Australia Wallpaper Market: Interior Design Trends, Construction Activity & Product Innovation

According to IMARC Group, the Australia wallpaper market was valued at USD 47.51 Million in 2025 and is projected to reach USD 62.80 Million by 2034, growing at a compound annual growth rate (CAGR) of 3.15% during 2026–2034. While relatively niche compared to broader construction materials, wallpaper is gaining renewed relevance in the evolving interior décor landscape across Australia. Once considered a traditional decorative solution, wallpaper is now re-emerging as a design-forward alternative to paint, supported by advancements in digital printing, texture innovation and eco-friendly materials. As construction activity remains steady and consumers increasingly invest in personalized living spaces, wallpaper is carving out a distinctive role in residential and commercial interior design.

Why Should Smart Buyers and Investors Know About the Australia Wallpaper Market?

Stable Niche Growth

With a projected CAGR of 3.15%, the market offers moderate but consistent expansion driven by renovation and construction activity.

Design-Led Differentiation Opportunities

Premium and custom wallpaper solutions provide margin-enhancing potential.

Alignment With Home Improvement Trends

Ongoing residential upgrades support recurring demand.

Sustainable Product Innovation

Eco-friendly materials align with broader environmental objectives and building standards.

Commercial Application Potential

Hospitality and retail sectors create diversified demand streams beyond residential usage.

Recent Trends & Developments in the Australia Wallpaper Market

July 2025:

Interior designers reported growing demand for textured and 3D-effect wallpapers in residential projects.

March 2025:

Manufacturers introduced peel-and-stick collections to cater to renters and DIY consumers.

October 2024:

Eco-friendly wallpaper lines featuring natural fiber substrates gained traction in green building projects.

The Australia wallpaper market reflects a design-driven revival supported by construction activity and product innovation. While growth remains moderate, advancements in digital printing, sustainable materials and user-friendly installation methods are revitalizing consumer interest. As homeowners and commercial developers prioritize distinctive interiors and personalized aesthetics, wallpaper is transitioning from a traditional decorative product to a versatile design solution. Supported by IMARC’s steady growth projections, the sector offers forward-looking opportunities for manufacturers, designers and investors seeking to capitalize on evolving interior design trends and renovation momentum across Australia.

Australia Wallpaper Market Vision 2050

1. Fully Customizable Digital Wallcoverings

By 2050, advanced digital printing and augmented reality tools may allow consumers to preview and customize wallpaper designs in real time.

2. Smart and Functional Surfaces

Wallpaper could incorporate functional properties such as sound absorption, antimicrobial coatings and thermal insulation.

3. Sustainable Production and Circular Design

Eco-friendly inks, biodegradable substrates and recyclable materials may become industry norms.

4. Integration With Smart Home Technologies

Future wall coverings may integrate embedded lighting elements or interactive surfaces compatible with smart home systems.

5. Growth in Commercial Experiential Spaces

Retail and hospitality sectors may increasingly use wallpaper to enhance immersive customer experiences.

What Are the Key Growth Drivers in the Australia Wallpaper Market?

Evolving Interior Design Trends

Modern interior design emphasizes personalization, texture and visual storytelling. Statement walls, bold patterns and natural textures are gaining popularity in both residential and hospitality settings. Wallpaper offers flexibility in design themes—from minimalist Scandinavian aesthetics to vibrant botanical prints.

Growth in Residential and Commercial Construction

Steady housing development and commercial renovation projects are supporting demand for decorative interior materials. Hotels, retail outlets and office spaces increasingly use wallpaper to create immersive brand environments and distinctive atmospheres.

Renovation and Home Improvement Activity

Beyond new construction, renovation projects contribute significantly to wallpaper demand. Homeowners upgrading living rooms, bedrooms and home offices are opting for decorative wall coverings to enhance aesthetic appeal without extensive structural changes.

Product Innovation and Material Advancements

Technological developments in digital printing enable customized designs and high-definition imagery. Peel-and-stick wallpaper, washable surfaces and moisture-resistant materials enhance convenience and durability, broadening application possibilities.

Growing Interest in Sustainable Materials

Eco-conscious consumers are favoring wallpapers made from recycled paper, natural fibers and low-VOC adhesives. Manufacturers are responding with environmentally responsible product lines that align with green building standards.