MILAN — The house and decor sector represented 15 percent of the general total department store business on average in 2022 and the category posted stable revenue growth between 2019 and 2022, as major players give attention to curating their online offering to spice up sales, the Paris-based International Association of Department Stores said Monday.

“In 2020 and 2021 the category bumped to a peak as customers were specializing in their homes, and growth was going down mainly online because of lockdowns,” IADS’ managing director Selvane Mohandas du Ménil told WWD.

Looking ahead, IADS said because of an increasing variety of players the category is pressured to maintain up greater than ever with fashion trends and rhythm, in a house and decor insights report compiled with the assistance of digital platform The Style Pulse and business and inventive intelligence consulting agency Nelly Rodi.

Online commerce is seen because the primary catalyst for the long run, as omnichannel services have been tremendously developing in all categories and department shops are increasingly curating their web sites by refreshing and narrowing the product offer “to avoid online customers from feeling lost in an ‘infinite aisle,’” the association added.

The worldwide home and decor market in department shops represents a “dynamic” business facet and is now influenced by fashion trends, the retail trade association said. IADS was founded in 1928 as a think tank to deal with the challenges faced by retailers around the globe.

IADS has 10 members the world over including Galeries Lafayette in France and El Corte Inglés in Spain and represents greater than 26 billion euro in cumulative annual turnover across greater than 360 stores in 19 countries.

Throughout the home and decor category, which incorporates home accessories, electronics, furniture and appliances, the house accessories segment represents the lion’s share of revenues, at 48 percent in 2022, down from 62 percent during home and decor’s peak through the pandemic. This shows brands are hard pressed to refresh their collections and discover a balance between quality and price, amid an era of rising inflation. Malls are also finding it hard to to compete with pure players with fast and free delivery services, in addition to the rise of aggressive sales promotions.

“This goes consistent with the overall trend for department shops,” Mohandas du Ménil said. “To stay relevant, they should offer a differentiated, curated and exciting collection of products, and this goes for the house category, too. In the event that they don’t manage to be differentiated and sell products available elsewhere, customers will at all times find cheaper options online. The bottom possible price war is commonly a really difficult one to win.”

The report identified that Louis Vuitton’s latest home goods activity in Shanghai “represents a major example and shows that department shops are increasingly facing more intense competition not only on the product offer (regardless of the positioning) but in addition on the range of services they recently developed to stay relevant.”

Louis Vuitton recently opened a showroom to showcase its furniture collection Objets Nomades at Shanghai’s historic Zhangyuan Shikumen compound.

“Overall, online commerce is seen because the primary growth lever for the long run and omnichannel services have been tremendously developing in all categories,” the report said, adding that in-store “showrooming” continues to be generating positive results.

“Some product categories are booming and supporting the business: tableware, furniture and personal labels are considered key to maintaining and growing sales. As for other product categories, the net business stays a priority for department shops which can be improving operations,” IADS said.