Europe Luxury Furniture Market Size

Europe Luxury Furniture Market Analysis

The Europe Luxury Furniture Market size is expected to grow from USD 11.09 billion in 2023 to USD 15.01 billion by 2028, at a CAGR of 6.24% during the forecast period (2023-2028).

• The outbreak of the COVID-19 pandemic acted as a massive restraint on the luxury furniture manufacturing market in Europe in 2020. The pandemic disrupted supply chains causing a shortage of materials and terminated contracts to control expenses. The lack of labor is also hampering the overall luxury furniture market expansion, particularly in countries including Italy, France, the United Kingdom, and Spain.
• Sales of luxury furniture dropped due to consumers having little opportunity to explore luxury furniture products. Sales dropped by almost 70%, as consumers had little opportunity to explore luxury furniture products. Major luxury furniture production happens in Italy, and all the Italian factories, including small and family-based façonniers, have temporarily shut down, which resulted in a decline in sales in the market.
• Luxury furniture is manufactured by skilled and creative craftsmen using superior-quality materials such as metal, wood, glass, plastic, and leather. These luxury furnishings are designed with zero margin error, thereby prolonging their durability. They are used to enhance the ambiance of offices, hotels, homes, restaurants, kitchens, and hospitals. Recent developments in manufacturing technology and an upsurge in demand for customizable furniture are the key factors that drive the growth of the European luxury furniture market.
• Moreover, high disposable income and the inclination of consumers toward luxury furniture fuel the market growth. The growing popularity of luxury indoor furniture such as bedrooms, bathrooms, kitchens, and others is likely to augment the sales of luxury furniture in the domestic segment.
• The market is witnessing an increase in demand for luxury furniture made from premium wood such as mahogany and alder. Additionally, furniture manufacturers are focusing on innovation of luxury furniture designs with the help of other materials, such as leather, glass, metal, etc., to attract consumers, which are likely to play a major role in fuelling the growth of the luxury furniture market in the upcoming years.
• On the contrary, the surge in e-commerce sales due to convenience in shopping and doorstep delivery of products is opportunistic for the market. Moreover, the rise in the need to manufacture eco-friendly luxury furniture is expected to offer lucrative opportunities for market expansion in the forthcoming years. However, high prices of raw materials, such as wood, the unavailability of superior quality wood due to the rise in deforestation in Europe, and an increase in awareness about the negative impact of deforestation on the environment are expected to hamper the growth of the European luxury furniture market.