Market Trends of GCC Luxury Furniture Industry
Changing Consumer Preferences Toward Luxury Goods Like Luxury Furniture
The growing number of real estate developments and the increasing demand for residential properties are leading to higher usage of high-end furniture products. Urbanization and industrialization across the region, rising permeation of online retailing in developing nations are manipulating customers for acquiring luxury furniture, which is expected to drive growth in the GCC luxury furniture market. With the population residing in urban areas and the rising disposable income per capita, and the high preference for luxury products among consumers, there is an increase in the awareness of modern lifestyle, and demand for eco-friendly furniture is expected to boost the market growth. Urbanization is enhancing the growth of the market study with all countries across the region witnessing a ride in their urban population which fuels the demand for premium products like luxury furniture. The installation of luxury furniture can improve a home's appearance and boost its value. Luxury furniture made from wood and metal is gaining popularity among consumers due to its high aesthetic value and durability. The rise in eco-friendly and multifunctional luxury furniture is also supporting market growth in developed economies. Residential remodeling and replacement will continue to account for luxury furniture demand as homeowners replace older furniture with newer products that offer enhanced visuals.
Growth of the Real Estate Sector
Dubai, Abu Dhabi, and Doha have emerged as the top three real estate markets in the Gulf Cooperation Council (GCC) region. The GCC region has witnessed rapid economic development and demographic changes, including the influx of expatriates, which in turn has increased the region's overall population. This, coupled with a rise in per capita income, has fueled the demand for residential units in the region. FIFA 2022 in Doha had primarily buoyed the demand for amenities and world-class infrastructure. Post-recession, the GCC has emerged as an attractive destination for global investors, and the real estate sector has become a key economic barometer for the growth in the region. The GCC real estate sector is one of the fastest-growing sectors across the world, albeit with the recent slowdown in economic growth due to oil price fluctuations. This growing real estate sector further boosts the luxury furniture market.
