Not only is my daughter's nursery little...I bought a lot of baby furniture for it. She has the crib, which will one day convert to a toddler bed and then a full size bed (clearly not in this room, it would take up the entire room); we have the dresser/changing table; then we have the tall dresser, and the glider. The ottoman would take up any remaining walking room, so we had to do without.
For one thing, the tall dresser is used for nothing except clothes that don't fit. By this I mean clothes that are too small, as well as clothes she has yet to grow into.
But it's not just clothes that take up space in the nursery, it's the baby shoes, the diapers, the wipes, the stuffed animals, the knickknacks, the pictures, the books, the medicine, you name it, we've got it!
All I can say is thank goodness for closet organizers and floor lamps that double as shelving units (see below). They've come to my rescue and I know they'll come to yours because no matter how much storage space you have, you never have enough!
Recommended Reading:
How to Organize a Small Baby Nursery
Tips on Buying Baby Furniture for a Small Nursery
Get a Year's Worth of Free Baby Clothes