Opportunities To Boost Seafood Sales At Retail
With more consumers seeking healthier meal options, the seafood category has yet to reap the benefits of this shifting lifestyle trend.
The new Power of Seafood 2025 report from FMI - The Food Industry Association revealed the challenges retailers face with selling seafood to shoppers. Its findings also offer some possible marketing opportunities for retailers to help consumers better understand the health benefits of incorporating more seafood into their diets.
“We know that once families cook and eat seafood regularly, they enjoy it,” said Rick Stein, vice president of Fresh Foods at FMI. “It is essential that food retailers break down perceptions that seafood is either too expensive or difficult to prepare.”
Seafood sales in 2024 were down 1.2% in revenue (up 1% in units), with two of the category’s largest segments — frozen seafood and fresh seafood — each down 2.6% in 2024. Smaller segments shelf stable seafood and deli sushi were up 1.9% and 2.8% in dollar sales, respectively.
The overall decline was pinned on issues pertaining to consumer perceptions that seafood is expensive (79%) and that seafood is seen as a luxury (66%) even through the cost of seafood largely decreased in 2024. Shoppers also expressed a lack of knowledge about how to purchase and prepare seafood.
Those hurdles were a barrier to many, even though 93% of consumers surveyed for FMI’s report said they value the health benefits of seafood and view the products in the category as offer high-quality, nutritious protein.
“While 87% of shoppers view seafood as healthy, 42% of seafood is purchased by only 10% of shoppers,” said Steve Markenson, vice president of Research and Insights for FMI. “This suggests shoppers view seafood as a healthy yet intimidating protein.”
While price perception of seafood plays a big role in keep shoppers from purchasing products in the category, others said they lack the knowledge of how to buy or select seafood and then how to cook it once at home.
“At the same time, shoppers tell us they want to be educated more about seafood options,” Markenson said.
To help consumers become more knowledgeable about seafood, FMI said grocers can be creative to help shoppers. This includes partnering with retail registered dietitian nutritionists to educate shoppers across channels – in-store, online, via apps and across social media platforms – on how to prepare cost-effective, nutritious meals with seafood, suggestions on buying different types of seafood and how to better reduce food waste, while showcasing the health benefits seafood offers.