ICS Magazine

Carpet and Rug Sales Expected to Fly Past $20 Billion by 2010

March 16, 2006
NEW YORK /PRNewswire/ -- Increased innovation in design and construction, coupled with a vibrant economy, are working like magic in the world of carpets and rugs, where sales upwards of $20 billion are expected by 2010, according to The U.S. Market for Carpets and Rugs, a new report from market research publisher Specialists in Business Information (SBI), a division of MarketResearch.com.

While tufted carpets and rugs account for 77% of the market, heavy growth in the woven sector-26.7% in 2004 over 2003-helped fuel a nearly $2 billion increase in overall sales between 2003 and 2004. This in turn helped 2005 overall sales reach $16.24 billion, with heavy demand from DIY home improvers and new home builders.

Although carpet's share of the overall flooring market has declined slightly over the years due to a shift in consumer preference for hard flooring, it still holds a 65% share of the market. However, with the intense popularity of newer hard-flooring products, such as environmentally friendly cork and bamboo, carpet manufacturers are scrambling to stave off increased losses in market share.

"There's an industry-wide effort to continue riding the growth trend experienced in the last two years as manufacturers dare to be bolder by using more flamboyant colors, textures, and materials-both man-made and natural," said Don Montuori, the publisher of SBI. "Manufacturers are also focusing on key demographics, such as Boomers, Echo-Boomers, younger teens, and Hispanics, while expanding into niche markets such as high-end carpet tiles and premium hand-knotted rugs-markets favored by those with greater disposable income."