Australia Home Furniture Market to Grow with a CAGR of 8.33% through 2030

The Australia home furniture market is driven by urbanization, rising disposable incomes, and demand for multifunctional, sustainable designs, also rising customization trends further shape consumer preferences and purchases

According to TechSci Research report, “Australia Home Furniture Market – By Region, Competition, Forecast & Opportunities, 2030F”, the Australia Home Furniture market stood at USD 16.79 billion in 2024 and is anticipated to grow USD 27.05 billion by 2030 with a CAGR of 8.33% during forecast period. The Australia home furniture market is experiencing steady growth, driven by evolving consumer lifestyles, increasing urbanization, and rising demand for stylish, functional, and sustainable furniture solutions. As more Australians invest in their living spaces whether due to changing work-from-home dynamics or a renewed focus on comfort and wellness the demand for home furniture has increased significantly. The market includes a wide range of products such as beds, sofas, chairs, tables, storage units, and outdoor furniture, catering to diverse preferences and price points. A blend of global trends and local influences is shaping how consumers furnish their homes, with innovation and adaptability becoming key competitive advantages.

One of the most notable trends in the market is the growing preference for multifunctional and space-saving furniture. As urban living continues to rise, consumers are looking for furniture that is adaptable and compact without compromising on style. Sofa beds, extendable dining tables, foldable desks, and modular shelving units are gaining popularity across Australian households, especially in metropolitan areas. These pieces are particularly appealing to younger consumers, renters, and small families who prioritize flexibility and efficiency in their home layouts. Furniture manufacturers and retailers are responding by launching innovative collections designed for compact living, helping consumers make the most of limited floor space.

Personalization and customization have also emerged as important trends in the market. Today’s consumers are not only looking for quality and functionality but also seeking furniture that reflects their personal style and meets their specific space requirements. Many brands are offering customizable furniture options, allowing customers to choose materials, dimensions, colors, and configurations. Local craftsmanship and bespoke furniture services are growing in popularity, especially among those who prefer unique, made-to-order items. This shift toward personalization is helping retailers differentiate themselves in a competitive landscape and cater to the evolving tastes of Australian homeowners.

Despite the positive outlook, the market is not without its challenges. Supply chain disruptions, rising material costs, and competition from both domestic and international players continue to pressure profit margins and operational efficiency. However, with continued investment in digital capabilities, sustainable practices, and consumer-centric product innovation, the Australia home furniture market is well-positioned for long-term growth. As households continue to prioritize comfort, design, and functionality, the demand for high-quality home furniture will remain strong across urban and regional Australia.

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The Australia Home Furniture market is segmented into product type, material type, sales channel, and company.

Based on the sales channel, the online segment is the fastest-growing channel in the Australia home furniture market, driven by increasing internet penetration, digital convenience, and evolving consumer shopping habits. Consumers now prefer browsing, customizing, and purchasing furniture online due to the ease of comparing prices, reading reviews, and accessing a broader range of styles and brands. E-commerce platforms such as Temple & Webster, Koala, and Brosa have gained popularity by offering seamless delivery, virtual showrooms, and flexible return policies. Technological innovations like augmented reality and 3D visualization tools further enhance the digital shopping experience, fueling strong growth in online furniture sales across Australia.

Based on the region, Queensland is the fastest-growing region in the Australia home furniture market, driven by a combination of rapid population growth, expanding urban areas, and a booming housing sector. As cities like Brisbane and the Gold Coast experience increasing demand for both residential and commercial properties, the need for home furniture is rising accordingly. The region's strong lifestyle appeal, with its warm climate and outdoor living focus, is also influencing consumer preferences for durable, stylish, and space-efficient furniture. Additionally, the growth of e-commerce and a growing middle-class population are contributing to Queensland's dynamic furniture market expansion.

Major companies operating in Australia Home Furniture market are:

• IKEA Pty Limited
• Harvey Norman Holdings Limited
• Living Edge (Aust) Pty Ltd
• Nick Scali Limited
• Greenlit Brands Pty Limited
• Freedom Furniture Australia Pty Limited
• Amart Furniture Pty Limited
• King Furniture Australia Pty Ltd
• Saveba Pty Ltd trading (Coco Republic)
• Kogan Australia Pty Ltd

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“Sustainability is another key driver in the Australian home furniture market. Environmentally conscious consumers are increasingly seeking furniture that is responsibly sourced, made from sustainable or recycled materials, and manufactured with minimal environmental impact. This includes the use of FSC-certified wood, reclaimed timber, low-emission finishes, and eco-friendly packaging. As sustainability becomes a critical differentiator, many brands are investing in green manufacturing practices, ethical sourcing, and supply chain transparency. Circular economy principles are also gaining traction, with some retailers offering buy-back or recycling programs for old furniture, encouraging consumers to make more eco-conscious choices,” said Mr. Karan Chechi, Research Director of TechSci Research, a research-based management consulting firm.

“Australia Home Furniture Market, By Product Type (Bed, Table, Chairs, Others), By Material Type (Wood, Plastic, Metal, Others), By Sales Channel (Supermarkets & Hypermarkets, Specialty Stores, Online, Others), By Region, Competition, Forecast & Opportunities, 2020-2030F”, has evaluated the future growth potential of Australia Home Furniture market and provides statistics & information on market size, structure and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in the Australia Home Furniture market.

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