over long periods of time is also driving the need for smart furniture, propelling the growth of the market.
In addition, the widespread adoption of the work-from-home (WFH) paradigm as a result of the Coronavirus (Covid-19) pandemic is one of the major factors driving the market growth.
Thus, owing to the aforementioned factors, the global office furniture market is expected to grow at a CAGR of 6.3% during the Projection period from 2023 to 2030.
By Regional Analysis:
The regions analyzed for the office furniture market include North America, Europe, South America, Asia Pacific, the Middle East, and Africa. The Asia Pacific region dominated the office furniture market and held a 38% share of the market revenue in 2022.
Global Office Furniture Market - Country Analysis:
Germany's office furniture market size was valued at USD 7.26 billion in 2022 and is expected to reach USD 11.9 billion by 2030, at a CAGR of 6.4% from 2023 to 2030.
A steady rise in the annual sales of office furniture in the country has been driving the German office furniture market to steadily increase its revenue for the past five years. High-quality ergonomic swivel chairs are the main drivers of growth, as are communication zones and high-quality ergonomic swivel chairs.
China’s office furniture market size was valued at USD 9.25 billion in 2022 and is expected to reach USD 15.5 billion by 2030, at a CAGR of 6.7% from 2023 to 2030.
Chinese furniture is one of the world's largest producers and exporters of office furniture, with continuous growth. Several companies, including Aurora China Co, Ltd., have deployed smart office furniture to cater to the pursuit of office intelligence and personalization by the new generation. The increasing population has increased furniture demand, as well as increasing disposable incomes for people in the region. These factors are boosting the Chinese furniture industry’s growth. In addition to increasing urbanization, real estate development, and consumers’ willingness to spend more on furniture and floor coverings, the China office furniture market continues to grow.
India's office furniture market size was valued at USD 7.12 billion in 2022 and is expected to reach USD 11.8 billion by 2030, at a CAGR of 6.6% from 2023 to 2030.
As the Indian economy grows and office space becomes increasingly expensive, the market for office furniture is expected to grow at a fast pace during the Projection period. The Indian economy is growing rapidly, which is driving office furniture demand. It is expected that the emphasis on office and real estate construction will continue in the near future, resulting in continued growth for the office furniture industry.
Key Industry Players Analysis:
To increase their market position in the global office furniture market business, top companies focus on tactics such as adopting new technology, mergers & acquisitions, product developments, collaborations, partnerships, joint ventures, etc.
Latest Development:
Report Metrics
Report Attribute |
Details |
Study Period |
2022-2030 |
Base year |
2022 |
CAGR (%) |
6.3% |
Market Size |
93.8 billion in 2022 |
Projection period |
2023-2030 |
Projection unit |
Value (USD) |
Segments covered |
By Material, By Product, By Sales Channel, and By Region. |
Report Scope |
Revenue Projection, competitive landscape, company ranking, growth factors, and trends |
Companies covered |
Haier Inc., Lixil, Cabico Inc, Boffi S.p.A., Golden Home Cabinets, Hanssem Co. Ltd., IKEA, Al Meera, Cabinetworks Group, Godrej Interio, Howdens Joinery Ltd., Interwood, Hacker Kuchen, Bulthaup, and Black Red White. |
By Material |
|
By Product |
|
By Sales Channel |
|
Regional scope |
|
Scope of the Report
Global office furniture market by Material:
Global office furniture market by Product:
Global office furniture market by Sales Channel:
Global office furniture market by Region:
Global office furniture market is expected to reach USD 153.02 billion by 2030.
The global office furniture market is projected to have a CAGR of 6.3%.
Leading market players active in the global office furniture are Haier Inc., Lixil, Cabico Inc, Boffi S.p.A., Golden Home Cabinets, Hanssem Co. Ltd., IKEA, Al Meera, Cabinetworks Group, Godrej Interio, Howdens Joinery Ltd., Interwood, Hacker Kuchen, Bulthaup, Black Red White among others
Based on the sales channel, the global office furniture market has been segmented into the e-commerce stores, rental stores, discount stores, manufacturer stores, and others
The segments covered in the metal fabrication market are; material, product, sales channel and regions.
Political Factors- A transparent governance system is necessary to promote a collaborative workplace culture. The office furniture market is now experiencing a lot of issues as a result of corruption and a lack of transparency. This lack of transparency is primarily due to the current political turbulence and unpredictability. Corruption damages stakeholders' trust in business firms and governmental agencies by promoting fraudulent operations, making business procedures like licensing and contracting more difficult, and weakening law enforcement. Economic growth is generally being slowed by rising bureaucratic corruption, which reduces the potential for markets like the office furniture sector to flourish.
Economic Factors- Strong positive correlation between financial market efficiency and overall economic growth allows for capital accumulation and the production of goods and services. office furniture market must choose countries with highly efficient financial markets so that it may quickly acquire financial and human capital. By monitoring the effectiveness of the financial market, the office furniture market can successfully stay one step ahead of the competition. office furniture market should take into account the rates of economic growth of the various countries while selecting whether to expand abroad. In countries with strong rates of economic growth, there are more possibilities for pursuing long-term growth objectives.
Social Factors- Respect for hierarchy and social class stratification are two critical social traits that could have an impact on the commercial, marketing, and human resource management strategies for the office furniture market. office furniture market is most at ease in hierarchical structures with formal work cultures when entering nations with high power distance. Increased social stratification is another sign of the need for effective market segmentation strategies. The office furniture market cannot target numerous categories from diverse social strata using the same marketing mix. Every country has unique cultural norms, values, and traditions that shape how people behave in everyday life, including as customers.
Technological Factors-The market and industry as a whole may be affected by the speed and advancement of technological innovation. By studying the upcoming technological innovation trends, the office furniture market will be able to comprehend the pace of new product creation, the length of the product life cycle, and the distinctive features that consumers prefer. By looking at how consumers feel about cutting-edge, new digital technology, the office furniture market can determine whether moving to e-commerce will be more advantageous than opening a physical site.
Environmental Factors- In some countries, the adoption of the closed-loop, circular economy concept is becoming the norm in a variety of locations and industries. Industries that benefit from supportive institutional frameworks can make recycling and reuse of materials easier. Similarly to this, recycling is a popular activity in many countries. The market for office furniture could benefit from these sustainability trends and use them as a tool to not only achieve financial objectives through lower manufacturing costs but also decrease environmental expenses. The weather must also be considered because it can significantly affect operational costs, employee productivity, and efficiency.
Legal Factors- In many countries, there are numerous federal and state laws in place to protect consumers from potential economic exploitation. In the era of information technology, laws have become considerably stricter to safeguard consumer privacy. In order to avoid legal action, the office furniture market must rigorously adhere to data privacy regulations when performing online transactions. Before entering new markets, management of the office furniture market must understand regional laws governing returns, discounts, credit terms, quality, misleading advertising, and maximum pricing (particularly in the case of basic essential goods).
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