Saudi Arabia Furniture Market Size Expands at Significant CAGR of 9.48%

16
Saudi Arabia Furniture Market

BlueWeave Consulting, a leading strategic consulting and market research firm, in its recent study, estimated the Saudi Arabia Furniture Market size at USD 6.4 billion in 2022. During the forecast period between 2023 and 2029, BlueWeave expects the Saudi Arabia Furniture Market size to grow at a significant CAGR of 9.48% reaching a value of USD 11.02 billion by 2029. Major growth drivers for the Saudi Arabia Furniture Market include increasing real estate development, a rising demand for residential properties, and government initiatives promoting socio-economic infrastructure. Urbanization and the expansion of the Saudi Arabian economy are driving the need for furniture in various sectors, including hotels, offices, and industries. Foreign investors are increasingly exploring opportunities to expand their furniture product offerings across different emirates in Saudi Arabia. Also, there is a rising demand for luxury furniture in the country, signifying wealth and social status. Multi-functional furniture is also gaining popularity due to its space-saving advantages and versatility. Notably, the Saudi Arabian furniture market is adapting to online retailing, with major retailers like Home Center and IKEA launching online stores to meet evolving consumer preferences. However, competition from imports and high inflation rate are anticipated to restrain the overall market growth during the period in analysis.

Opportunity – High demand from thriving tourism sector

A surge in the growth of Saudi Arabia Furniture Market size is predominantly fueled by the expanding tourism and educational sectors. Notably, the country witnessed a substantial 52% increase in total spending on tourism in 2021, reaching USD 25.5 billion, according to data from the Saudi Central Bank. To maintain competitiveness in the dynamic Saudi Arabian furniture industry, companies should focus on introducing a diverse range of innovative hospitality furniture solutions. This entails not only meeting the rising demand for technologically enhanced furniture but also fostering sustainability through the development of eco-friendly and resource-efficient products.

Sample Request @ https://www.blueweaveconsulting.com/report/saudi-arabia-furniture-market/report-sample

Impact of Escalating Geopolitical Tensions on Saudi Arabia Furniture Market

TheSaudi Arabia Furniture Market has been significantly impacted by intensifying geopolitical disruptions in recent times. For instance, the ongoing Russia’s war on Ukraine has disrupted supply chains and hindered the production and distribution of wood products and timber. It has prompted a surge in global furniture prices as companies seek alternative sources for controlled timber, coupled with increased fuel and labor costs, intensifying the challenges faced by the furniture market. In addition, the sanctions imposed on Russia by the United States and other countries have the potential to redirect and interrupt the global shipment of forest products, posing a threat to established international trade routes. Meanwhile, calls for economic disengagement from Russia by furniture industry leaders may affect investments potentially reshaping relationships with suppliers and influencing the global furniture market dynamics. In addition to the conflict in Ukraine, the long and spread of Israel-Hamas war could further escalate geopolitical tensions across the Middle East. These disruptions could impede the industry’s ability to introduce new materials, technologies, and design concepts, emphasizing the need for strategic adaptation and resilience in navigating these complex circumstances. In essence, these geopolitical tensions introduce uncertainties and challenges across various dimensions of the furniture market, highlighting the imperative for strategic adaptation and resilience in navigating these intricate circumstances.

Despite the current challenges posed by geopolitical tensions, there are potential growth opportunities for the Saudi Arabia Furniture Market. The heightened awareness of vulnerabilities in supply chains due to these tensions may incentivize industry stakeholders to invest in more resilient and diversified models within the furniture sector. The disruptions in traditional approaches to furniture retail and trade could drive innovations, fostering a shift towards more adaptive and efficient practices.

Saudi Arabia Furniture Market – By Application

Based on application, the Saudi Arabia Furniture Market is bifurcated into Residential and Commercial segments. The residential segment holds a higher share in the Saudi Arabia Furniture Market by application. The increasing real estate landscape, coupled with a growing demand for residential properties, propels the need for home furniture products, as individuals often seek new furnishings when transitioning to new residences. Within the residential furniture sector, significant sales predominantly occur in the living and dining room furniture segment, closely trailed by the bedroom furniture segment. Government initiatives actively promoting property ownership in Saudi Arabia further contribute to the robust demand for furniture products in this segment, making it a dominant force in the market.

Competitive Landscape

Major players operating in the Saudi Arabia Furniture Market include Saudi Modern Factory Company, Riyadh Furniture Industries Company, Al-Abdulkader Furniture Co. Ltd, Al-Mutlaq Furniture, Al Aamer Furniture, Habitat Furniture Co. Ltd, and International Furniture. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Contact Us:

BlueWeave Consulting & Research Pvt. Ltd

+1 866 658 6826 | +1 425 320 4776 | +44 1865 60 0662

info@blueweaveconsulting.com