7 Best Niches for Artists & Handmade Businesses in 2026
Are you an artist or handmade business and are trying to figure out what niches are good to dive into for 2026?
Well if so in this video, I’m going to share 7 of the best niches for artists and handmade businesses in 2026, and all of these have long-term demand for creatives.
Hi, my name is Sterling and I’m the artist here behind Cactus Lady Creation and here on this channel each week I share my insights behind the last 8 years of running my handmade business, so if you want to join along with me on my journey make sure to join back with me each week!
As always I will be sharing stats behind each of my insights and you can review the exact links to each one over on my blog post as well. Alright let’s get into it!
NICHE #1: FUNCTIONAL ART
One niche that is great to explore with your art business is functional art that serves an everyday purpose. So this is making objects that people will use in their daily lives, but elevating them so that they are made with craftsmanship, thoughtfulness and full of personality.
Fo example maybe a ceramic mug that feels good in your hand, a sculptural planter that would also serve as living room decor, or a set of hand-made hooks that could make organization in someone’s space intentional, or even a lamp that also is artfully and displayed in a room. Basically explore products within your niche that blue the lines between decor and art.
The global handmade market continues to grow as the desire for quality, craftsmanship and the connection that consumers are craving to have with the artisan behind the products are on the rise. In fact, the global handicrafts market is expected to nearly double over the next decade as consumers choose handmade and artisanal goods over mass-produced alternatives.
The handicraft market is project to reach 1.16 trillion by 2035 with a 10.5 CAGR according to Future Market Insights, Inc.
Designers and homeowners are also embracing handcrafted materials and artisanal details in kitchens, living rooms, and workspaces. They love pieces that make a space feel personal and carry the quiet evidence of being shaped, brushed or finished by hand, as it says in Homes and Gardens.
What makes functional art strong for creatives is that it not only looks cute but also serves a purpose, and because the object can be part of people’s routines, then you have a better chance at repeat purchases and higher customer lifetime value.
NICHE #2: SUSTAINABLE & LOW-WASTE LIFESTYLE PRODUCTS
You could also explore sustainable or low waste lifestyle products. In 2026, more and more, people are looking for more ways to be sustainable in different aspects of their lives from how they live, and shop to how they think about their homes and routines.
That shift is opening up a huge opportunity for artists and handmade makers who can create products that reduce environmental impact while still feeling special and intentional. This could be reusable home goods that replace single-use items, handmade refillable soaps or body bars, plant-based textiles, compostable materials, or objects designed to last and be loved for years instead of weeks.
According to this article by Forbes, consumers want products that reflect their values, they want to feel like what they’re bringing into their homes aligned with what matters to them.
And in 2026, sustainability is a style! So if your aesthetic is more natural and craft inspired design that is also really doing well, as people are increasingly drawn to everything natural and handmade from the textures of Kraft paper to earthy tones and soft pastels.
Also according to Allied Market Research, the sustainable home decor market size was valued at 331 billion USD in 2021 to $556 billion USD by 2031. So if you are interested in exploring the sustainable home decor niche that is looking very promising in 2026 and beyond.
NICHE #3: HOME DECOR WITH PERSONALITY
Mass-produced decor is starting to feel very, very … bland. So another niche that’s great to explore is home decor with personality. Homes are not just places where people live, they’re self-expression spaces. People want rooms that feel intentional, tell a story and feel uniquely theirs. More and more people are moving away from cookie-cutter stark minimalism toward warm, expressive environments filled with pieces that spark joy.
In fact, according to this article by Better Homes and Gardens, designers are calling 2026 a year where curated, character-driven interiors beat out trend-following decor.
Across design forecasts, handcrafted and artisanal elements are getting a lot of attention this year. For example wall hangings with texture, mixed-media sculptures, woven pieces with rich natural materials, and objects that feel like someone made them by hand.
Part of the reason for this shift is the fatigue with mass-market décor that looks the same. So if you can insert your own voice into your work and love designing pieces that make a space feel like a home instead of a showroom then this could be a great niche to explore.
NICHE #4: WEARABLE ART & SLOW FASHION
Wearable art and slow fashion is another lovely niche to explore for 2026. More and more consumers are tired of fast fashion and its throw away mentality. They want clothes and accessories that are made better, last longer, make a statement and align with their values. A lot of people don’t want to, as my mom always said, “see themselves going and coming.” So that’s exactly where we as artists and artisans who make wearable art and slow fashion come in.
Wearable art includes garments and accessories that feel like an extension of someone’s identity, pieces that you not only wear but experience and that when people see it for the first time they think ecstatically, “YES! That’s what I’m looking for!” That looks like me!”
According to Global Growth Insights, the global sustainable fashion market, was valued at over $10 billion in 2025 and is expected to continue growing through 2026 and beyond, with increasing consumer demand for eco-friendly textiles, ethical sourcing, and slow fashion principles.
Also according to IndieHaat, across key markets like India, US, Singapore, Australia, the UK, and the UAE, urban fashion buyers are driving a profound change. And the global custom-made clothing market, valued at 35.6 billion USDin 2023 is on track to reach 56.2 billion USD by 2032. Millennials and Gen Z, in particular, are turning away from mass-produced garments and favoring pieces that embody their values and unique identities.
So pieces like hand-embroidered jacket, custom-dyed dress, or sculptural jewelry can become wearable art. With this as well you’re not competing with big-box brands, but creating something unique that resonates with conscious consumers. So this is a great niche to explore if you love designing garments with soul and enjoying posing creative boundaries.
NICHE #5: DIGITAL PRODUCTS FOR CREATIVES
One niche that is great to explore for 2026 and if you’ve been around here at all for some time you definitely have heard me talk about how much I love it for my own business and it is digital products.
According to Whop, in 2025 alone, digital products created more than 2.5 billion USD in value. With 68% of internet users, ages 16+ paying for digital content each month. With $560 billion being spent on digital media such as videos, epublishing, digital music, and video games in 2024.
Digital products can be anything that a person can download or receive online without shipping. Things like templates, presets, design assets, printable planners, educational guides, patterns, and even mini-courses, they all fall into this category.
Some of the benefits of digital products that I can also personally attest to, but are laid out really well in this article by Resell Ready is that digital products require no inventory or shipping, can be sold globally 24/7, are easy to automate using funnels, email sequences and evergreen content, offer high profit margins from 70-95%, and can be sold infinitely without you having to do extra work.
Some great platforms to host your digital products are Etsy (which is best for templates, planners, printable, and creative assets), Shopify (great for building a full brand with funnels, bundles and automated marketing), Gum Road (for beginner-friendly simple checkout pages with no upfront fees), and Teachable/Thinkific (which is ideal for courses, mini-courses, coaching bundles and memberships).
You can also tie back the digitals products to your creative experience. If you’re a painter or illustrator, you can sell clip art packs, brushes, or pattern downloads. If you’re a crochet designer, you can create printable patterns or stitch guides. If you’re a mixed-media artist, you can make process templates or tools for other creatives.
One thing I love most about digital products is that they are more flexible with pricing. You can offer low-ticket and higher-ticket bundled offerings. They are also really easy to scale which is nice.
NICHE #6: MENTAL WELLNESS
Another great niche to explore are mental wellness and slow living products. In 2026, consumers are spending on products and experiences that support everyday mental wellbeing, stress relief and intentional living.
People are infusing self-care into their everyday routines, and wellness has become a priority that influences how they spend money every month. According to McKinsey and Company, the global wellness market is worth $2 trillion USD and is definitely expanding, as millinials and Gen X are spending disproportionately own wellness.
Also according to Accio, the health and wellness industry was worth $6.8 billion USD in 2024, and is expected to climb to $9 trillion USD by 2028. Some examples of products to offer are aromatherapy candles, meditation cushions, or even handcrafted journals.
So if you love making things that invite calm, ritual or peace into someone’s home, then perhaps this is a great niche to tap into.
NICHE #7: AESTHETIC PET PRODUCTS
You could also make aesthetic pet products because in 2026, pet owners are really being more and more intentional with the types of products they buy for their pets. 71% of pet owners globally consider pets as members of their family, and that means that people are spending a premium on lifestyle-oriented accessories that are functional as well as beautiful and designed to fit their desired aesthetic.
The global pet accessories market was valued at 23.8 billion USD in 2025 and is expected to reach 25.7 billion USD in 2026. With 62% of pet owners purchasing accessories regularly and 48% prioritizing comfortable and safety features according to Global Growth Insights.
So examples of products to make could be elevated pet beds with natural fibers, custom-hand-painted bowls that would match specific aesthetics, minimalist modern feeders that look like chic decor, or even unique textile toys.
Also the global luxury pet accessories market size is expected to be worth 6.7 billion USD by 2033 according to Market.US, with luxury brands like Prada, Versace and Louis Vuitton offering designer pet items such as collars priced at $300 USD and pet beds that retail as $1,000 euro. So this is definitely a niche that is experiencing growth in 2026 and beyond.
Well those are seven of the best niches to explore in 2026 if you’re an artist or creative with a handmade business, and if you’re still trying to figure out what your niche is definitely check out my video “How to Choose the Perfect Niche for your Handmade Business” and also check if you want to know some different ways to research your niche check out my video “5 Steps to Research your Niche as a Handmade Business”
Also make sure to subscribe and click the bell if you enjoyed this video, because did you know that 92% of you watching this video are actually not subscribed? So please subscribe and join up with me each week for more.
Well thank you for watching and I hope you’ll join me in the next one!
Sources:
Handmade & Art Markets
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Handicraft Market Poised for Exponential Growth — Future Market Insights (reports the global handicraft market is projected to more than double to USD 1,160.83 billion by 2035, driven by sustainability and unique handmade goods).
🔗 https://www.globenewswire.com/news-release/2025/03/13/3042183/0/en/Handicraft-Market-Poised-for-Exponential-Growth-Projected-to-Reach-USD-1-160-83-Billion-by-2035-with-a-10-5-CAGR-Future-Market-Insights-Inc.html -
Handicrafts Market to Reach USD 1,972.32 Billion by 2030 — Fortune Business Insights (additional projection on handicrafts growth with a strong CAGR).
🔗 https://www.globenewswire.com/news-release/2023/10/03/2753517/0/en/Handicraft-Market-to-be-Valued-at-1-972-32-Billion-by-2030-Driven-by-a-Strong-10-08-CAGR.html
Sustainable Home Decor & Eco-Friendly Products
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Global Sustainable Home Décor Market Expected to Reach $556.3 Billion by 2031 — Allied Market Research (the sustainable home décor market is growing steadily as consumer demand rises).
🔗 https://www.alliedmarketresearch.com/sustainable-home-d%C3%A9cor-market-A16902 -
Sustainable Home Décor Market to Reach USD 556.3 Billion by 2031 — EIN Presswire (same forecast with details on segments and regions).
🔗 https://www.einpresswire.com/article/866911617/sustainable-home-d-cor-market-to-reach-usd-556-3-billion-by-2031-top-impacting-factors
Pet Accessories & Related Markets
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Pet Accessories Market Size & Share | Industry Report — Grand View Research (pet accessories market growth projected to about USD 9.97 billion by 2030, with trends in adoption and pet humanization).
🔗 https://www.grandviewresearch.com/industry-analysis/pet-accessories-market-report
Sustainable Fashion & Wearable Art Markets
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Sustainable Fashion Market Size, Share & Forecast — Fortune Business Insights (sustainable fashion market projected from around USD 10.40 billion in 2024 to USD 22.49 billion by 2032, showing strong growth).
🔗 https://www.fortunebusinessinsights.com/sustainable-fashion-market-110575 -
Global Sustainable Fashion Market to Reach $28.9 Billion by 2031 — ResearchAndMarkets.com (another forecast highlighting growth potential in eco-fashion).
🔗 https://www.researchandmarkets.com/reports/5988879/sustainable-fashion-market-report-trends