On June 16, 2026, Tubatu Big Data Research Institute released the “2026 China Home Decoration Consumption Trend Report”, revealing that China’s home decoration industry is undergoing a profound structural transformation.
The report shows that nearly 40% of users rely on AI to complete house planning, and the consumption logic has shifted from low prices to quality living, and new first-tier cities have become the main battlefield for industry growth with a share of 45.70%.
This report based on real operating data of the platform shows that the popularization of AI tools, the sinking of market focus and the upgrade of material functions are reshaping the trust system and competitive landscape of the home decoration ecosystem.
In terms of AI applications, the report pointed out that 37.98% of users will give priority to using AI to complete house planning, and 31.72% of users rely on AI for 3D design.
AI is no longer a concept, but a “super assistant” deeply integrated into the entire home decoration process.
In traditional design, preliminary research and information compilation often take one to two weeks, and rendering of renderings and plan modifications take several weeks.
Today, AI tools can present massive amounts of information in a structured manner through natural language interaction and image recognition, compressing research time to several days. Designers can quickly generate multiple design intentions by inputting keywords or uploading reference images, and even convert photos of rough houses into 3D roaming models, compressing the original two-week workload into two days.
AI brings not only tool upgrades, but also a deep reconstruction of industry operating models.
Some designers who are proficient in AI tools have been able to independently complete the entire process from front-end research to in-depth implementation, giving birth to the new phenomenon of “one-person team”.
This not only improves design efficiency and reduces communication costs, but also promotes transparency and front-end decision-making in home decoration. Digital capabilities have thus become the basic competitiveness of enterprises.
In terms of consumption logic, the industry has completely jumped out of the low-price competition track, and quality self-occupancy has become the dominant consumption logic.
Data shows that whole-house renovations are firmly in the mainstream with a share of 82.40%, while demand for partial renovations has shrunk slightly, reflecting consumers’ preference for one-stop, complete living space solutions.
In terms of budget allocation, the proportion of the upgrade budget of 80,000 to 120,000 yuan has risen sharply to 48.4%, becoming the absolute main force in the market, while the basic demand for less than 80,000 yuan continues to disappear, and the demand for comfort above 120,000 yuan has steadily expanded.
Consumers are no longer simply competing on decoration prices, but are willing to pay for material quality, construction technology and living comfort.
The choice of apartment types shows structural differentiation: the demand for small apartments below 60 square meters has rebounded, the demand for large apartments above 160 square meters has cooled, and the market focus has returned to mainstream residential apartments.
In terms of market level, city-level demand data intuitively shows the sinking trend of the home decoration market.
The demand for home decoration in new first-tier cities soared to 45.70%, becoming the industry’s largest growth pole.
The continued inflow of population in this type of city, active transactions in second-hand housing and improved housing, and the concentrated demand for owner-occupied renovations are key areas for companies to seize growth in the future.
There are obvious differences in home decoration needs, consumption concepts and preferences in different regions, and the market stratification pattern is clear.
For example, users in southwest China pay more attention to localized solutions such as kitchen and bathroom moisture-proofing, elderly safety, and smart comfort.
This requires the industry to abandon the unified operating model and create differentiated products and services based on the characteristics of local residents.
In terms of material upgrading, along with the upgrading of consumption concepts, home decoration materials have reconstructed material selection standards from the three dimensions of texture, environmental protection, and intelligence, and the industry has moved towards refined and functional competition.
Environmental protection has become a rigid necessity. Driven by health awareness, green building materials such as ENF-grade boards, SPC floors, and natural diatom mud have been fully popularized, and antibacterial and antiviral wall materials have been rapidly implemented.
After the implementation of the new national standard, the formaldehyde emission limit of artificial board products directly used indoors will be uniformly raised to E0 level (≤0.050mg/m³), providing consumers with a clearer purchasing guideline.
The penetration of smart materials is accelerating, and smart dimming doors and windows, constant-temperature showers, etc. are integrated into daily home decoration, which is a concrete manifestation of the implementation of smart home scenarios; safe bathrooms suitable for the elderly continue to grow, reflecting the evolution of home decoration design towards all ages and humanization.
Textured materials promote the upgrade of space aesthetics. Anti-slip soft bricks, micro-cement, ultra-thin rock slabs, etc. take into account both visual beauty and practical performance, and are suitable for mainstream home decoration styles.
In terms of industry trust, irregular contract performance and insecure funds have long been the core pain points of the home decoration industry.
The current capital custody penetration rate of Tubatu platform has increased to 93.5%, marking that this service has transformed from a value-added option to an industry standard.
The combination of digital tools and standardized services is gradually building a solid foundation of industry trust and promoting service transparency.
Taken together, the home decoration industry is in a critical stage of structural transformation in 2026: the consumer side has completed the transition from low-price orientation to quality living, the market side has moved to the new front line, the product side has focused on environmentally friendly smart aesthetics, and the service side has relied on digitalization to rebuild the ecology.
For consumers, this means a more efficient and transparent home decoration experience; for the industry, it is a new competition centered on the true value of users.
