Office Furniture Market

Office Furniture Market Outlook (2023 to 2033)

The global office furniture market is forecasted to expand at a CAGR of 7% from 2023 to 2033. The market is valued at US$ 50 billion in 2023 and is thus anticipated to reach a valuation of US$ 98 billion by 2033-end.

Sales of office chairs are increasing with the provision of comfort solutions to corporate offices through furniture products. Top office furniture manufacturers are providing high-density foam chairs with numerous fabric options to meet varied consumer demands.

Shifting client priorities to change the office structure and make it more modular and integrated, for using every square foot of space, is mainly driving market growth. Key enterprises are investing vigorously in furnishing and the peripheries of office spaces to give employees or workers an agreeable, productive, and comfortable environment. Thus, manufacturers are designing office furniture that minimizes stress and offers enhanced comfort. Moreover, smart furniture is expected to gain significant growth over the forecast period.

For example, office desks or other furniture comes with an embedded controller and sensor, where the employee can control various tasks such as setting up an optimal temperature. Similarly, smart office chairs can provide employees with posture-changing applications.

The arrival of home-based office furniture has further triggered market growth. Rising demand for home office furniture backed by the trend of working from home is expected to create a lucrative opportunity for the office furniture market growth globally. Historically, the demand for modular tables and desktop chairs experienced moderate growth. Increasing prices for office spaces are forcing enterprises and companies to adopt modular office furniture. Moreover, manufacturers are offering innovative multi-functional office furniture to stay ahead of the intense competition.

The booming IT sector is creating substantial opportunities for the global market. Moreover, global demand for office furniture is attributed to an increased emphasis on work aesthetics.

The private sector is responsible for creating 90% of jobs and 84% of the GDP in developing countries. Thus, the growth of the private sector plays an important role in improving the living conditions of the poor and creating enormous employment opportunities. This factor assures sustainable economic development. Keeping this in mind, governments in different countries support the development of the private sector by encouraging micro, small, and medium-sized enterprises (MSME).

Apart from government support, investors of private companies are investing in the implementation of new technologies and fresh talents. They are confident and optimistic about their future growth by accommodating the changing market conditions and staying way ahead of their competitors.

The growth of MSMEs translates into better infrastructure and employee welfare. As newer private enterprises choose advanced office infrastructures, their exponential growth is expected to support market growth over the coming years.

Report Attributes	Details
Office Furniture Market Size (2023)	US$ 50 Billion
Projected Market Value (2033)	US$ 98 Billion
Global Market Growth Rate (2023 to 2033)	7% CAGR
Market Share of Office Chairs	60%
Key Companies Profiled	Knoll; ANEW; Steelcase; ITOKI; Haworth Inc.; Herman Miller Inc.; Global Furniture Group; Okamura Corporation; HNI Corporation; Kimball International

Why are Office Furniture Manufacturers Seeing Such High Demand?

“Infrastructural Transformation Driving Sales of Office Furniture”

A massive infrastructural transformation is underway against the backdrop of industrialization and economic development in the emerging market. Offices and industrial buildings are important real estate assets as they provide investors with a broad range of income and growth opportunities.

In addition, the growth of the private sector has increased many office infrastructures in MSMEs. While emerging markets focus on building new offices, office alteration or renovation is another trending approach taken up by industry professionals in developed and developing markets.

Alteration or refurbishment activities require the installation of new office furniture. The adoption of internationalization in the office infrastructure has led to the adoption of advanced office furniture that provides comfort as well as a modern outlook. Demand as such from the growing office sector is set to drive the adoption of office furniture during the forecast period.

“Wide Range of Designs Broadening Consumer Base”

According to the capacity of organizations, the workplace needs to differ. To comply with these changing needs, manufacturers have introduced a wide range of office furniture. As there are different divisions, designations, and activities in every organization, appropriate office furniture is chosen.

For instance, furniture in the conference room will be distinct from that of a private cabin or a desk. For these distinct working environments, a variety of office furniture such as conference hall furniture, ergonomic furniture, and many more are available.

For example, conference chairs are designed with backs slightly forward to keep employees attentive in meetings and discussions. Whereas, an executive chair will have many cushions and a higher back made of leather or high-priced fabric material. Thus, the availability of a variety of chairs that suits different office needs attracts a huge consumer base in the office furniture market.

“Development of Innovative & Cost-effective Furniture Solutions”

Design innovation in the furniture sector has led to the introduction of several innovative products that gained considerable traction from consumers. Owing to the preference for modern infrastructure, consumers seek aesthetic beauty in the product apart from its affordability. To comply with this demand, manufacturers have introduced products with distinct designs. The novelty enables consumers to choose one product over another, helping manufacturers to win over the intense market competition.

Currently, quick and easy-to-install, foldable, and multifunctional office furniture is trending in the office furniture market. Considering these consumer preferences, new developments in affordable furniture are boosting market growth.

What Obstacles Must Office Furniture Providers Overcome?

“Fluctuations in Raw Material Prices and Rise in Shipping Prices”

Key businesses buy furniture in huge quantities for their office spaces, but the demand for office furniture is constrained by the rise in production and shipping prices. The complexity in logistics and supply chain management, fluctuations in raw material costs, and long replacement cycles are hampering the growth of the office furniture market.

Why is Asia Pacific Projected to Offer Sizable Opportunity for Office Furniture Suppliers?

“Increase in Spending by Corporate Business Owners on Office Infrastructure”

Asia Pacific accounts for 50% share of the global market. The need for office furniture is rising dramatically as employment rates, urbanization rates, and infrastructure development all continue to expand. International furniture manufacturers are expanding their presence because they think the region has tremendous potential for market expansion.

Corporate business owners in the region are now spending more on the infrastructure of their offices to enhance the working environment, which in turn increases employee productivity. The demand for office furniture during this time is anticipated to increase due to several business spaces in Asia Pacific.

Key office furniture makers are enhancing the ergonomics for different needs in both business and residential environments, as well as incorporating value-added features and designs into the furniture. Additionally, growing worries about health problems such as muscle cramps and strains encourage consumers to choose fixtures with practical designs that encourage work-related activities.

Country-wise Insights

What Allows the U.S. to Hold a Significant Market Share of Office Furniture?

“Growing Demand for Creative Office Furniture in the U.S.”

Demand for creative office furniture is boosting market growth in the United States. When offices become more spacious and renovated, producers can release items that satisfy consumer demands for functionality.

A wide range of furniture products with plenty of features that support both business and domestic settings are heavily present in the market. The expansion of such items is also being aided by businesses' and organizations’ increasing emphasis on keeping an environmentally friendly work atmosphere.

What’s Leading to Increasing Office Furniture Demand in Germany?

“Growing Working Population Boosting Market Value in Germany”

The trend of consumers purchasing furniture online is anticipated to boost market expansion in Germany over the coming years. The presence of numerous office furniture manufacturers, the growing working population, and a rise in international organizations are supporting market expansion in Germany.

Is Japan an Investment-worthy Market for Office Furniture Producers?

“Rapid Expansion of Business & IT Spaces across Japan”

Demand for office furniture in Japan is increasing due to the exponential growth of commercial real estate and service sector jobs. Rising disposable income, shifting lifestyle preferences, the rapid expansion of business and IT spaces, and a growing desire for modern furniture are the elements driving market expansion.

Category-wise Insights

Why are Sales of Office Chairs Surging across the World?

“Increasing Need for Comfort & Flexibility for Employees in Workplaces”

By product, the market is segmented into office chairs, office tables, storage furniture, office system furniture, reception furniture, and others. Office chairs account for 60% share of the global market. Office chairs offer a greater level of ease and flexibility to employees in workplaces and industries.

Office chairs are seating devices that feature lumbar support, a padded chair back, a padded seat, and casters that allow them to turn and roll. Office chairs are manufactured by both organized and unorganized furniture industries around the world, which is projected to fuel market expansion. For the businesses involved in the furniture manufacturing industry, many management methods, such as local supply and inventory management, are important.

Which Sales Channel is Expected to Generate High Revenue Streams for Market Players?

“Wide Availability of Many Brands and Several Discount Deals through Online Stores”

Based on sales channel, the market is divided into retail stores, specialty stores, online stores, rental stores, and others. Customers began steadily converting to e-Commerce channels for their commercial requirements.

Top office furniture suppliers are adjusting to online shopping techniques to save expenses and boost their profit margins. To reduce the need for leasing space and inventory, online furniture businesses are also on the rise. Office furniture demand is increasing as a result of online retailers being pushed to enhance purchasing procedures in terms of security and dependability due to the rising prospect for office furniture sales through online channels.

Sales of office furniture through online stores are boosted by the easy availability of many brands and several discount deals. Since the last few years, per capita, spending on online trading channels has increased significantly. Many local and prominent manufacturers are adopting online retail strategies to decrease product display costs and increase the overall profit margin.

Competitive Landscape

Leading office furniture companies are focused on enhancing product standards with changing preferences of customers. Major office furniture producers are following safety regulations to maintain quality control of innovative office interior products.

Furthermore, RTA (Ready to Assemble) furniture is also gaining popularity among consumers for better usage and convenience. The need for eco-friendly furniture is driving top office furniture providers to use green materials that reduce waste disposal, pollution, and environmental impact.

For instance :

• In April 2021, PPG Industries Ohio Inc. (PPG), a company that makes metallic office furniture, introduced PPG ERGOLUXE powder coatings. The company provides a distinctive polyester-hybrid technology, and the layers added to the finishing give chairs, benches, workstations, and tables design and sustainability advantages.

Segmentation of Office Furniture Industry Research

• By Product :

  • Office Chairs
  • Office Tables
  • Storage Furniture
  • Office System Furniture
  • Reception Furniture
  • Others

• By Sales Channel :

  • Retail Stores
  • Specialty Stores
  • Online Stores
  • Rental Stores
  • Others

• By Region :

  • North America
  • Europe
  • Asia Pacific
  • Latin America
  • Middle East & Africa