May 2025
Starting life online, Loaf has transitioned to a growing bricks & mortar chain offering a relaxed, interactive shopping experience, that is now aiming to double in size.
From the website invitation for customers to “swing by for a rest-drive’ at its “Shacks” dubbed “slow rooms”, Brit-brand Loaf marks out its different approach from conventional furniture stores.
Jumping on the beds is positively encouraged as is “Loafing around”, which combined have helped the chain, founded in 2008, grow from online only sales to a bricks & mortar portfolio of 10.
With the help of GCW, Loaf is on the hunt for a further 10 sites by 2030, with its concept of “making laid-back furniture for people to kick-off their shoes and lead happier, more relaxed lives,” says Theodore Sheppard, Loaf CCO.
He says: “We aim to double our estate in the next 4 to 5 years. Our data insights and visits to various UK towns and cities has helped us understand where our customers shop and spend time.”
Market research firm, Mintel estimates the UK furniture market was worth around £20.754 bn in 2024, while Statista predicts the sector will continue to grow by just over 2% between now and 2029. It states: “The UK furniture market is experiencing a surge in demand for sustainable and eco-friendly products.”
A core pledge of Loaf is to use certified responsibly sourced materials, or recycled materials. This includes a variety of eco-friendly fabrics made from items such as wine bottles, grass clippings, and pressed olives.
Mintel points out, however, that UK’s furniture market overall has struggled with the cost-of-living crisis. But Sheppard says issues regarding the economy, chancellor Rachel Reeves changes in last October’s budget to National Insurance and business rates, current macro political events, or any effects on supply chains are taken in the company’s stride.
Retail is always moving, he says, “and we must constantly stay in tune with how our customers are feeling and behaving and keep changing. We focus on what we can control and try not to get distracted with what we cannot.”
Simon Horner, GCW partner, adds that Loaf’s advantage in the market is its focus on affordable luxury, with customers recognising both the quality of products and service: “It’s reassuring to see retailers like Loaf thriving and expanding despite challenges in the industry.”
Set up 17 years ago by Charlie Marshall as The Sleep Room, an internet-only business specialising in handmade beds, the company morphed into Loaf in 2012 to represent an expanded product line to sofas, furniture and accessories. In May 2021, Loaf put itself up for sale, capitalising on the post-Covid demand for beds. Marshall sold the major shareholding to Blue Cost Capital for a reported £70m.
Progression from online to physical stores was methodical, taking 7 years before the 8,000 sq ft Queenstown Road store in Battersea was opened in October 2015.
The company now spreads itself geographically across the UK, with Shacks near Manchester, Edinburgh, Solihull, Bristol, Redbrick near Leeds, and three in London at Battersea, Notting Hill, and Chiswick.
Just like the ever-evolving product line, Loaf is not standing still. There is no set size of site or location, says Sheppard, who adds the company can work in various types of locations and sites that have included former car dealerships, out-of-town, high street, shopping centres, and suburbs.
“This means we have some flexibility that meets our need for a good amount of space, the right adjacencies and clearly the right commercials. It’s not a ‘one size fits all’ approach so it can take us time to ensure we have the right space,” says Sheppard.
Horner says the company looks to replicate locations where they can sit alongside like-minded retailers their customers identify with such as GAIL’s Bakery, and Farrow & Ball.
The most recent Shack locations include the 12,000 sq ft unit in Leeds, which launched in October 2023, and a 4,000 sq ft site in Chiswick, which opened last September. Future expansion targets include locations such as Tunbridge Wells, Hampstead, Winchester, Blackheath, and Bath.
“Having smaller sites like Chiswick means we are confident we can make different sizes of stores work. This is positive as it gives us more opportunities throughout the UK,” says Sheppard.
He adds; “The way our customers behave and how different towns, cities and retail parks keep changing means we must constantly evolve and improve our own thinking and understanding.”
International expansion isn’t ruled out. Sheppard says while the UK is still the primary target: “The Loaf brand and product can translate into other markets, and we’re excited to explore these opportunities when the time is right for us.”
Regardless of where Loaf goes, home or abroad, what will not change is the stores staying as slow room Shacks. “Our stores are a place to come and ‘take a load off’, relax and get comfy,” says Sheppard, “whether you are popping in, curious to learn more about who we are, looking for something comfy or simply wanting to kill some time and chill for a while, everyone is welcome in our Shacks.”
Loaf in Numbers.
2008
Founded by Charlie Marshall as The Sleep Room, an online handmade bed specialist
2012
Transformed into Loaf, to represent a widening of products
2015
First bricks & mortar Shack opens on Queenstown Road, Battersea
2021
Loaf’s major shareholding sold to Blue Cost Capital for a reported £70m
120
Number of employees
10
Current number of Shacks
4,000 - 12,000 sq ft
Size range of Shack sites