The furniture industry has never been more competitive. The global market value was estimated at $570 billion in 2024, according to Fortune Business Insights, and is projected to grow at an annualized rate of 5.7% until 2032. Despite this expansion, the industry trend has been one of consolidation, with big players taking an increasingly larger market share. Business of Home reports that one in five furniture retailers went out of business in the period following the 2008 financial crash, and the intervening years have seen the rise of direct-to-consumer brands and ecommerce players that have only increased competition in the sector.
As such, a furniture business that has enjoyed explosive growth over the period is worthy of attention. Spain’s Kave Home has scaled from a local business to an international furniture retail giant, growing revenues from €21 million in 2016 to a new high of €262 million in 2024. That marked a 33% increase year-on-year, as the company grew its footprint to 146 points of sale across five continents. What are the moves that enabled them to achieve this success? With insights from Enhance XR’s 2025 Furniture Trends Report, here are five strategies that unlocked Kave Home’s explosive revenue growth, providing a roadmap for furniture companies across the industry.
Read More: Download Enhance XR’s full 2025 Furniture Trends Report here
1. Design and craftsmanship as pillars of growth
Kave Home has built its reputation on a product range that prioritizes durability, sustainability, and unique design. Speaking to the ITNIG podcast, CEO Francesc Julià said, “Our mission is to create original designs that stand the test of time.” This commitment to quality and durability is reinforced by the company’s control over the entire value chain, from prototyping to overseeing global manufacturing. In turn, it enables them to tap into the wider consumer trend for sustainability that is reshaping furniture retail dynamics.
By maintaining strict oversight over production processes, Kave Home ensures that every piece meets the required standards. Their accessible luxury approach allows them to offer furniture with a high-end aesthetic at competitive prices, making stylish, durable pieces available to a broader market segment.
Key strategy: Offer luxury-level, quality design at accessible prices.
The result: Elevated brand perception and a loyal customer base.
“We believe the fast furniture era is ending, just as it is in other sectors. Customers want products with longer life cycles that are easily adaptable and reconditionable.”
- Francesc Juliá, CEO, Kave Home, speaking to ITNIG Podcast
2. Leveraging technology for competitive advantage
Kave Home stands out in the furniture sector for its early adoption of technology as a core growth driver. The company has embraced 3D and augmented reality (AR) tools, meeting modern consumer demands for in-home product visualization and real-time customization. Furthermore, recognizing the need for a dedicated technology strategy, the company appointed a Chief Technology Officer—a rarity in the furniture industry. This move underscores their commitment to leveraging innovation to enhance both the design process and customer experience.
The company’s key technology strategies include:
- 3D design ahead of engineering, accelerating the design-to-market process while maintaining quality.
- 3D product viewers, allowing customers to rotate, zoom, and visualize furniture in their homes via AR.
- Real-time configurators, enabling customers to personalize modular pieces directly on the website.
- In-store room planning services, bridging the gap between online visualization and offline design assistance.
Key strategy: Leverage technology to enhance the design process and customer experience.
The result: Enhanced customer satisfaction, reduced return rates, and a streamlined design process.
3. Strategic international expansion
With operations spanning 30 countries, Kave Home has successfully built a global presence while maintaining a localized approach to each market. Their 15 flagship stores in key cities such as Paris and Milan serve as experiential retail spaces, allowing customers to engage with the brand in an immersive environment. Underscoring the success of this approach, in 2025, the company is targeting significant further expansion, with plans for seven new flagship stores in Spain, Italy, and France, entry into nine new markets, and adding an additional 40 points of sale internationally.
Beyond physical stores, Kave Home has strengthened its online presence and partnered with distributors in diverse regions, from Uruguay to Singapore and Mauritius. This strategy saw the company’s online sales grow by 50% in 2023, the last year for which figures are available. By adapting to local market trends while maintaining a unified global brand identity, Kave Home has achieved an optimal omnichannel balance. Data from Google suggests this is key to revenue gains, with successful omnichannel strategies driving an 80% higher rate of incremental store visits, and 4% higher spend per customer.
Key strategy: Adapt to local markets while maintaining a unified global brand. Focus on omnichannel strategies.
The result: Fifteen experiential flagship stores driving high-conversion offline sales alongside robust online growth.
4. Sustainability as a core business driver
Sustainability is emerging as one of the dominant consumer trends shaping the retail landscape, with 78% of consumers saying a sustainable lifestyle is important to them. What’s more, research shows that 76% are willing to pay more for eco-friendly furniture, making sustainable sourcing, design, and manufacture a key differentiator in the marketplace.
Kave Home has embraced and leveraged this through a range of strategies. The Kave Cares initiative has integrated eco-conscious design into every aspect of the business. Their commitment to FSC-certified wood, recycled materials, and renewable fabrics underscores their leadership in responsible production.
Going beyond materials, Kave Home has pioneered product recovery programs through Kave Centers, enabling customers to return used furniture for refurbishment and resale. This initiative extends the product lifecycle and aligns with growing consumer demand for circular-economy practices.
Key strategy: Focus on circularity and eco-conscious design. Extend product lifecycles through refurbishing and resale initiatives.
The result: Industry leadership in sustainability, tapping into broader consumer trends and increasing customer loyalty by aligning with their values.
“This is about taking responsibility for our products beyond their first lifecycle.”
- Francesc Juliá, CEO, Kave Home, speaking to ITNIG Podcast
5. Profitability in a challenging industry
Unlike many fast-growing furniture brands that rely on venture capital funding, Kave Home has achieved sustainable growth by reinvesting profits and maintaining financial discipline. This approach has allowed them to expand without external pressures, building stable foundations for future expansion.
CEO Francesc Julià attributes this success to a long-term mindset, telling ITNIG Podcast, “We’ve grown sustainably, reinvesting profits to fuel expansion while staying focused on offering real value to our customers.” By balancing growth with financial prudence, Kave Home has managed to scale while preserving healthy margins, even in an immensely competitive retail environment.
Key strategy: Balance growth with financial discipline.
The result: Independent expansion without reliance on venture capital, securing steady margins in a volatile market.
Key takeaways for furniture retailers
Kave Home’s success is a testament to a well-executed strategy that balances digital innovation, sustainability, omnichannel optimization, design excellence, and financial discipline. While every brand will forge its own path, defined by its unique set of values, market positioning, and strategic approach, many of the tactics powering Kave Home’s growth are applicable across the industry, shaped by technological advances, changing consumer behavior, and the sector’s continued evolution. By adapting these principles to their own operations, while leveraging their own strengths and selling points, furniture brands large and small can position themselves for stable, long-term growth.
Take your furniture brand to the next level in 2025. For more industry-leading strategies and actionable insights, download the Enhance XR 2025 Trends Report now.
