The furniture industry includes all the companies and activities involved in the design, manufacture, distribution, and sale of functional and decorative objects of household equipment. The modern manufacture of furniture is a 20th-century industry, and its development has been awaited by the growth of a mass consumer market and by the development of the mass-production technique. It is a relatively old industry, dating back to the earliest civilizations, but has been highly specialized and industrialized in Europe and North America.
The main component of the furniture industry is the manufacturing sector, which makes a wide variety of furnishings and related articles such as mattresses, window blinds, cabinets, and fixtures. This sector employs a number of methods for the production of these goods, including cutting and shaping wood, molding and extruding plastics, and bending metal. In addition, it uses a variety of design techniques and incorporates elements of fashion trends into its product designs.
Increasing demand for home furnishing products and the growth of residential construction have driven the furniture industry in Asia-Pacific countries such as China, India, Japan, and Korea. The rise of retail stores and online sales has also encouraged the growth of this industry. However, rising costs of raw materials have hindered the furniture industry’s growth.
Inflation has a major impact on the global furniture industry, as the price of core materials such as wood have increased significantly. This has forced manufacturers to increase their prices. In addition, the government’s policy of increasing taxes on imported raw materials has increased the cost of the furniture industry, which has negatively impacted the growth of this industry.
As a result, many companies have shifted their focus towards introducing new and innovative products to attract customers and generate revenue from them. Some of these companies have partnered with other organizations to promote their products in the international markets, which has been beneficial for them as well.
Trends in the Furniture Industry
In recent years, consumers have embraced the digital era and are shifting their preferences to online shopping. This has increased the competition among online retailers, as most of the people are looking for products to buy online. Hence, furniture manufacturers should focus on developing their online presence and tailor their products to the different online platforms.
Consumers are spending a lot on furnishing their homes and are willing to spend more than they used to. Moreover, there is a significant shift from traditional retail stores to online shops that offer a wide variety of designs, materials, and prices for their customers.
According to the report, the furniture market in the EU is estimated to reach a total value of EUR 36.7 billion by 2020. Despite this, challenges such as trade policies, the ageing of the population, structural problems, and increasing competition from China are anticipated to restrain the furniture industry’s growth.
The furniture industry is a key contributor to the European economy and provides employment opportunities for thousands of workers. The EU furniture industry is also a key factor in the competitiveness of European manufacturers. In order to improve its competitiveness, the European furniture industry must continue investing in skills, design, creativity, research, and innovation. In addition, it must be prepared to face a booming world market with changing lifestyles and trends, which require products that are in line with these changes.