Market Overview
The global furniture rental market is valued at US$52.05 billion in and is expected to grow at a compound annual growth rate (CAGR) of 7.0% from 2023 to 2030.
Market Drivers
The boom in financial lending is driven by culture and ideology. The market is largely responsible for the expansion of the rental market as consumers prefer the variety, value and affordability offered by rental service providers.
The variety of tables and chairs has led to an increase in the demand for furniture. Additionally, the growth of rental furniture offers a solution to one of the biggest concerns of millennials about reducing their carbon footprints. Since people don’t use many things, sharing these things is considered safe, eco-friendly and economical which is good for business growth.
Market Restraints
There is no information about this business among the public and the difficulty of managing reservations limits development. Also, managing furniture and providing customer service can create problems for furniture in the market.
Market Opportunities
More than 60% of the world’s population has been asked to work from home during the COVID-19 pandemic, making repairs and renovations even more important as the home needs furniture.
Also, demand for furniture such as tables and chairs has increased among workers due to the decision to work from home, according to major suppliers. Expect to continue as a long-term purchase due to mixed activity. Also, according to Fabrento, an Indian furniture rental company, both businesses and individuals rent ergonomically designed products that are useful when working at home, especially in the city. In addition, the furniture rental concept is preferred by customers with monthly and annual payment options.
Big players like Furlenco, Rentomojo and Feather have created a new category due to the increasing demand for home furniture.
Also, event managers, hotels, and other businesses host a variety of events, including birthdays, weddings, weddings, corporate parties, and more. Depending on their themes, these events require different ambiances and furnishings as they are different, which allows the business to grow.
Market Size and Segmentation
- By Product
- Bed
- Wardrobe & Dressers
- Sofa & Couch
- Chairs & Stools
- Table & Desks
- Others (Ottomans, Kitchen Islands, Nightstands, Storage Benches)
In 2023, the mattress segment will have an important position in the global market, taking the largest share exceeding 31.25% of the total turnover. A big change in this trend can be attributed to how millennials view or live their lives, increasing demand for furniture, including beds. Millennials are more pragmatic than they are today, rather than being tied to a particular place or event. They avoid investing in things like furniture because they explore, move, and find new opportunities.
This has fuelled the growth of the industry, resulting in increased demand for beautiful, beautiful and affordable bedding. On the other hand, the clothing and dressing segment will witness the fastest growth from 2023 to 2030. Wardrobes are available that can be assembled in various sizes, designs and finishes that enhance the quality and quality of the site. Consumers prefer vanity tables with glass or glass doors to improve the appearance of the room. These vanities can also be used as a TV stand, ornament or bedside table.
- By Material
- Wood
- Glass
- Plastic
- Metal
- Others (Vinyl, Leather)
The wood products segment will dominate the global market, generating the bulk of total revenue of more than 38.65% in 2022. Wood adds charm to simple furniture and provides a solid foundation for tables, desks, chairs, sofas, beds and other furniture. However, many softwoods such as oak, cedar and fir are inexpensive and are often used for indoor furniture.
Hardwood, on the other hand, is heavier, can withstand all weather conditions, can last for years if well cared for, and is often used in furniture for long-term use with less maintenance.
Plastic products are predicted to witness the fastest growth during the forecast period. Furniture made of plastic is generally lighter than furniture made of metal or wood. This makes transportation to and from different areas relatively easy. Moving plastic furniture and setting up space doesn’t help much.
Since rental companies tend to move furniture as often as needed, it should be durable and easy to move without damage. All these factors will lead to plastic products during the forecast period.
- Application
- Residential
- Commercial
According to the demand, international trade continues in business and field. The apps business segment will dominate the market, with the largest share exceeding 60.45% of total revenue in 2022. Many events are held around the world every day. Adding elegance and luxury to any event is simple and easy by renting furniture.
Organizations save money, time and effort as the furniture rental company takes care of all the furniture. Also, renting furniture allows people to decorate the space for an event without having to spend money on disposables.
On the other hand, the apps segment is expected to witness the fastest growth during the forecast period. With the continuation of working from home and taking online classes, it is important to create a comfortable environment for comfort and relaxation during lecture or study hours. This is always difficult, especially for those who live in small houses.
This allows furniture providers to expand their products into residential space.
- By Region
- North America
- U.S.
- Canada
- Europe
- U.K.
- Germany
- France
- Asia Pacific
- China
- India
- Japan
- Central & South America (CSA)
- Brazil
- Middle East & Africa (MEA)
- South Africa
The North America region dominates the world market in 2022 and has the largest share of total revenue at more than 35.00%. The growth of the market in the region is due to the flexibility concept and the presence of large service providers that keep customers interested in furniture due to the Copy joint venture. The popularity of rental furniture has grown significantly in recent years, especially among young people who value comfort, freedom and flexibility.
But even a well-known company like IKEA can rent furniture and move to a circular business model.
Asia Pacific is predicted to witness the fastest YBBO in the period 2023-2030. The market in the Asia-Pacific region is developing rapidly and has great expansion potential. Gen Z and millennials increase the need for regional furniture as it gives them access to stylish designs, as well as the opportunity to move, relocate and change jobs frequently. This shows that consumers see furniture rental and subscriptions as a more sustainable option to maintain flexibility and engage in responsible consumption.
Competitive Analysis
The global market is in competition with many companies offering a variety of rental equipment. Many big players are focusing on launching new products, forming partnerships and expanding into new markets to gain more market share.
Key players are growing their businesses through mergers and acquisitions to increase their power. For example, in March 2022, London-based furniture company David Phillips announced that it had merged with Monty Space. It is a subscription-based custom furniture provider for residential areas.
The main objective of the joint venture is to expand the furniture supply into the design market by price.
Key Competitors
- Furlenco
- Fashion Furniture Rental
- Feather
- Athoor
- Rentomojo
- Fernished Inc.
- Brook Furniture Rental
- The Everest
- Luxe Modern Rentals
- Rent-A-Center