E-commerce

The relaunch of ProduceShop: 10 million in eight months with an AI platform

Karim El Saket, former CEO of Westwing Italia, has taken over the assets of the Swiss platform, which went into administration in 2025. Three million has been invested, with the aim of exceeding 15 million in 2026

by Gianluca Brazzioli

17 July 2026

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3' min read

Translated by AI

Versione italiana

Key points

From the boom to the quest for efficiency
Italia accounts for half of the revenue
Plans for the future

3' min read

Translated by AI

Versione italiana

New owner, new business plan, new goal: to become a leading European player. This is the story of the Swiss brand ProduceShop, which was taken over by the Italian Karim El Saket with a view to restructuring it and driving its growth in the Home & Living sector. The Lugano-based e-commerce business has been relocated to Milan and, in its first eight months of operation, has exceeded €10 million in revenue; the target for 2026 is €15 million.

The new venture began in 2025. ProduceShop, a platform founded ten years earlier, found itself in crisis following the strong growth it had experienced during the pandemic. The boom in home furnishings purchases had prompted many retailers to expand their warehouses, workforces and facilities. However, the subsequent slowdown in demand left them with costs that were difficult to sustain.

The Swiss company went into administration between May and June of that same year. However, El Saket saw the brand, the catalogue and the customer base as a business that could still be salvaged: ‘I saw an opportunity – a historic brand with untapped potential’. Through the Milan-based company Pasmara, he acquired the domain name, software, stock, technology and agreements with logistics providers and marketplaces from the insolvency proceedings. The website went live again at the end of October and the full relaunch began in November, in time for Black Friday.

From the boom to the quest for efficiency

“The first phase of e-commerce was pioneering; the second was one of growth at any cost. Today we are in the third phase: efficiency,” explains El Saket. ProduceShop’s new model is therefore leaner than its predecessor: around ten staff members, a compact structure and processes centralised on a proprietary technology platform.

The relaunch is backed by an initial investment of around 3 million euros, earmarked for the acquisition of assets, technology, the rebuilding of the management team, the brand and the capital required to fund growth. In the first eight months, ProduceShop exceeded €10 million in revenue, ending the period in profit. For 2026, it aims to exceed €15 million, whilst remaining in profit.

At the heart of the operation is Pasmara OS, a system that links couriers, payments, Google and Meta campaigns, order tracking and customer support. ‘In technical jargon, it’s called an “orchestrator”, as if it were a digital conductor,’ continues El Saket; the system is designed to collect data from across the entire business and gradually entrust certain decisions to artificial intelligence.

The system can already intervene, within pre-set limits, on pricing, advertising expenditure and customer communications. It can automatically notify customers of a delay, authorise a refund in line with company policies, or personalise offers based on previous purchases. ‘Artificial intelligence is not our product. It is the infrastructure that enables us to be more efficient, make better decisions and offer customers a more reliable experience.’

Italia accounts for half of the revenue

ProduceShop has relaunched, focusing on five countries: Italia, Spain, France, Germany and Austria. The Italian market currently accounts for around half of its revenue. Before the bankruptcy, the platform operated across almost all of Europe, but the new management has chosen to initially scale back its operations in order to consolidate its product range, technology and organisation.

The reopening of other markets will need to underpin the next phase. El Saket forecasts at least double-digit growth over the next five years, whilst maintaining profitability as the plan’s key constraint. The sector remains vast: according to estimates from ‘Furniture Retailing in Europe 2024’, the European furniture retail sector is worth more than €165 billion.

Technology alone is not enough. The second area concerns the product: a more carefully curated catalogue, better images and videos, new seasonal collections and a greater focus on trends. “Consumers don’t necessarily want to spend as little as possible, but rather to make a smart, targeted and well-considered purchase,” observes El Saket. ProduceShop aims to position itself precisely in this space, combining accessible design, functionality and reliable service.

Plans for the future

Having built Dalani during the e-commerce boom, El Saket is now attempting to start afresh with a contrasting model: less bureaucracy, more automation, and growth driven by financial results. “Right now, I’m focused on building a profitable, efficient company capable of sustainable growth.” This is the strategy with which ProduceShop is returning to the market.