Food Industry
Industry: Email Alert RSS FeedFish tales: in a category awash with news both positive and negative, sales of fish and seafood items have managed to grow. Relatively inexpensive, the products further benefit from a more-healthful perception among consumers. However, in the age of mandatory convenience, can seafood products provide a time-saving solution?
Prepared Foods, Jan, 2005 by William A. Roberts, Jr.
Positives abound for the seafood industry, including the fare's healthful perception. With more consumers embracing the health and wellness trend (be it through low-carbohydrate dieting or other, perhaps more-enduring regimens), manufacturers and marketers wisely are reassuring consumers that fish and seafood are among the healthier meal options available. Nonetheless, growth in the segment will require continued efforts to communicate the proper purchase and preparation of fish and seafood products.
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Whether low-carbohydrate dieting has staying power need not be a concern to the segment's manufacturers. For consumers on such diets, protein sources such as fish and seafood are a viable alternative to red meat and poultry. Should those diets fade, the segment will benefit from the healthful positioning inherent in many of its products; salmon, for example, has been well-cited as a source of heart-healthy omega-3 fatty acids.
Wilding
The market is not without its hazards, however. The mainstream media has been quick to note safety concerns about mercury levels in canned tuna, not to mention polychlorinated biphenyls (PCBs) in farm-raised salmon. According to a study in the journal Science, more than a meal of farm-raised salmon a month could increase slightly the chances of getting cancer later in life. Apparently, the problems center around feed pellets made from contaminated fish; however, salmon concerns are not limited to those from the farm. The segment also faces negative press from a more-ecological slant, in the form of dangers from overfishing and detrimental effects on the environment.
Long a staple in the homes of many consumers, shelf-stable or canned foods have enjoyed a resurgence in recent years, buoyed by new types of packaging that help make fish a convenient meal or snack. Tuna, in particular, has benefited from pouch packaging, but its sales have suffered in the wake of mercury concerns. An effort to reassure consumers of the benefits of eating canned tuna saw competitors StarKist (H.J. Heinz, Pittsburgh), Bumble Bee (Connors Bros. Income Fund, Blacks Harbour, N.B.) and Chicken of the Sea (San Diego) collaborate in a joint campaign. Of course, each also continued with its own advertising efforts, but the joint campaign does serve to indicate just how seriously the segment's companies regard the potential threat.
Mintel (Chicago) finds the amounts of positive and negative health information are roughly equal and boil down to fish's health benefits versus safety issues.
Those healthful attributes are notable. Beyond the benefits of omega-3 fatty acids in salmon, tuna, et al., the fish also have a high protein content and low levels of saturated fat. These features prompted the American Heart Association (Dallas) to recommend people in good health and those at risk of cardiovascular disease eat fish at least two times per week. Furthermore, a 2004 study at the Brigham and Women's Hospital and Harvard Medical Center (Boston) found that eating fish can reduce the risk of irregular heartbeats.
That positive, however, masks a negative when evaluating fish's position relative to other protein sources. Mintel's consumer research finds that 28% of respondents regard fish and seafood as most likely to be tainted, relative to other meats, including red meat and turkey. In addition, some 15% said that mercury levels in fish have prompted them to reduce the amount of fish consumed. On the other hand, 42% have increased consumption to take advantage of the health benefits of these products.
Is it any wonder consumers are confused? The valid positives and negatives aside, the consumer also faces misinformation (be it through mislabeling, relabeling or misdirection) that leaves him bombarded with information. Ultimately, Mintel finds consumers face two options: "Either forego eating fish and seafood that has a hint of uncertainty or controversy, or take their chances."
Feigning Fresh
Those willing to take the risk have benefited from seafood's improved packaging. The pouch has improved tuna's portability and status as a lunchtime option, but it has not been the sole driver. To promote the freshness of its products, TruFresh (Suffeld, Conn.) promotes its Norwegian Atlantic salmon on the basis that it is three days old when frozen, while other companies have opted for vacuum-packed sealing methods to improve freshness.
Convenience takes many forms in this segment: it can be as simple as packaged items (thus preventing the need to stop by the fish counter), varying portion sizes, heat-and-serve entrees with stuffed cod and crab-stuffed fish or lobster, or pre-formed crab cakes and ready-to-serve chowder and bisque.
Pre-prepared also has attracted consumers. Morey's Seafood International (Minneapolis), for example, offers a line of packaged, marinated salmon in six varieties. Helping to alleviate some possible concerns about the proper cooking time, the filets feature a pop-up timer. This seems particularly helpful when realizing that many consumers are uncertain about how to prepare fish, and that many of them perceive the items as pricy products with which to experiment.
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