By the financial year 2029, the real estate market is anticipated to have grown at a 25 percent CAGR and reached $1 trillion. The survey stated that demand for home renovations is being driven by hybrid work systems in urban areas.
As the home and household industry grows at a compound annual growth rate - CAGR of more than 10 percent, it is expected to reach $237 billion by the year 2030.
Increased disposable incomes, changing consumer tastes, and a rising emphasis on convenience across product categories are driving the increase, according to a Deloitte India research report titled "Unlocking Opportunities in India's Home & Household Market Thought Leadership."
Strong demand is being seen in the housing and household market, especially in tier 2 and tier 3 cities. Higher demand is being caused by factors such as easy access to financing, rising digital platforms, high disposable incomes, and young consumers investing in house improvements, according to a report released on September 18 at the two-day MAPIC India (previously IRF) event in Mumbai.
According to the report, India's per capita disposable income increased by 13% to $2,500 in FY23, which in turn increased demand for high-end goods.
The desire for larger houses and second homes is likely to drive the real estate sector, which is projected to rise at a 25% CAGR and reach around $1 trillion by FY29. This will also enhance sales of household products. According to the report, consumers are remodeling their homes more frequently than ever before, with the renovation market expected to grow to $14.3 billion by 2027.
According to the survey, middle-aged homeowners are more frugal than younger or older homeowners, with the former tending to renovate more frequently, especially in bedrooms and living rooms, and the latter keeping to a budget under Rs.5 lakh. Renovating bedrooms and living rooms more frequently than other rooms within the last five years was mentioned by nearly 50% of respondents.
By FY30, the décor and lighting industry is predicted to have grown to $4 billion at an 8% CAGR. LED lighting holds an 80% market share in the lighting industry, with decorative lighting accounting for the remaining 20%.
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