Global Furniture Market: Demand, Challenges, and Opportunities

Howard Obbard, Owner of BSSB Group & Co-Founder and Director of Furniture & Choice Malaysia, highlighted the impact of social media on furniture demand.

“Consumer confidence, disposable income, but also the trends that are coming through online, the influence of Instagram and TikTok, changing the way in which people perceive furniture,” said Howard.

Sustainability and ethical considerations are also shaping purchasing decisions.

Howard added, the influence of environmental concerns and ethical concerns within the global marketplace and they really must concentrate on making a better future.

In order to meet these expectations, companies must integrate environmental responsibility into their operations.

“We make sure that… when we consider our product, environmental and consumer considerations are incorporated from the front to the back of the organisation,” he said.

Despite growing demand, the industry faces several challenges: 1. Rising Raw Material Costs Manufacturers struggle with increasing costs of essential materials.

“Raw material price increases, the changing in global demand and trend,” he added.

2. Supply Chain and Logistics Disruptions Shipping delays and transportation costs remain significant hurdles. Logistical aspects, like shipping, transportation in general.

3. Workforce Development Finding skilled labour is a major challenge, requiring investment in training. “Education, employment and really bringing on board the right types of people within a business are some of the biggest challenges we’ve got today,” mentioned Howard.

4. Policy and Market Stability He said unstable regulations create uncertainty for businesses and it’s important to have a consistent platform to work from and consistency within policy and environment.

The Role of Technology and Innovation 1. AI and Social Media in Consumer Demand AI-driven recommendations will influence how customers shop for furniture.

“We can see the influence of technology… and a lot of integration of AI-assisted shopping recommendations,” added Howard Obbard.

2. Automation and Advanced Manufacturing Investment in high-tech equipment is crucial for efficiency and competitiveness.

“It’s really about investing in the environment, investing in the people, and investing in high-tech equipment and technology,” said Howard.

3. Sustainability and the Circular Economy The industry is shifting towards reducing waste and extending product lifespans.

“The consideration of what’s called a circular economy, which is really trying to remove waste from the system,” said Howard.

Malaysia has the potential to be a leading furniture hub, but key steps are needed:

Malaysia’s Position in the Global Market Malaysia has the potential to be a leading furniture hub, but key steps are needed:

1. Strengthening Local Supply Chains Building a strong domestic supplier network is crucial and the industry must support local industry and local growth.

2. Workforce Development Investing in training will ensure long-term sustainability. “You build the base up with a great foundation of a local network of great suppliers,” Howard highlighted.

3. Policy Consistency for Growth Stable regulations will encourage investment and development. He added it’s not just short term but also a long-term view on long-term growth.

In a nutshell, the global furniture industry is adapting to changing consumer trends, technological advancements, and sustainability demands.

“Overcoming challenges such as supply chain disruptions and workforce shortages requires investment in AI, automation, and eco-friendly manufacturing

“Research to understand where demand is and where it is heading,” said Howard.

Howard emphasised with a focus on innovation and sustainability, companies can stay competitive in this evolving market.