Floor Covering - Indonesia

Indonesia

Highlights

Indonesia's Floor Covering market in 2024 generates a revenue of US$61.77m.
It is projected to experience an annual growth rate of 3.42% (CAGR 2024-2029).
When compared globally, United States leads the market with a revenue of US$6bn in 2024.
In terms of per capita income, each individual in Indonesia contributes US$0.22 to the Floor Covering market revenue in 2024.
The demand for traditional Indonesian batik-inspired floor coverings is growing rapidly in the domestic market.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

In Indonesia, the DIY & Hardware Store Market's floor covering segment is experiencing slow growth due to various factors such as limited consumer awareness, low disposable income, and lack of convenience in purchasing options. However, with the increasing adoption of digital technologies, the market is expected to see gradual growth in the coming years.

Customer preferences: As consumers become more environmentally conscious, there is a growing trend towards eco-friendly and sustainable floor coverings such as bamboo and cork. This shift is also influenced by the rising popularity of minimalist and natural interior design styles. Additionally, with the increasing availability of DIY tutorials and home renovation shows, more individuals are opting to install flooring themselves, leading to a higher demand for easy-to-install options in hardware stores.

Trends in the market: In Indonesia, the Floor Covering Market within the DIY & Hardware Store Market is experiencing a rise in eco-friendly flooring options, such as bamboo and cork, in response to growing consumer demand for sustainable products. This trend is expected to continue as environmental concerns become more prevalent in the region. Additionally, there is a shift towards online sales and marketing, as more consumers turn to e-commerce platforms for their home improvement needs. This poses both challenges and opportunities for industry stakeholders, as they must adapt to new channels while also ensuring product quality and customer satisfaction.

Local special circumstances: In Indonesia, the Floor Covering Market within the DIY & Hardware Store Market is heavily influenced by the country's geographical and cultural factors. The archipelago's diverse terrain and climate necessitates a wide range of flooring options, while the consumer preference for locally produced materials presents a challenge for international players. Additionally, government regulations on building materials and safety standards have a significant impact on market dynamics. These factors create a unique market landscape that requires specific strategies to succeed.

Underlying macroeconomic factors: The Floor Covering Market within the DIY & Hardware Store Market in Indonesia is greatly impacted by macroeconomic factors such as the country's overall economic growth, government fiscal policies, and global economic trends. With Indonesia being the largest economy in Southeast Asia, it offers a lucrative market for floor covering products. Additionally, the country's rising middle class and increasing urbanization are driving the demand for home improvement and DIY projects, leading to a positive impact on the floor covering market. However, challenges such as limited access to credit and infrastructure development may hinder market growth in the country.

Data coverage:

Data encompasses B2C enterprises. Figures are segmented by product type and consist of the following: Paint, Wallpaper & Supplies, Tools & Machines, Hardware and Building Materials, Lawn & Garden, Heating & Cooling, Bathroom Hardware, and Floor Covering.

Modeling approach / Market size:

Market sizes are determined by a top-down approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use national statistical offices, international institutions, in-house market research, and resources from the Statista platform. Next we use relevant key market indicators and data from country-specific associations such as product value, import value, and export value to determine domestic supply. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, exponential trend smoothing. The main drivers are turnover indices, GDP per capita, and consumer spending per capita.

Additional Notes:

The market is updated twice per year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level.