United States Decorative Lighting Market Forecast 2025–2033

According to Renub Research United States Decorative Lighting Market is projected to grow steadily over the coming years, rising from an estimated value of US$ 34.64 billion in 2024 to approximately US$ 56.72 billion by 2033. With a CAGR of 5.63% between 2025 and 2033, the market is poised for strong expansion driven by evolving design preferences, rapid urban development, and increasing consumer focus on home ambiance, aesthetics, and energy-efficient lighting solutions. Decorative lighting in the U.S. has transformed into a major lifestyle component, influencing how consumers style their living and working spaces and shaping architectural and interior design trends.

United States Decorative Lighting Industry Overview

The U.S. Decorative Lighting Market is experiencing ongoing momentum due to rising interest in home décor, modern architectural styles, and lifestyle enhancement. Decorative lighting today serves as both a functional and artistic element, playing a major role in defining interiors across residential, commercial, and hospitality settings. Consumers are increasingly seeking lighting fixtures that complement interior themes, offer energy efficiency, and enhance atmosphere.

The rise of online platforms, social media trends, and DIY décor culture has significantly influenced consumer choices, making decorative lighting more accessible and diverse. LED lighting technology has further revolutionized the market, offering longer lifespans, design flexibility, and substantial energy savings. Manufacturers continue to innovate with smart lighting solutions, enabling features like color customization, dimming, app-based control, and voice-command integration.

As home renovation and remodeling activities rise across the United States, decorative lighting adoption continues to grow. Retailers and e-commerce platforms have expanded their offerings to include chandeliers, pendant lights, wall sconces, decorative lamps, and contemporary fixtures. The hospitality industry—particularly hotels, resorts, and restaurants—relies heavily on premium lighting to enhance ambiance and customer experience. While the market faces challenges such as competition and price sensitivity, increasing design awareness and growing smart home adoption will sustain long-term growth.

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Key Factors Driving the United States Decorative Lighting Market Growth

Rising Focus on Home Aesthetics and Interior Design

U.S. consumers are placing greater emphasis on creating visually appealing and personalized living spaces. Decorative lighting has evolved into a central component of interior design, capable of transforming mood, enhancing architectural features, and reflecting personal style. Fixtures such as chandeliers, pendant lights, and wall sconces are increasingly used to create focal points in homes.

The influence of social media platforms like Instagram, Pinterest, and TikTok has accelerated the adoption of contemporary décor trends. Home renovation shows, interior design blogs, and lifestyle content have heightened consumer interest in unique lighting designs. Additionally, the rise of DIY home décor has led to increased experimentation with lighting styles and accessories. As homeowners seek individuality, energy-efficient and customizable lighting solutions continue to shape market demand.

Advancements in LED and Smart Lighting Technologies

Technological innovation remains one of the strongest growth drivers in the U.S. decorative lighting sector. LED technology has transformed lighting design with benefits such as low heat emission, reduced energy consumption, long lifespan, and compatibility with modern décor trends. Manufacturers are leveraging LED flexibility to create sleek, intricate, and artistic lighting fixtures that appeal to design-conscious customers.

Smart lighting has further boosted market growth by offering advanced features such as remote control via smartphones, voice assistant integration, adjustable brightness, scheduling, and multi-color modes. Smart bulbs, Wi-Fi-enabled lamps, and app-controlled ambient lighting systems are gaining traction in both residential and commercial environments. As smart home ecosystems expand across the U.S., connected decorative lighting is becoming a key element of modern living.

Eco-friendly materials and sustainability-driven manufacturing practices are also gaining prominence. Companies are focusing on recyclable materials, energy-efficient components, and environmentally responsible production methods to appeal to eco-conscious consumers.

Growth in Construction, Real Estate, and Hospitality Sectors

Strong activity in the construction and real estate sectors is significantly contributing to decorative lighting demand. New residential projects, commercial buildings, hotels, and restaurants increasingly incorporate decorative lighting as a core aspect of architectural planning. Designers and architects prioritize lighting that enhances visual appeal and creates immersive environments.

Luxury housing developments and remodeling projects have boosted demand for premium lighting solutions. Outdoor and landscape decorative lighting is also expanding due to growing interest in patio designs, garden lighting, and outdoor entertainment spaces. The hospitality industry relies heavily on decorative lighting to craft distinctive guest experiences, elevate atmosphere, and reinforce brand identity. Collectively, these trends drive continuous adoption of aesthetic, functional, and energy-efficient lighting products across multiple sectors.

Challenges in the United States Decorative Lighting Market

Intense Competition and Market Fragmentation

The U.S. decorative lighting market is highly competitive, with numerous domestic and international players offering similar product ranges. This fragmentation results in pricing pressures and narrowing profit margins. Smaller firms struggle to differentiate themselves, while established brands maintain dominance through brand recognition and distribution scale.

Additionally, the rapid replication of designs by low-cost manufacturers increases competition, especially in the mass-market segment. To stay competitive, companies are focusing on product innovation, differentiated designs, and brand building. However, maintaining quality and pricing balance remains a major challenge in this dynamic market.

Price Sensitivity and Availability of Low-Cost Alternatives

Many U.S. consumers exhibit price sensitivity, particularly in the mass-market and mid-range decorative lighting categories. The availability of budget-friendly imported products creates stiff competition for premium brands. Raw material cost fluctuations also affect pricing strategies and profitability for manufacturers.

While high-end consumers continue to invest in designer lighting for style and exclusivity, budget-conscious buyers prioritize affordability. Manufacturers are adopting flexible pricing models and introducing cost-effective product lines, yet balancing affordability with innovation, quality, and design complexity remains challenging.

United States Decorative Lighting Market Overview by States

California Decorative Lighting Market

California leads in decorative lighting innovation due to its strong sustainability culture, design-forward consumers, and widespread adoption of smart lighting. Urban centers like Los Angeles and San Francisco show high demand for modern, luxury, and energy-efficient fixtures. The state’s focus on eco-friendly construction supports LED dominance. Renovation activity and interior design enthusiasm further boost market growth, making California a major hub for lighting creativity.

Texas Decorative Lighting Market

Texas is experiencing rapid expansion driven by rising residential construction, urban development, and growing interest in contemporary interior décor. Cities like Dallas, Houston, and Austin display strong demand for stylish, functional lighting including chandeliers, pendants, and smart lighting systems. Commercial establishments, especially restaurants and hotels, are increasingly investing in décor-driven lighting to enhance customer experiences. Texas’s diverse consumer base fuels adoption across modern, rustic, and premium lighting categories.

New York Decorative Lighting Market

New York stands out for its design-conscious consumer base, robust hospitality sector, and demand for premium, innovative lighting solutions. Urban households, boutique hotels, and upscale commercial spaces frequently adopt minimalist, modern, and smart decorative lighting. Architectural firms and interior designers play a major role in driving custom and high-end lighting adoption. Sustainability and LED integration remain strong trends across the state’s lighting market.

Florida Decorative Lighting Market

Florida demonstrates strong decorative lighting demand supported by residential growth, tourism, and home renovation trends. Coastal lifestyle influences preference for bright, airy, and contemporary lighting styles. The hospitality sector, including resorts and restaurants, relies on decorative lighting to enhance guest appeal. The state’s rising number of new homes and remodeling projects makes it a vibrant market for energy-efficient and stylish lighting solutions.

Recent Developments in the U.S. Decorative Lighting Market

In February 2025, Nature’s Miracle Holding Inc. signed a letter of intent to acquire Visionaire Lighting, aiming to shift its outdoor lighting portfolio toward solar-hybrid street lighting. The acquisition is expected to close by late 2025, pending due diligence.

In January 2025, following Kingswood Capital’s joint acquisition of Kichler and Progress Lighting, Coleto Brands was launched as a new holding company. Its strategy includes unified distribution networks and a consolidated e-commerce platform designed to enhance omnichannel retail presence.

LEDVANCE expanded its premium project capabilities in January 2025 by acquiring a German boutique lighting studio, adding artisanal fabrication skills and strengthening its footprint in luxury hospitality and cultural projects.

Kuzco Lighting completed the acquisition of Insight Lighting in January 2025, enhancing its portfolio with advanced optical technologies for decorative and architectural applications. The merger also supports collaborative R&D initiatives focused on micro-lens innovations.

Market Segmentations

Light Source

LED
Fluorescent
Incandescent
Others

Product

Sconce
Flush Mount
Chandeliers
Pendants
Others

Application

Commercial
Household

Distribution Channel

Offline
Online

States

California, Texas, New York, Florida, Illinois, Pennsylvania, Ohio, Georgia, New Jersey, Washington, North Carolina, Massachusetts, Virginia, Michigan, Maryland, Colorado, Tennessee, Indiana, Arizona, Minnesota, Wisconsin, Missouri, Connecticut, South Carolina, Oregon, Louisiana, Alabama, Kentucky, Rest of United States

Company Coverage

Acuity Brands Lighting Inc.
Generation Lighting
Maxim Lighting
GE Lighting
Juno Lighting LLC
Lowe’s
Osram
Amerlux
Littmann
AZZ Inc.