Category Analysis: Growth Drivers in Seafood
Ten percent of US shoppers drive 40 percent of all seafood purchases, according to FMI—the Food Industry Association. Category leaders are paying close attention to these shoppers, who tend to be in higher-income households with larger families, while also encouraging the next generation of protein-obsessed consumers.
“We’re starting to see several pieces of our strategy come together. On the innovation side, we’re bringing genuinely different products to market, including our new Risotto Cakes and Crunchy Seafood Bites. Both are designed to take seafood into new occasions. Our Risotto Cakes bring seafood into a convenient, premium comfort-food format, while Crunchy Seafood Bites give consumers a snackable, shareable option that can compete in occasions traditionally dominated by chicken and other proteins. We’re also excited about the new Aquamar advertising and creative now in market,” relayed Daryl Gormley, CEO of Aquamar.
He continued, “Our origin story was recently captured as part of a documentary that will soon be shown at the Newport Beach Film Festival. California Roll: The Rise of American Sushi explores how the California Roll evolved from its roots in post-war Little Tokyo into a mainstream international food, highlighting not only the role California played in that transformation, but Aquamar’s role as well.”
“Q4 is an exciting time for Alaska seafood, kicking off with National Seafood Month in October and continuing into the holiday season. Alaska seafood can play so many roles throughout the season—from an easy weeknight dinner to the centerpiece of a holiday gathering. We’re especially excited to introduce consumers to the breadth of Alaska seafood, including species and formats like Alaska keta and pink salmon, sablefish, pollock, surimi seafood and sole/flounder,” revealed Megan Rider, Senior Director of Marketing and Strategy, Alaska Seafood Marketing Institute.
“What excites me about Q4 is the opportunity to show that seafood can serve both the everyday meal and the special occasion. I do not think we have to choose between making seafood accessible and making it feel special. The opportunity is to offer the right product, portion and presentation for each occasion, whether that is a practical weeknight dinner or something a family wants to serve during the holidays,” said Mark Frisch, Executive Vice President of BSF (formerly Beaver Street Fisheries). “For BSF, that means bringing together our sourcing, processing and custom-packaging capabilities to help retailers build the right offering for their shoppers.”
Leaders point to convenience, nutrition and sustainability as trends shaping the category.
“Protein continues to be a major priority; consumers are seeking nutrient-dense foods, global flavors are becoming increasingly mainstream, and convenience continues to reshape when and how people eat. GLP-1 adoption adds another tailwind. As more consumers focus on smaller portions and getting more protein and nutrition from the foods they do eat, seafood is particularly well positioned,” explained Gormley of Aquamar.
“Consumers are also embracing formats that make seafood easier to enjoy, from tinned fish to frozen and value-added options. We expect convenience to have staying power. Products like canned Alaska pink and sockeye salmon, wild Alaska pollock fish sticks and Alaska surimi seafood can meet consumers where they are while introducing more variety into everyday meals,” said Rider of Alaska Seafood Marketing Institute.
“The trend I believe has the most staying power is the move toward seafood that solves a meal rather than simply supplies an ingredient. That includes ready-to-cook products, prepared seafood and meal components that let shoppers do part of the cooking themselves. We do not always need to provide the entire dinner. Sometimes the biggest opportunity is to take the uncertainty out of preparing the seafood and let the customer add the vegetables, rice or salad at home,” commented Frisch of BSF.
As retailers look to offer healthier, high-quality protein options, seafood is a natural choice.
“Retailers increasingly want more than a great product on the shelf—they want a story and inspiration that help shoppers understand why that product belongs in their cart. For Alaska seafood, that means pairing origin and sustainability with practical ideas around versatility, value and preparation, while helping consumers discover species beyond the ones they already know,” described Rider of the Alaska Seafood Marketing Institute.
“FMI reports that 77 percent of food retailers plan to increase the space they allocate to foodservice, including fresh-prepared and grab-and-go offerings. Seafood suppliers should be prepared to participate in that business, not limit the conversation to the traditional seafood case or freezer door,” emphasized Frisch of BSF.
He continued, “I would like to see us spend less time setting fresh and frozen against each other and more time helping consumers understand which format fits their needs.”
“Retailers are also increasingly focused on productivity. Shelf and freezer space are valuable, so innovation has to earn its place through velocity and incrementality, not simply because it’s new. I think that puts more responsibility on brands. Getting distribution isn’t the finish line. We need to help retailers grow the category,” noted Gormley of Aquamar.
Overcoming consumer misconceptions is a major category challenge. Rider of the Alaska Seafood Marketing Institute named the most common assumptions: “That seafood is complicated, expensive or reserved for special occasions.” Rider continued, “Frozen Alaska seafood can go from freezer to table with minimal prep, while canned salmon, wild Alaska pollock, surimi seafood and sole/flounder offer approachable ways to make seafood part of the everyday routine.”
“The misconception I would challenge is that frozen seafood is automatically a lower-quality choice than fresh. We should judge seafood by its quality and how it has been handled, not assume the word ‘frozen’ settles the question,” replied Frisch of BSF. “I would like to see us spend less time setting fresh and frozen against each other and more time helping consumers understand which format fits their needs.”
“The seafood companies that win will start with the consumer and the occasion and work backward to the product. They’ll combine great taste with convenience, value, strong branding and meaningful innovation,” concluded Gormley of Aquamar. “The next phase of growth won’t come from giving seafood consumers more seafood choices. It will come from giving more consumers more reasons to choose seafood.”
