Indonesia Office Furniture Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

Office furniture market in Indonesia is expected to gain high revenue in the future due to expanding customer base across all regions of the country. The potential for locally manufactured furniture products in Indonesia is extensive, in line with the rapid development of office buildings across the country. Thus, office spending is likely to generate demand for furniture which is a basic necessity of the workspace area. The demand for modular and innovative solutions is likely to observe greater penetration among various type of office furniture. In addition, sharing workspace concept also gained wide popularity around the country. Rising concern towards environmental protection has intensified the demand for eco-friendly office furniture over the past few years. Keeping in mind the sustainability, the manufacturers are incorporating eco-friendly materials to manufacture furniture. Such innovation is anticipated to drive the growth of office furniture market over the next few years.

Key Market Trends

Rising Urbanization is Driving the Market

Urbanization is the process through which cities grow, and higher and higher percentages of the population come to live in the city. Indonesia has experienced ongoing urbanization, and it is estimated that over half of its population now lives in urban areas. The growing urbanization in the country, as well as the construction of new offices, escalates the demand for office furniture products. Limited land space in urban areas has resulted in vertical construction expansion. Thus, rising construction buildings and the establishment of new office buildings is likely to drive the demand for the office furniture market.

Wood is One of the Most Widely Used Materials for Office Furniture Production

The wood segment held the largest market share and is expected to expand at the highest CAGR over the forecast period. This growth is expected to accelerate as wood is one of the raw materials naturally available in abundance and can be used in the production of almost all types of furniture products. Numerous local Indonesian companies are utilizing reclaimed wood to make a variety of office furniture types ranging from tables, chairs and often complement their efforts with local reforestation programs. Moreover, wooden furniture manufacturers are increasingly focusing on providing eco-friendly and adaptable products for gaining a competitive edge in the market. In addition, the increasing popularity of luxury wooden furniture for improving office interior designs will provide potential growth opportunities for industry expansion.

Competitive Landscape

The report covers major international players operating in the Indonesia office furniture market. In terms of market share, some of the major players currently dominate the market. However, with technological advancement and product innovation, mid-size to smaller companies are increasing their market presence by securing new contracts and by tapping new markets.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support