Our Consumer Panel highlighted a furniture industry that remains under pressure after several consecutive years of demand declines, with panelists seeing limited evidence of a meaningful recovery heading into 2027. Lower-income consumers remain particularly challenged, while higher-income customers and premium price points have proven more resilient. Against this backdrop, retailers are focused on driving higher tickets and conversion rather than relying on traffic growth, while industry consolidation and increasing operating complexity continue to favor larger regional and national players. Panelists also emphasized the importance of an omnichannel strategy, given the role of online discovery alongside the in-store experience. Lastly, tariff volatility remains a key uncertainty given the industry's significant sourcing exposure to Vietnam and limited ability to quickly shift production elsewhere.
