GCC Home Furniture Industry

GCC Home Furniture Market Analysis

The GCC Home Furniture Market is expected to register a CAGR of 7.3% during the forecast period.

• The growth in the interior design market and the rising increase in the construction of new buildings are some of the major factors fueling the growth of the home furniture market in the GCC region. Interior design is one of the fastest-growing industries in the Gulf, and the GCC interior design market is worth nearly USD 18 billion currently. The GCC’s continued construction boom ahead of Expo 2020 has also driven demand for the interior design market, especially in areas, like UAE and Saudi Arabia.
• Some of the top reasons for driving furniture and furnishing purchases in the GCC countries include home improvements and innovations. There is a growing inclination of homeowners toward customizing their houses and an increased willingness to invest more in refurbishing and renovating them. Another rising purchase trend has been observed toward luxury furniture products.
• As per an article published by Home Furniture Business, the increasing penetration of the internet and e-commerce has fostered the growth of furniture and home furnishings industry in the GCC. Online stores are also gaining popularity in the region at a CAGR of nearly 16%. Many companies, like IKEA, are also putting in efforts toward their online retail stores and are offering benefits, like free delivery and installation to customers who shop online.
• The countries from GCC are heavy importers of furniture with the majority of the imports from countries, like China, Italy, Turkey, Germany, the United States, Poland, and Malaysia.

GCC Home Furniture Market Trends

Saudi Arabia, One of the Fastest Growing Home Furniture Market in GCC

Saudi Arabia's home furniture industry has become one of the most vibrant and fastest-growing industries in the GCC region. Saudi Arabia has the largest construction market in GCC, accounting for nearly ~33% of the total market share of the construction market. The increasing real estate development and rising demand for residential properties coupled with government initiatives for developing the socio-economic infrastructure are driving the home furniture industry in Saudi Arabia.

Due to the rising population and urbanization, the construction sector of Saudi Arabia is growing. The country aims to increase the contribution of its construction section to its overall GDP from 5% in 2017 to nearly 10% by 2030. The domestic production of the country in terms of furniture production is relatively low. Hence, the country mainly imports its furniture requirement, especially for the household sector. The rising interest and investment of foreign players either to increase their presence or to expand in different emirates is further boosting the home furniture industry in Saudi Arabia.

The Bedroom Furniture Segment

The bedroom furniture segment is one of the most dominant segments, in terms of revenue generated in Saudi Arabia having opportunities for growth in the other countries in the GCC region. Due to increasing disposable income, the spending capacity of consumers on luxury goods and services, like home furniture, is increasing. Furthermore, economic growth and an increasing number of independent dwellings are driving consumers to spend more on premium bedroom furniture products.

GCC Home Furniture Industry Overview

The report covers the major players operating in the GCC home furniture market. The market is comprised of both international and local players. Some of the prominent international companies present in the region include IKEA, Home Center, and Ashley Furniture HomeStore. Some of the local players with a strong market are AL Huzaifa and Royal Furniture.

GCC Home Furniture Market Leaders