South Africa’s home decor market is projected to grow from USD 3,633.5 million in 2025 to USD 5,036.9 million by 2034, registering a compound annual growth rate (CAGR) of 3.58% between 2026 and 2034, according to a report by IMARC Group.
The market is benefiting from the expansion of retail networks, rising digital adoption and changing preferences for home interiors. Demand for affordable furniture, textiles, lighting and decorative accessories is also supported by a large household base, growing suburban housing developments and increased interest in home renovation.
Retail expansion strengthens affordable homeware demand
The expansion of value-focused retail networks is widening access to home decor products across South Africa. Pepkor reported a total of 6,657 retail stores in the six months ended March 2026, following 89 new store openings and the addition of 541 stores through acquisitions. Its PEP Home format has grown to 483 stores.
Pepkor's retail platform sales increased 11.2%, while PEP gained market share in the home category. The growing store network is helping make affordable homeware, textiles and decorative products more accessible to price-conscious consumers.
South Africa's approximately 19 million households represent a substantial potential customer base for furniture, floor coverings, wall decor and lighting. Demand is also being supported by middle-class homeownership, suburban development and household spending on interior upgrades.
Online shopping reshapes consumer behaviour
Digital retail is emerging as another important growth driver. PEP Home launched its online platform in October 2025, extending its homeware range to consumers shopping through digital channels.
Pepkor's Lifestyle furniture business recorded sales growth of 13.9%, while online sales increased 20%. These figures highlight the growing role of e-commerce in furniture and home decor purchases.
Online platforms are also changing how consumers discover and select products. Social media, home improvement programmes and design publications are influencing preferences, with demand shifting towards modern, minimalist interiors and locally sourced, sustainable materials. African-inspired designs are also gaining traction, according to the market report.
Retailers are responding with wider product assortments, private-label collections and omnichannel sales models that connect physical stores with digital platforms.
Artificial intelligence opens new opportunities
Artificial intelligence (AI) and augmented reality tools are creating new opportunities for retailers and consumers. Virtual room visualisation allows shoppers to preview furniture, wall art and textiles in their homes before making purchases. Such tools can help improve buying confidence and reduce product returns.
AI-powered recommendation systems can suggest complementary products based on browsing and purchasing behaviour, while demand forecasting tools help retailers manage inventory and seasonal fluctuations.
Generative design platforms and AI assistants are also making interior design guidance more accessible by offering room layouts, colour combinations and style recommendations. Meanwhile, route optimisation and improved delivery planning can support the movement of bulky furniture and decor products as online orders increase.
Competition and market outlook
The competitive landscape includes Pepkor Lifestyle, JD Group, Lewis Group, OK Furniture, House & Home, Mr Price Home and Wheco Group. These players operate across different product categories and retail formats, competing on affordability, product variety and customer reach.
In May 2026, Pepkor reported that its store network had reached 6,657 outlets, while its Lifestyle furniture business recorded 13.9% sales growth. The acquisition of OK Furniture and House & Home added 67 stores outside South Africa, while the transaction involving their South African operations remained under review by competition authorities, according to the report.
IMARC Group's market assessment covers home furniture, home textiles, floor coverings, wall decor, lighting and other products. Distribution channels include home decor stores, supermarkets and hypermarkets, specialty stores, online stores and other outlets.
Regionally, the report examines Gauteng, Western Cape, KwaZulu-Natal, Eastern Cape and other parts of the country.
