Powersheds, a UK-based manufacturer of modular outdoor buildings, has reported significant growth following a strategic review that refocused the company’s product offering on simplicity and ease of purchase. Founded in 2019 by Jack Sutcliffe and Simon Hobson, Powersheds initially aimed to simplify the shed-buying process, which was often confusing due to an overwhelming range of custom-built options in the market.
The company experienced rapid expansion, and by 2021, it was producing around 700 units weekly from a new 40,000 square foot facility. A joint venture with timber and forestry business BSW helped fuel this growth; however, as consumer demand for outdoor buildings surged during the early stages of the COVID-19 pandemic and then began to taper off, the founders faced uncertainty about the company’s next direction. Sutcliffe noted the company’s ambition to grow in multiple directions, including potentially expanding into a broader array of garden-related products, but acknowledged that the path forward was unclear.
To clarify strategy, Powersheds engaged brand consultancy Propaganda, which had previous ties with BSW. Propaganda conducted approximately 50 interviews with stakeholders including customers and trade agents, uncovering that while consumer spending on outdoor spaces had increased by over 30 percent during the pandemic, many buyers were put off by the complicated language and choices prevalent in the market—a phenomenon the consultancy dubbed “shed shock.”
Based on these insights, Propaganda recommended that Powersheds concentrate on its original vision: offering a streamlined product range designed to make purchasing simple and straightforward. This approach led to the development of a new brand proposition, “Powerfully Simple,” backed by increased marketing efforts.
Sutcliffe acknowledged initial hesitation about narrowing the company’s focus, especially given earlier plans to diversify under its trademarked Power brand. However, the results following the pivot were notable, with revenues rising 36 percent and profitability increasing by 41 percent in the first full year after implementation. Sales of higher-end cabins, one of the company’s premium products, also doubled.
The clearer brand positioning and renewed confidence enabled Powersheds to negotiate more effectively with major retailers, who had been pressuring the company for lower prices. Despite rising timber costs, Powersheds was able to maintain and even improve margins by emphasizing simplicity and strong customer resonance.
Powersheds continues to explore growth opportunities. In collaboration with Propaganda, the company is working on expanding into the Irish market and launching a “Cab-inspiration” campaign aimed at showcasing the versatility of garden rooms and outdoor buildings to boost cabin sales.
Sutcliffe described the current market as challenging, with some competitors facing losses or exit, highlighting the importance of solid business foundations. He emphasized that Powersheds’ approach, in contrast to competitors who are cutting prices, positions the company for sustainable growth. Meanwhile, Propaganda’s consulting director Tom Fowler underscored the need for ongoing strategic evolution to keep pace with market changes and maintain consistent delivery.