Business of Home Podcast

The Thursday Show: What Will Happen in 2026?

Host: Dennis Scully
Co-host: Fred Nicolaus
Date: January 1, 2026

Episode Overview

This special Thursday Show episode centers on 2026 predictions for the interior design industry. Host Dennis Scully and executive editor Fred Nicolaus gather insights from leading figures in design, business, and media, offering a pulse check on the year ahead. Topics include industry consolidation, the influence of AI, the return of craft and authenticity, evolving consumer demands, and calls for elegance over algorithm-driven trends.

Key Discussion Points & Insights

1. A Flux in Leadership, Opportunity for Young Talent

• [03:21] David Netto predicts a new wave of young designers will step up to fill the creative void left by the passing of influential figures like Frank Gehry and Bob Stern. He believes these emerging voices will restore integrity and quality, shifting the industry away from "show business" toward genuine talent.
• Notable Quote:

  “I think there’s been a trend for decorating to drift into being show business… but with the deaths of real titanic talents… younger designers are going to try to replace it by being themselves... it’s going to represent some kind of return of integrity.”
  — David Netto [03:21]

2. Consumer Demand for Character & Quality Architecture

• [04:30] Stephanie Sabi (Sabi Interior Design) foresees Americans rejecting "sterile, white, lifeless boxes" and collectively pushing developers to build with more character and charm. She sees 2026 as the start of a consumer-led architectural renaissance.
• Notable Quote:

  “The average American is going to wake up and demand that the mass building industry stop feeding them these sterile, white, lifeless boxes for homes, and that we return to character and charm… I really predict in 2026 we’re going to start doing better.” — Stephanie Sabi [04:30]

3. Economic Turbulence, Stability, and Consolidation

• [05:11] Lee Mayer (CEO, Havenly Brands) admits her optimism for 2025 was misplaced, noting a tumultuous year marked by tariffs and an anemic housing market. However, she expects 2026 to bring stability, gradual recovery in housing, and increased industry consolidation as companies join forces to weather market uncertainties. AI is also positioned as a transformative force for every facet of design business.
• Notable Quote:

  “2025 was a year of tumult… Looking ahead to 2026, I think we’ll see more stability… I think, second, it’ll be a year of continued consolidation... I think third, AI will continue to sort of transform the way we do business.”
  — Lee Mayer [05:11]

4. Handcrafted Value and Authenticity Over AI Excess

• [06:37] John Edelman (CEO, Heller Furniture; President, Be Original Americas) projects a consumer shift toward lasting value, handmade authenticity, and sustainability amid AI’s rise. Frivolous, disposable designs will fade, replaced by demand for human touch in products.
• Notable Quote:

  “Not inexpensive, not cheap, but value, authenticity... With the surging interest in AI and AI-created images, I believe people are going to go for organic content, things that are made by hand, that are high design, designed by people, and have great longevity.”
  — John Edelman [06:37]

5. Craving Humanity in Visual Language

• [07:36] Colin King (Stylist, Designer, Writer) expresses hope for a return to imagery and objects clearly shaped by human hands. He wants a move away from frictionless, algorithm-driven visuals toward work marked by restraint, care, and considered imperfections.
• Notable Quote:

  “So much of what we see is beautiful, but increasingly smooth, efficient and familiar… I hope 2026 is a moment where photography feels more artful again, where we can sense the human hand behind the image... images that don’t explain everything, but trust the viewer.”
  — Colin King [07:36]

6. Consolidation, Collectible Design, and Opportunities for Emerging Talent

• [09:04] David Rosenwasser (Co-founder, Rarefy) predicts further consolidation at the top and ensuing turmoil, prompting designers to seek new avenues—especially in collectible design. He notes a generational divide and anticipates manufacturers lowering barriers for industrial designers amid continued tariff and supply chain challenges.
• Notable Quote:

  “Big businesses have an appetite for gobbling up others, but maybe they still aren’t very good at managing the companies… the movement toward collectible design is going to continue to grow... manufacturers making a lower barrier to entry for industrial designers to contribute new work.”
  — David Rosenwasser [09:04]

7. Thoughtful Sourcing and Design in Reaction to Tariffs

• [11:01] Cyrus Laloy (Principal, Laloy Rugs) observes that tariffs have forced vendors to be more intentional about design, sourcing, and storytelling—predicting these constraints will lead to innovation and higher-quality offerings.
• Notable Quote:

  “Because of tariffs primarily, there’s been more intention from vendors around things like design and sourcing and storytelling… that’s going to lead to great new design for the industry.”
  — Cyrus Laloy [11:01]

8. A Roller Coaster Economy, but a Soft Landing

• [11:30] Alex Shuford (CEO, Rock House Brands) likens 2026 to a wild roller coaster—predicting a sharp correction but eventual recovery, especially as government aims to stabilize the economy before the election.
• Notable Quote:

  “I kind of imagine us riding one of those old wooden amusement park roller coasters… We’re probably going to have a bit of a correction and then I expect we’ll recover… administration takes action to make sure the economy is in a pretty healthy position by the November elections.”
  — Alex Shuford [11:30]

9. A Reset in Priorities: Meaningful, Layered, Restorative Design

• [12:47] Susan Ferrier (Susan Ferrier Interiors) wants 2026 to be about meaningful gatherings and atmospheric, thoughtful design, advocating for reflective, layered spaces and personally significant interiors.
• [13:22] Jill Cohen (Editor in Chief, Luxe Interiors & Design) expects homeowners will seek calm, restorative environments focused on wellness, with tangible, unplugged content providing relief from digital saturation.

10. Radical Elegance and a Move Beyond Algorithmic Trends

• [13:46] Sean Yashar (The Culture Creative) dubs “radical elegance” as 2026’s defining trend, with the industry shifting away from exaggerated, “algorithm-friendly” designs toward thoughtful, appropriately scaled luxury. He notes that as legacy media contracts, the pressure to create viral trends will decline.
• Notable Quote:

  “Designers are finally shaking off the algorithm’s chokehold... the mandate for 2026 is design that elevates us... The most innovative move in design next year won’t be to disrupt, but to contribute to living beautifully.”
  — Sean Yashar [13:46]

Host Reactions and Reflections

• [16:03] Fred Nikolaus:
  • Favors the optimistic outlook from Stephanie Sabi, but remains cautiously hopeful about wide industry impact.
  • Appreciates the generally positive tone of all predictions.
  • Quotes:

    “My favorite one was Stephanie Sabi because I just love her optimism about how developers are going to start respecting design and style a little bit more.”

• [16:29] Dennis Scully:
  • Is struck by David Netto’s prediction and the idea that shifting away from “show business” could make room for breakthrough young talent.
  • Quotes:

    “David Netto’s prediction actually jumped out at me quite a bit... but also made the point that perhaps some new young talent will emerge from all of this. And I’m always hopeful about that.”

Memorable Quotes & Highlights

• “I hope 2026 is a moment where photography feels more artful again, where we can sense the human hand behind the image.” — Colin King [07:36]
• “Not inexpensive, not cheap, but value, authenticity... things that are made by hand, that are high design, designed by people, and have great longevity.” — John Edelman [06:37]
• “Designers are finally shaking off the algorithm’s chokehold… the most innovative move in design next year won’t be to disrupt, but to contribute to living beautifully.” — Sean Yashar [13:46]

Notable Timestamps

• 03:21 — David Netto on the emergence of young talent and integrity.
• 04:30 — Stephanie Sabi on consumer rejection of cookie-cutter homes.
• 05:11 — Lee Mayer on economic challenges, consolidation, and AI.
• 06:37 — John Edelman on the return to value and handcraft.
• 07:36 — Colin King on the need for humanity in visual design.
• 09:04 — David Rosenwasser on corporate consolidation and collectible design.
• 11:01 — Cyrus Laloy on tariffs spurring more thoughtful design.
• 11:30 — Alex Shuford’s roller coaster economic analogy.
• 12:47 — Susan Ferrier and Jill Cohen on restorative, personal design.
• 13:46 — Sean Yashar on “radical elegance” replacing algorithm-driven aesthetics.
• 16:03–16:57 — Host analysis of predictions and personal highlights.

Conclusion

The episode offers a lively and hopeful forecast for interior design in 2026. Despite economic aftershocks and the digital tide, guests predict a renaissance of authenticity, thoughtful design, and elegant restraint. Listeners can expect a year of consolidation, emerging young talent, and, above all, a renewed prioritization of quality living—both in physical spaces and industry culture.