How to Land More Seafood Sales
It’s been somewhat steady — if not quite smooth — sailing for seafood categories heading into a new year. Food retailers have opportunities across fresh, frozen and canned segments to garner more attention and sales through a diverse product assortment and ongoing education efforts about preparation and sourcing.
As with most categories, there are both headwinds and tailwinds affecting this type of protein. Inflation remains one stubborn challenge: Overall fresh seafood prices rose again in October after falling during the prior weeks, according to data from San Antonio-based 210 Analytics and Chicago-based Circana.
“While prices are looking better for the consumer, the average price per pound remained significantly higher than the average price per pound for the three biggest animal proteins of chicken ($3.09), pork ($3.15) and even beef ($6.68),” notes Anne-Marie Roerink, principal at 210 Analytics. On the plus side, she adds, four of the top five sellers in refrigerated /fresh seafood showed deflationary conditions in October.
The inflation news was better in frozen seafood, according to the October report from 210 Analytics and Circana. The average price of frozen shrimp, for instance, dipped 5.4% that month, while frozen salmon experienced a 4.2% drop, leading to volume growth. Meanwhile shelf-stable seafood posted a 1.7% gain in sales and a 5.7% bump in volume in that time frame.
What’s Cooking
Although consumers continue to be motivated by price, there are some tailwinds that are favorable for growth in seafood. Chief among them is the ongoing habit of cooking at home. The 2024 “Power of Seafood” report from FMI – The Food Industry Association revealed that home-cooked seafood accounts for 59% of consumption, up 6% from 2023.
“Consumers are overwhelmingly showing preference to eating [food at home],” says Rick Stein, VP of fresh foods at Arlington, Va,-based FMI. “I think after two years of consumers reducing their purchasing of seafood at retail, they will rebound in 2025. Seafood prices have been stable now for a while, and in some cases, we are seeing slight deflation. Combine this with the desire to eat healthy and eat at home, and I believe 2025 will be a good year for seafood sales at retail.”
That sentiment is shared by Amy Dukes, head of retail marketing at the Juneau-based Alaska Seafood Marketing Institute (ASMI). “Recent research from ASMI shows that 74% of consumers wish they ate seafood more than they do, with 66% noting that cooking guidance would help them cook it more often,” notes Dukes. “Across demographics, there is widespread acknowledgement of seafood’s nutrition benefits, with 78% of seafood consumers prioritizing health and nutrition, along with a growing desire to eat sustainably. All of this, combined with potential ongoing inflationary pressures in 2025, points to the likelihood that consumers will continue to cook more at home, and that seafood is poised to remain part of their regular at-home rotation.”
Ways to Sell More Seafood
With more people preparing and cooking seafood at home, grocers can pursue strategies to keep seafood top of mind among shoppers looking for ingredient and meal solutions.
Share more recipes and suggestions: Given consumers’ propensity to cook at home — and their lack of knowledge when it comes to some seafood types — grocers can move the needle by providing recipes and cooking tips in-store and online. Stores can also tap into the expertise of their own staff, since 39% of seafood customers seek advice from the seafood counter, per the FMI study.
“Since shoppers are looking for inspiration, providing point-of-sale materials like recipes and cooking tips, as well as a knowledgeable and well-trained staff at the seafood counter, is vital for inspiring seafood consumers,” remarks Dukes.
Highlight the diversity of offerings: Shoppers may lean into familiar favorites like shrimp and seafood, but grocers can generate interest among those seeking something different. One case in point is the surge in tinned seafood sales following viral TikTok social media posts about such products in 2024. On the fresh side, seafood department associates can point to options like arctic char, swordfish steaks, or any fish caught locally or shipped fresh regularly.
Tap into demand for convenience: While retailers can provide recipes for shoppers who are cooking at home, they can also tout shortcuts for easier meal prep. Seasoned or marinated fresh seafood products are convenient, as are heat-and-serve and ready-to-eat products available in the center store and frozen department.
Add seafood promotions to the mix: Retailers have an opportunity to capture more seafood sales when market conditions improve. “As prices stabilize or even decrease, I think consumers will respond, especially to promoted items,” says Stein. “Retailers will be able to promote and still maintain their traditional promotional margins, and hence I see them getting more aggressive with promotional calendars in seafood.”
For her part, Dukes suggests promoting convenience cuts to lure shoppers. “Specials and promotions are also one of the primary purchase drivers at both retail and foodservice, and can motivate shoppers to try new types of seafood,” she explains. “This is especially effective with value-add items like a pre-marinated miso Alaska sablefish, or using species like Alaska flounder in place of other whitefish in a seasoned fish taco mix.”
[RELATED: ALDI Upgrading Seafood Assortment]
In 2024, according to Dukes, ASMI worked with more than 25 national retailers to create campaigns that highlighted wild Alaska seafood, with an average sales lift of 6.1% during key timeframes like Lent.
Play to the health halo of seafood: New Year’s resolutions aside, consumers in general are looking for ways to eat healthier, and seafood is a nutrient-rich food. One recent study, published in the International Journal of Cancer, found that omega-3 fatty acids found in fatty fish like salmon could lower the risk of developing certain cancers.
Share sourcing stories: Information-seeking shoppers may appreciate learning about the origins of seafood. For example, according to ASMI, 74% of consumers are more likely to choose seafood when they see the Alaska Seafood logo, with Millennials particularly associating it with sustainability, and 65% of consumers find “Alaska salmon” more appealing than “Atlantic salmon.”
“Consumers will of course be balancing desires to eat sustainably with factors like taste and cost, but retailers can help by clearly communicating/labeling the origin and sustainability benefits of seafood items,” Dukes advises.
Keep an eye on alternatives: As in other animal-based protein categories such as beef, pork and chicken, the seafood sector is complemented by seafood alternatives and plant-based proteins from water sources.
In its 2025 trends forecast, Austin, Texas-based Whole Foods Market listed plant-based aquatic ingredients as a subcategory to watch. “With the continued popularity of seaweed and the increasing interest in harvesting readily available aquatic plants for more sustainable sources of protein and nutrients, the tide is turning toward foods made with more sea and freshwater greens,” the grocer’s trendspotters write, citing ingredients like sea moss used in gummies and smoothies, and duckweed.
