Decor Paper Market Trends

Market Driver - Increasing Demand for Aesthetic and Decorative Interior Finishes in Residential and Commercial Spaces

Use of decorative wallpapers and home décor packaging has increased significantly over the past decade. It is driven by changing consumer preferences and rising standards of living. Decor paper plays a vital role in enhancing the overall aesthetics and atmosphere of any indoor space.

Residential real estate developers and homeowners recognize the value decor paper brings in terms of boosting curb appeal and visual impression. This drives the décor paper market up with growing demand from both individuals undergoing home makeovers as well as new construction projects.

Even commercial office spaces and public facilities are acknowledging the positive impact decor papers have on customer and employee experience. Medical centers, hotel lobbies, conference rooms are widely experimenting with wallpaper designs and luxury flooring papers that uplift the ambience.

The decor paper market is also innovating with new techniques, materials, patterns, and prints that appeal to evolving consumer preferences. Digital printing allows for customized photo realistic prints tailored as per the space. These highlight upcoming trends in the décor paper market.

Market Driver - Growing Urbanization and Disposable Income Leading to a Surge in Construction Activities

The decor paper market is witnessing considerable growth opportunities on the back of rapid urbanization observed globally. According to some estimates, nearly 68% of the world population is projected to reside in urban areas by the year 2050. This translates to continued infrastructure development activity.

Another important driver has been the steady rise in disposable income levels among the expanding middle class segment in developing economies. This empowered population now has greater spending power to splurge on better quality homes, indulge in home remodeling more frequently as well as commercialize some part of their premises.

Construction firms are also aggressively marketing the idea of ‘complete interior solutions’ to home buyers and commercial clients. Decor papers serve as an integral part of these customized offerings that elevate the overall interior ambience. Many suppliers now provide end-to-end installation services as well to tap into the growing addressable pie. The decor paper market is capitally placed to leverage new construction and refurbishment opportunities for substantial growth ahead.

Market Challenge - Availability of Alternative Materials Impacting the Demand for Traditional Decor Paper

The decor paper market has been facing the challenge of availability of alternative materials that are substituting traditional decor paper products. Decor papers have primarily been used for wall coverings, ceiling covers and other surface decorations purposes.

However, the last few years have seen a rise in the popularity and use of other materials such as laminates, wood, and metal sheets for such decorations. These alternative materials offer certain advantages over traditional decor papers such as better durability and damage resistance.

Manufacturers are also promoting these substitutes aggressively highlighting their properties. Availability of close substitutes with perceived better qualities has reduced the demand growth for conventional decor paper products in recent times. The decor paper market needs to work on enhancing the value proposition of their offerings to counter this challenge.

Market Opportunity - Expansion in Construction Activities, Especially in Emerging Economies

The decor paper market has been presented with significant opportunities stemming from the rising construction activities globally, particularly in developing regions. Emerging economies across Asia Pacific and Latin America are witnessing strong growth in infrastructure development and construction of new residential and commercial spaces. This has spurred the demand for interior and exterior decor materials including decor papers.

Decor papers continue to be widely used for wall paneling and covering ceilings in various construction projects due to their cost effectiveness. The booming real estate sector and spending on refurbishment of existing structures are driving consumption of decor paper products.

Countries like India, Indonesia, Vietnam and Brazil are high growth potential markets for decor papers riding on rapid urbanization and construction expansion. Manufacturers can leverage on emerging markets which act as a key demand driver for the decor paper market in the coming years.