The assumption of treating the specimen volume as constant while experimentally determining the soil water retention curve (SWRC) of soils is valid only for nonplastic, granular soils. Fine-grained soils usually undergo significant volume change during dewatering and densification, and therefore such an assumption is misleading, even falsifying. The need for developing an easy-to-use lab-scale technique that can enable continuous monitoring of the evolutions in volume, suction, and moisture content of a progressively drying soft soil specimen is evident in the field of characterizing unsaturated soils. Such a method is relevant to establishing SWRC and soil shrinkage curve (SSC) of soft soils that exhibit an appreciable degree of deformation upon subjection to dewatering. To this end, a simple yet improvised method based on the balloon technique incorporating a commercially available high-capacity polymer tensiometer has been proposed to establish SWRC-SSC of soft soils. A comparison between the SWRC and SSC obtained through the proposed method and the conventional methods demonstrated a satisfactory degree of agreement. Densification of the materials realized under the influence of mechanical and hydraulic stresses has been discussed through a comparative analysis between the results from the proposed method and one-dimensional odometer test. For soft soils, the proposed method is particularly appropriate for establishing SWRC in terms of volumetric moisture content and degree of saturation through just a single test.