Zenline AI raises $1.6M pre-seed to optimize retail assortments with AI

The Swiss startup helps European retailers boost margins and compete with Amazon and Temu through product-level AI insights.

Zenline AI, a Switzerland-based retail technology startup, has raised $1.6 million in pre-seed funding to expand its AI-powered assortment optimization platform. The round was led by Seedcamp, with participation from Yellow, First Momentum, and Arc Investors.

Founded in 2025 by Arber Sejdiji and Gerrit Merz, Zenline AI builds agentic AI systems designed to operate like assortment managers but at machine speed. The platform combines margin data, shopper behavior, social trends, and competitive signals to generate automated product-level recommendations, from pricing actions to SKU consolidation.

We build AI agents that think like assortment decision-makers, but operate in seconds” said Sejdiji. “Our mission is to empower European retailers to compete profitably again. Given how critical and shopper-centric assortment is, a retailer can win by increasing its top line and building an edge against Amazon and Temu.”

Since launch, Zenline AI has been adopted by European retailers and is already analyzing more than one million SKUs. The company says its system can identify assortment gaps, flag cannibalization risks, and recommend steps for new product launches and ongoing portfolio optimization.

Seedcamp partner Sia Houchangnia said the startup addresses a core retail challenge: “The future of category management is AI-powered. Until now, retailers lacked the foundation to make the most important decisions: what a strong assortment actually looks like. Zenline has rethought assortment logic from the ground up to deliver immediate value.”

With the new funding, Zenline plans to accelerate product development, refine its AI models, and expand into new retail verticals.