The chart above shows quarter-over-quarter industry performance from 2012 Q2 through the second quarter of 2015.
Second quarter combined Furniture and Bedding industry sales of $22.96 billion were a 5.2 percent improvement over $21.83 billion from the same quarter in 2014. Compared to last quarter (2015 Q1) sales improved 3.1 percent
Furniture (excluding Bedding) increased 5.2 percent in 2015 Q2 versus the same quarter last year with sales of $19.67 billion – up from $18.7 billion in 2014 Q2.
Bedding continued steady quarter-over-quarter growth with sales of $3.28 billion, up 4.9 percent over second quarter sales last year.
In terms of consumer expenditures on goods and services, Durable Goods (where Furniture is a subcategory) is losing ground to expenditures on consumer Services.
This is the first in a series of factoids detailing Furniture as a percent of Personal Consumption Expenditures. Durable Goods, Non Durable Goods, and Services are the three main categories of Personal Consumption. Durable Goods (with Furniture as a subcategory) has dropped by (-1.5) percentage points from 2006 to 2014Q2, while expenditures on Non Durable Goods has maintained its share at 22.4%. What percentage share Durable Goods has lost, Services has gained during the same time period – up by 1.5pts.
Source: U.S. Department of Commerce, Bureau of Economic Analysis
In 2003, the average annual household expenditure on Major Appliances was less than 50% of Furniture expenditures -- $196 versus $401. During the recession (2009) Major Appliances grew to 57% of Furniture and have remained close to that expenditure in 2013 (56%). As new home building recovers, Major Appliances and Furniture should get further bumps in growth.
Meanwhile, the average household spent $100 annually on Televisions in 2003, only 25% of the amount spent on Furniture of $401. By 2009, that ratio had grown tremendously to 44% as innovations in TVs peaked consumer demand. In 2013, the amount spent on Televisions had fallen slightly to 40% of Furniture -- $151 versus $382.
Of the three major home furnishings consumer products, Furniture was hardest hit during the Great Recession, but has shown more growth in the recovery than its sister products Major Appliances and Televisions. Yet none of the home furnishings products has reached historic average household sales levels attained between 2006 and 2008.
Source: U.S. Department of Labor, Bureau of Labor Statistics, “Current Expenditure Survey”
This factoid compares the dollar growth in personal consumption of three major home furnishings consumer products - Furniture, Major Household Appliances, and Televisions.
The Television industry has more than doubled since 2000, growing 140%. However most of that growth occurred before and during the recession. Since the recession, the Furniture industry has outperformed both Televisions and Appliances, growing 15.2% since 2009 compared to 9.1% for Appliances and 3.3% for Televisions.
Source: U.S. Department of Commerce, Bureau of Economic Analysis, “Personal Consumption Expenditures”