Making a Mark in the Interior and Home Design Space in India: Challenges and Opportunities

By Anand Suman,

Interior Design Market in India was valued at USD 23.2 Billion in 2020, and it is projected to reach USD 38.2 Billion by 2027, growing at a CAGR of 7.4% from 2021 to 2027. flourishing in India is what drives the country’s interior design industry. The interior design market in India is growing due to urbanization, rising income levels and expanding population. Smart home technology, the impact of social media, and changes in lifestyles and living standards are other reasons influencing the growing need for interior design services.

Let’s take a look at the growth drivers that have led to a rapid increase in interior and home design space in India.

Growth accelerators

Increase in investment in the real estate sector

The real estate sector in India is witnessing an increase in investor capital. Commercial real estate and co-working spaces concentrate the majority of investments. So, in the near future, India’s booming real estate sector will also increase the demand for interior design services. The number of interior designers and architects working in India’s Tier I and Tier II cities are also increasing due to increased investment in these areas. Indian interior design business is also growing as many architectural firms are entering the interior design sector of the country.

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Visual of the living room

Growing need for better interior design

Indians are embracing new home designs and decorations due to the infusion of international cultures and trends. They are willing to shell out extra money for interior design services to have distinctive designs that will make their homes stand out from the competition. The demand for commercial interior design is also expected to rise throughout the forecast period as businesses recognize the value of a beautiful workplace in improving employee performance. Over the forecast period, this is expected to contribute to the expansion of the Indian interior design market.

The interior design industry in India is divided into two categories based on end use: commercial and residential. The commercial sector now controls the market and will likely continue to do so during the projection. The market for interior design services is changing steadily due to the growing demand from commercial properties. This industry is expected to experience significant growth in the coming years due to the need for commercial space. The office environment and furnishings in India are changing due to the rapidly changing working culture of the country, which is also boosting the commercial interior design industry in the country.


Although there are new opportunities in the sector, there are also challenges that limit the growth of the sector.

Despite the booming interior design industry in India, designers still have to overcome several hurdles. These days, residential and commercial property owners want designs with a specific theme, such as European, Mediterranean or traditional Indian styles. So, mixing the latest trends with a classic style component is the most challenging aspect of an interior designer’s job.

Working for an interior design company also involves a number of additional challenges, such as finding the right vendors and keeping up to date with tools and technologies to increase productivity. For example, the country’s interior design business has been impacted by virtual reality, which allows clients and designers to imagine and explore. The cost of implementing this technology in the sector is quite considerable. Another factor hindering market expansion is the long gestation period of the project.

The development of the interior and home design space is mainly driven by changes in India’s work culture and a growing desire for luxurious lifestyles. Hence, the Indian interior design market is growing owing to an increase in tastefully decorated residences and elegantly planned commercial spaces.

(The author is the founder of Cinnamon Homes. The opinions expressed are personal and do not reflect the official position or policy of

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