Furniture - Iceland

Iceland

In Iceland, the Furniture market generated a revenue of US$240.80m in 2024.
It is projected to experience an annual growth rate of 0.53% (CAGR 2024-2029).
The largest segment within this market is the Kitchen & Dining Furniture segment, which had a market volume of US$55.75m in 2024.
When compared globally, United States leads in terms of revenue generation, with a total of US$263bn in 2024.
In terms of per capita revenue, in Iceland generated US$637.60 per person in 2024.
Despite its small population, Iceland has a thriving furniture market that embraces minimalist design and sustainable materials.

Key regions: Worldwide, United States, China, India, Germany

Definition:

The Furniture market covers different movable objects designed to support various human activities such as sitting, sleeping, and storing items. These objects can include chairs, tables, beds, couches, and cabinets, among others. The design and layout of furniture can have a significant impact on the comfort and functionality of a space, making it an important aspect of interior design and home decor.

Structure:

The Furniture market is divided into seven segments:

The Living Room Furniture segment focuses on furnishings such as sofas, side tables, and media cabinets typically found in the living room. This segment is divided into the following subsegments: Seats & Sofas and Cabinets, TV Stands & Side Tables.
The Bedroom Furniture segment covers furnishings and other accessories used for sleeping and the storage of clothing and other personal items. This segment is divided into the following subsegments: Beds, Mattresses, Closets, Nightstands, & Dressers, and Bedding.
The Kitchen & Dining Furniture segment covers a diverse range of products that are used to meet people’s eating, food storage and preparation needs. This segment is divided into the following subsegments: Kitchenware and Dining Tables, Kitchen Islands & Pantries.
The Outdoor Furniture segment covers products specifically designed to withstand exposure to the elements, such as rain, sun, and wind, and is often made from materials that are weather-resistant.
The Home Office Furniture segment focuses on products that ensure a good working environment at home compared to that of a traditional office. This segment is divided into the following subsegments: Desks & Chairs and Bookcases & Filing Cabinets.
The Lamps & Lighting segment covers various devices and fixtures that provide illumination in a space. This segment is divided into the following subsegments: Table & Floor Lamps, Ceiling Lights & Chandeliers, and Light Bulbs & Fittings.
The Home Décor segment covers a variety of accessories and furnishings designed to make a space more aesthetically appealing. This segment is divided into the following subsegments: Decorations, Carpets & Rugs, Candles, and Curtains & Blinds.

Additional Information:

The Furniture market consists of revenue and average revenue per capita data. Per capita figures consider the whole population. This market includes only business to consumer (B2C) sales. Business to business (B2B) sales (e. g., furniture for coffee shops, offices, etc.) are excluded in the figures shown. For more information on the displayed data, click the info button on the right-hand side of each box. In terms of key players in the furniture market, IKEA is the leading furniture company; however, with the rise of eCommerce, players such as Wayfair are gaining ground.

Market

Region

Region comparison

Currency

Analyst Opinion

The Furniture market in Iceland has been experiencing significant growth in recent years. Customer preferences have shifted towards more modern and minimalist designs, with a focus on functionality and durability. This trend is in line with global market preferences, as consumers worldwide are increasingly seeking furniture that is both aesthetically pleasing and practical. One of the key trends in the market is the growing demand for sustainable and eco-friendly furniture. Icelandic consumers are becoming more conscious of the environmental impact of their purchases and are actively seeking out furniture made from recycled materials or sustainably sourced wood. This trend is driven by a combination of factors, including increased awareness of climate change and a desire to support companies that prioritize sustainability. Another trend in the market is the rise of online furniture shopping. With the development of e-commerce platforms, consumers in Iceland now have access to a wide range of furniture options from both domestic and international retailers. This has increased competition in the market and given consumers more choices when it comes to purchasing furniture. The convenience of online shopping, coupled with competitive pricing and a wide variety of styles, has contributed to the growth of this trend. Local special circumstances in Iceland also play a role in the development of the furniture market. The country's unique geography and climate create specific challenges for furniture manufacturers and retailers. The harsh winters and remote locations of many Icelandic towns and villages make it difficult to transport and deliver furniture. As a result, companies have had to develop innovative solutions to overcome these challenges, such as offering free or discounted delivery services or partnering with local logistics providers. Underlying macroeconomic factors have also contributed to the growth of the furniture market in Iceland. The country's strong economy and low unemployment rate have increased consumer spending power, allowing more people to invest in new furniture. Additionally, the tourism industry in Iceland has been booming in recent years, attracting a large number of visitors who may be in need of furniture for accommodations or souvenirs to take home. In conclusion, the Furniture market in Iceland is experiencing growth due to shifting

Customer preferences: towards modern and sustainable designs, the rise of online shopping,

Local special circumstances: and favorable macroeconomic factors. As the market continues to evolve, it will be important for companies to adapt to these trends and cater to the changing needs and preferences of Icelandic consumers.

Methodology

Data coverage:

Data encompasses B2C enterprises. Figures are based on home furnishings and furniture found in every room of the home. This market is segmented by the room where the furniture is likely to be used and consists of the following: Living Room, Bedroom, Kitchen and Dining room, Bathroom, Outdoor, and Home Office. The Furniture market also includes Lamps and Lighting and Home Decor because the furnishings and accessories within these segments are not specific to any room.

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 consumer spending and GDP. 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 is well suited for forecasting the Furniture market with a projected steady growth. The main drivers are furniture and furnishings, carpets and other floor coverings, 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.