Home decor liquidation has become a booming business, as buyers search for more comfortable, durable and versatile home furnishings and accessories, a new study found.
In 2017, the industry, which includes both home decor companies and online retailers, generated $5.9 billion in sales, the report from Real Estate Analytics and MarketData Group said.
The report also showed that consumers are spending $3.8 billion on home decor products in 2017.
Home decor companies such as Blue Ribbon Home Decor and the Black-Collar, a Seattle-based company, reported a combined $1.8 million in sales in 2017, and Blue Ribbon reported $2.5 million in the same year.
Black-collar, which operates in the Southeast, said it sells products to the home decor industry and offers solutions for retailers and individuals to reduce the cost of buying and renovating.
For example, its Black-Ribbon Home Decoration is designed for homes that have been damaged by fire or floods, and it comes with an extra layer of protection to help keep it dry.
But the company has not made it into a traditional home decor business, said Jeff Schreiber, a Blue Ribbon product and retail manager.
“We are not doing it any more,” he said.
Consumers can look to online retailers such as Black-Acre Home Decors and Home Decora for the same results, Schreib said.
“They are going to be the best for what you want, whether it is a custom interior or a custom bathroom, whatever it is.”
That could mean cheaper prices for a few items or cheaper prices on other items.
The Black-Market, for example, sells items like carpet, wall coverings and custom paint, which are more expensive than comparable products, such as home decor stores and home decor suppliers, said the report.
It is also the largest provider of home decor services, the market research firm found.
The White-Camel Home Deco Group, which has been selling to the decor industry for the last six years, said in a statement that it has no plans to open a home decor store.
The company said that the home furnishers it sells are typically for home decor homes with a high demand, such a a small home with a lot of décor and the need for a more customized home.
The study, based on more than 200 consumer surveys conducted by more than 10,000 consumers, found that more than two-thirds of respondents said they wanted to see the price of a new home go down as the price per square foot goes up.
That is likely because many of the new homes being built with home decor are in cities where the cost per square feet is relatively low, and people are more likely to be willing to pay for lower prices, the study said.
Some homeowners say they feel they can get a better deal from a home decoration supplier, such an online retailer.
They also say that online retailers have more customer service and are more flexible than brick-and-mortar stores.
The online retailers offer lower prices and better customer service, according to the study, which did not examine prices by location or the availability of specific products.
But in most of the survey questions, consumers also said they would not shop with a home décor company if the price was lower.
“I would not go to an online store and pay $400 for a wall and $1,200 for a carpet,” said the woman, who declined to give her last name.
“A good price is better than nothing.”
Consumer sentiment about home decor is mixed, with some people saying they would rather spend less money on a new item.
“People are very satisfied with what they are paying for,” said Elizabeth O’Brien, a sales representative at a Los Angeles-based online retail company that sells custom home decor and other home decor accessories.
“But they are also very dissatisfied with the quality of products that are available,” she said.
Home owners also say they do not have the financial wherewithal to pay more for a better home.
They say they are buying a house to live in, not to rent.
“It’s a very good investment,” said Tom Williams, owner of the Southern California-based home decor company Redwood Home Decorate.
“You’re not going to find a cheaper price than you’re paying for it.”