According to analysts at Vantage Market Research, the Architecture and Interior Design market are expected to reach USD 1,563 Million by 2028, growing at a CAGR of 8.2% from 2021 to 2028. Increasing investments in the real estate industry, rising income level, growing population, urbanization, are some factors that are driving the growth of the Architecture and Interior Design Market globally.
- The commercial segment is projected to expand over 7.1% CAGR over the forecast period. There are rising investments in the real estate industry. The sector is generally seeing investments in co-working spaces and commercial real estate. As the real estate industry is anticipated to boom in the future the Architecture and interior design market will also grow with it.
- The newly constructed segment held a market share of more than 8% in 2020. People are picking up theme-based designs for their residential and commercial spaces. Endless themes like the European Style, the Mediterranean Style, the Ethnic Indian Style of Decor and Design are getting very common nowadays.
- Asia Pacific is expected to expand at a CAGR of over 7.6% from 2021 to 2028. The rise in the investment for rapid industrialization and smart city projects across the nations such as India, China, and Southeast Asian countries are some of the determinants projected to benefit the market growth in the region. Additionally, the rising demand for unique residential projects and green infrastructure development across nations in the region is anticipated to propel the demand for Architecture and interior design market over the forecast period.
Some of the key players in the Architecture and Interior Design market are Nelson, IA Interior Architects, Cannon Design, Stantec, SOM, Jacobs, NBBJ, Areen Design Services, Gensler, HOK, Leo A Daly, Gold Mantis, among others. The market is comprised of a high degree of competition due to the presence of numerous key players. Manufacturers are focusing on opting for various inorganic growth strategies such as acquisitions, mergers, and geographical expansion to leverage their market share and gain a competitive advantage.
The development in interior design is associated with the rising real estate industry, urbanization increasing population, and growing income levels. Other determinants that lead to a stream in demand for Architecture and Interior design market include smart homes, the changes in the lifestyle and living standards of the people, and the pursuance of social media. New innovations and technology are taking place to convert traditional homes into more tech-friendly ones. VR (Virtual Reality) is disrupting the architecture and interior design industry and has made the experimenting and visualizing processes easy for both designers and clients. Therefore, the cost of using VR is too high for incorporating in the sector.
The Middle East and Africa region are poised to record a substantial CAGR. The demand is associated with the rising infrastructure investments and substantial capital projects across sectors such as healthcare, hospitality, and education. Government in various nations are putting their efforts to grow infrastructure expenditure as a part of economic development programs.