Europe Furniture Market Overview in 2025
Market Size in 2024: USD 222.0 billion
Market Forecast in 2033: USD 296.5 billion
Market Growth Rate 2025-2033: 3.3%
Europe’s furniture sector is on a steady climb. After hitting USD 222 billion in 2024, the Europe furniture market is projected to reach USD 296.5 billion by 2033, underpinned by eco-conscious consumers, hybrid-work trends, and a wave of digital-first retail experiences that make buying a sofa as easy as streaming a movie.
Growth Drivers Shaping the European Furniture Market
EU Green Deal Pushes Manufacturers toward FSC-Certified Circular Designs
The EU Green Deal and Circular Economy Action Plan have pushed for Circular requirements in the vendors’ offerings. As of January 2025, all tenders for public procurement must give contractors extra credit for the furnishing that has at least 30 % recycled material or that is certified with a product passport for FSC or PEFC. The Swedish Interior Ministry has already cancelled orders worth EUR 120 million made for suppliers that did not fulfill the specific requirements. The 2025 catalogue shows that IKEA has 65% of the offering labelled circular, over the 44 % in 2023. FSC certification requires traceability software. Demand for digital product-passport platforms is growing; this offers a new revenue stream for hardware and software vendors and ensures commitment to sustainable sourcing through the end of the forecast period.
Hybrid Work Spurs 8.88% CAGR in Office Furniture as Corporations Re-Design HQ
Office-furniture segment in Europe is projected to expand at an 8.88% CAGR during the forecast period. Corporate hybrid structure leads to demand for modular, scalable and ergonomic solutions, driving market growth. Steelcase’s 2025 Workplace Survey reveals 72% of European firms are reducing desks in favour of more collaborative spaces, lifting average order size by 18%. Encouraging statistics are from home-office subsidies in the EU, Germany (EUR 600 per employee) and France (EUR 500). Each pushes individual and head-of-family higher-margin products, including height-adjustable desks, cabinets, and acoustic booths. These specialty items cannibalise lower-margin workstations; manufacturers are reallocating capacity from the workstation product line to capture growth, which expands the potential of the premium high-tech segment.
Online Share Hits 38% as AR Room Planners Cut Return Rates to 3%
Online furniture sales now account for 38% of regional revenue, up from 29% in 2022, as AR room-planner apps have cut returns to just 3%, half the offline average. Wayfair Europe revealed that users of its “View in Room 3D” tool are 27% more likely to click checkout and spend 15% more per basket than those who shop without the tool. Italian start-up DrawIn has licensed its AR engine to 1,200 independent retailers. The 1,200 independent retailers work together in a common ecosystem where they pool anonymised data to improve recommendation accuracy. Next-day delivery now covers 65% of EU postcodes and is aided by logistics network maturity. Pure-play e-tailers can compete on convenience, hastening the channel shift and compressing traditional wholesale margins.
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Europe Furniture Market Segmentation
Analysis by Material
- Metal
- Wood
- Plastic
- Glass
- Others
Analysis by Distribution Channel
- Supermarkets and Hypermarkets
- Specialty Stores
- Online Stores
- Others
Analysis by End Use
- Residential
- Commercial
Analysis by Country
- Germany
- France
- United Kingdom
- Italy
- Spain
- Others
Competitive Landscape
The competitive landscape of the industry has also been examined along with the profiles of the key players.
Europe Furniture Market News
- April 2025 – IKEA raised the share of circular-ready products in its catalogue to 65%, embedding digital product passports to meet EU Green Deal procurement rules.
- January 2025 – Germany extended its EUR 600 home-office grant through 2026, lifting demand for height-adjustable desks and acoustic pods.
- November 2024 – Wayfair Europe reported that shoppers using its AR room-planner tool are 27% more likely to check out and spend 15% extra per basket.
- September 2024 – Steelcase revealed that 72% of European firms are shrinking individual desks but expanding collaboration zones, lifting average order values by 18%.
