Italy Home Furniture Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

Lockdowns in European nations owing to Covid-19 have disrupted numerous economic activity and harmed the supply chain of home furniture industry. Although some nations are gradually resuming operations, factories remain shuttered or are not working at full capacity. As a result, supply to European importers have been seriously impacted, and they are already seeking for alternative sources.

The furniture business is critical to the Italian economy. Italy is one of the world's major furniture exporters and the world's fourth largest furniture maker. Some of the primary causes driving the expansion of the Italian home furniture sector are an increase in per capita GDP, an increase in households, and urbanisation.

The country is well-known for the high quality of its furniture and is one of the major makers of home furnishings in the European Union. Living/dining room furniture is one of the most popular types of home furnishings in the country.

Exports account for a major share of the total production of Italian furniture production. "Made in Italy" has become a trademark that is recognized by foreign retailers and consumers all over the world. The key factors of this success are large investments in design, a business model based on industrial districts, and a high propensity to export. The top two markets for Italian exports are France and Germany. Some of the other prominent export regions of Italian furniture products include the Asia- Pacific region, followed by The United States, and Canada.

Key Market Trends

E-Commerce Sales in the Furniture Industry is growing in Italy

Italy is the 13th largest E-commerce market, with the market growing by about 18% in 2020, with the Italian eCommerce market contributing to the worldwide growth rate of 15% in 2020.The internet's role grew in importance, providing consumers with the ability to buy at cheaper prices and with a greater choice of options to pick from. Furniture is slowly but steadily becoming a dominant industry of Italian e-commerce.

In 2020, the value of e-commerce for furniture and appliances was approximately USD 3.2 billion, and it is likely to expand further in the following years. Ikea.com, manomano.it, leroymerlin.it, and mondoconv.it are among the largest e-commerce home furnishings websites in Italy.

Specialized Retailers Dominate the Market

The home furniture sales in Italy are dominated by specialist channels. The independent retailers such as IKEA and Bo-Concept have a stronghold in the market and control a significant market share. New store openings and acquisitions drive growth in the specialty sector. New stores generally open in parallel to new shopping center developments. Over the years, specialty retailers have grown into large-scale retail chains but are now facing stiff competition from multiple fronts, including online retailers and mass merchants.

Multibrand stores are also very common in Italy unlike other regions in the world. The country has around 2000 multibrand stores selling luxury/high-end and well as low-end home furniture products. Some of the prominent Italian multi-brand stores are Interni, Salvioni, and Mollura.

Competitive Landscape

The Italian home furniture market is fragmented with players such as Natuzzi, Molteni, Scavolini, and Poltrona Frau. Due to the intensifying competition from international companies, the players are making use of 3D technologies such as providing 3D tools to display model furniture designs by graphic designers on their websites. This can help companies maintain their dominant positions in the market.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

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