Seafood Category Hooks New Sales Strategy

With seafood sales reaching $18.8 billion in 2023 — led by fresh ($6.2 billion) and frozen ($6.7 billion) categories — retailers see untapped growth potential across fresh, frozen, and shelf-stable seafood. A focus on sourcing, sustainability, and at-home cooking trends could help retailers boost seafood’s share of protein sales despite recent dips in volume.

According to the 2024 “Power of Seafood” report by FMI, 85.4% of households purchase some type of seafood. Although seafood sales declined by 3.1% last year, retailers are optimistic. Rick Stein, VP of fresh foods at FMI, points out that COVID-19 shifted consumer habits, with more people learning to cook seafood at home and continuing those practices due to cost savings. This trend benefits regular seafood consumers, particularly those eating seafood two or more times weekly.

Certain types of seafood, such as salmon, shrimp, and cod, are showing positive growth as shoppers seek value while enjoying diverse species and formats. The Alaska Seafood Marketing Institute (ASMI) notes that two-thirds of shoppers prefer Alaska salmon, but demand for other options has led to broader selections in stores, which boosts sales.

Quality, Value, and Convenience

Frozen seafood has become popular as consumers value affordability and ease of use. 79% of seafood shoppers are open to buying frozen options, with many now viewing frozen seafood as equal in quality to fresh, according to ASMI. Shelf-stable seafood is also trending, with cans and pouches gaining 1.5% in sales, reaching $263 million by July 2024. Recent product innovations, such as Safe Catch’s canned smoked rainbow trout and Patagonia Provisions’ flavored sardines, add more convenient, ready-to-eat seafood options to the market. Acme Smoked Fish Corp. is also set to launch a cold-smoked tuna in a stand-up package, further expanding center-store options for seafood shoppers.

This multi-format strategy, coupled with evolving consumer preferences, positions the seafood category for continued growth as retailers respond with products that balance quality, value, and ease of preparation.