Fish and Seafood - US

• How fish and seafood consumption stacks up against that of other leading protein sources
• How industry pricing issues are affecting sales of leading fish and seafood types
• Which segments (fresh, frozen, and canned) are faring well and why
• Which fish and seafood types (and preparation methods) are resonating with consumers
• How the drug store and mass merchandiser segments are growing share
• How healthfulness and the eco-trend has pushed market innovation
• How and why retailers and packagers should innovate with "freshness" labeling
• How in-home fish and seafood use stacks up against restaurant use
• " What are consumers' attitudes toward freshness, source, and cost

SCOPE AND THEMES

What you need to know

Definition

Data sources

Consumer survey data

Abbreviations and terms

Abbreviations

Terms

EXECUTIVE SUMMARY

Healthy sales growth - but for a myriad of reasons

Fish and seafood consumption lags behind other protein sources

Segments face diverse struggles and “wins”

Drug and mass sales outperform supermarket sales

Small manufacturers and private label dominate

Brand spotlight: StarKist represents industry struggles

Diverse innovation throughout category

Advertising efforts leave something to be desired

Tuna and salmon lead in usage

Restaurant versus at-home consumption

Fresh, frozen, and canned fish and seafood use

Fish and seafood preparation methods

Fish and seafood spending trends and rationales

Attitudes toward freshness, source, and cost

MARKET SIZE AND FORECAST

Key points

Beyond fish sticks—new paradigm for the fish and seafood market

Figure 1: Total U.S. retail sales of fish and seafood, at current prices, 2003-13

Figure 2: Total U.S. retail sales of fish and seafood, at inflation-adjusted prices, 2003-13

COMPETITIVE CONTEXT

Key points

Fish and seafood lags behind as protein of choice

Figure 3: Frequency of protein consumption, by type, September 2008

Figure 4: Poultry consumption, 2006-08

Figure 5: Attitudes towards protein choices, by type, September 2008

Figure 6: Food price changes, by food category, July 2007-July 2008

Competing sources for omega-3

Figure 7: Leading food sources for omega-3, 2002-08

OVERALL SEGMENT PERFORMANCE

Key points

Environmental factors impact the bottom line

Sales and forecast—fish and seafood by category

Figure 8: Sales of fish and seafood, segmented by type, 2006 and 2008

SEGMENT PERFORMANCE—FRESH FISH AND SHELLFISH

Key points

Higher price points and freshness perception could cause consumers to balk

Sales and forecast—fresh fish and shellfish

Figure 9: Sales of fresh fish and shellfish, at current and inflation-adjusted prices, 2003-13

SEGMENT PERFORMANCE—FROZEN FISH AND SHELLFISH

Key points

Niche products have potential

Sales and forecast—frozen fish and shellfish

Figure 10: Sales of frozen fish and shellfish, at current and inflation-adjusted prices, 2003-13

SEGMENT PERFORMANCE—CANNED FISH AND SHELLFISH

Key points

Supply concerns threaten a number of canned varieties

Sales and forecast—canned fish and shellfish

Figure 11: Sales of canned fish and seafood, at current and inflation-adjusted prices, 2003-13

RETAIL CHANNELS

Key points

Mass merchandisers stand to reap the rewards of convenience

Figure 12: Retail sales of packaged fish sold through FDMx, 2006 and 2008

RETAIL CHANNELS—FOOD STORES

Key points

Whole Foods Market sets an example

Figure 13: Food store sales of fish and seafood, 2003-13

RETAIL CHANNELS—DRUG AND MASS

Key points

Industry innovations lead to growth

Figure 14: Drug and mass sales of fish and seafood, 2003-08

MARKET DRIVERS

The economy affects fish and seafood pricing

Economic challenges lead to more meals at home

Figure 15: Average price of meal for a family of four at selected restaurant types, 2005-07

Figure 16: Annual food sales at home and away from home, 2005-07

The impact of weather

HH income will determine near-term future

Figure 17: Seafood consumption compared to a year ago, by HH income, September 2008

Frequency of eating fish at home

Figure 18: Frequency of fish eating at home, by HH income, September 2008

LEADING COMPANIES

Key points

Private label the clear category winner

Figure 19: FDMx sales of fish and seafood, by manufacturer, 2007 and 2008

BRAND SHARE—FROZEN FISH AND SHELLFISH

Key points

Private label and small manufacturers dominate

Figure 20: FDMx sales of frozen fish and seafood, by manufacturer, 2007 and 2008

BRAND SHARE—SHELF STABLE FISH AND SHELLFISH

Key points

Beyond canned tuna

Figure 21: FDMx sales of shelf stable fish and seafood, by manufacturer, 2007 and 2008

BRAND SHARE—REFRIGERATED FISH AND SHELLFISH

Key points

A smattering of small niche brands

Figure 22: FDMx sales of fish and seafood, by manufacturer, 2007 and 2008

BRAND QUALITIES

Charlie the Tuna has “Seoul”

INNOVATION AND INNOVATORS

“Green” fish

Figure 23: Eco-friendly fish and seafood new product introduction claims, 2003-08

Emulating restaurant style menus

Promoting healthy attributes

Figure 24: Health related new fish and seafood product claims, 2003-08

Freshness guaranteed

Private label a shining star

Figure 25: New private label seafood product introductions, by company, 2003 - 2008

ADVERTISING AND PROMOTION

Overview

Gorton’s

Figure 26: Gorton’s Potato Crunch Filets, 2008

Figure 27: Gorton’s Shrimp Temptations, 2008

SeaPak

Figure 28: Sea Pak Shrimp, 2008

Wild American Shrimp

Figure 29: Wild American Shrimp, 2005

PERSONAL CONSUMPTION OF FISH AND SEAFOOD

Key points

Tuna and salmon rule the usage roost

Types of fish and shellfish consumed

Figure 30: Types of fish and seafood consumed, by type, by gender, September 2008

Figure 31: Types of fish and seafood consumed, by type, by race/ethnicity, September 2008

FISH AND SEAFOOD USAGE AND USAGE FREQUENCY BY LOCATION

Key points

Overview

Figure 32: Frequency of fish and seafood consumption, by location, September 2008

Frequency of eating fish at home

Figure 33: Frequency of fish consumption at home, by age, September 2008

Frequency of eating fish at a restaurant

Figure 34: Frequency of fish consumption at a restaurant, by gender, September 2008

Frequency of eating shellfish at home

Frequency of eating shellfish at a restaurant

Figure 35: Frequency of shellfish consumption at a restaurant, by age, September 2008

FRESH, FROZEN, AND CANNED FISH AND SEAFOOD USE

Key points

Frozen varieties the leading consumer preference

Figure 36: Personal fresh, frozen, and canned fish purchases, by gender, September 2008

Figure 37: Personal fresh, frozen, and canned fish purchases, by region, September 2008

FISH AND SEAFOOD PREPARATION METHODS

Key points

Cooking methods largely dictated by format

Figure 38: Fish and seafood consumed, by type and preparation method, September 2008

Baking

Figure 39: Fish and seafood eaten baked, by gender, September 2008

Broiling

Figure 40: Fish and seafood eaten broiled, by, September 2008

Frying

Figure 41: Fish and seafood eaten fried, by region, September 2008

Sautéing

Figure 42: Fish and seafood eaten sautéed, by region, September 2008

Grilling

Figure 43: Fish and seafood eaten grilled, by HH income, September 2008

Steaming

Figure 44: Fish and seafood eaten steamed, by race/ethnicity, September 2008

FISH AND SEAFOOD SPENDING TRENDS AND RATIONALES

Key points

Year-over-year spending trends

Figure 45: Seafood consumption year-over-year trends, by age, September 2008

Rationales for eating more

Figure 46: Rationales for eating more fish and seafood, by gender, September 2008

Figure 47: Rationales for eating more fish and seafood, by age, September 2008

Rationales for eating less

Figure 48: Rationales for eating less fish and seafood, by gender, September 2008

Figure 49: Rationales for eating less fish and seafood, by age, September 2008

ATTITUDES TOWARD FRESHNESS, SOURCE, AND COST

Key points

Overview

Figure 50: Attitudes toward freshness, source, and cost, by gender, September 2008

Figure 51: Attitudes toward freshness, source, and cost, by HH income, September 2008

APPENDIX: ADDITIONAL CONSUMER TABLES

Frequency of eating fish at a restaurant

Figure 52: Frequency of fish eating at a restaurant, by HH income, September 2008

Frequency of eating shellfish at home

Figure 53: Frequency of shellfish eating at home, by HH income, September 2008

Frequency of eating shellfish at a restaurant

Figure 54: Frequency of shellfish eating at a restaurant, by HH income, September 2008

APPENDIX: TRADE ASSOCIATIONS