Annette Kenny, Seafood Manager, Bord Bia – Irish Food Board
A recent report by Kantar Worldpanel for Bord Iascaigh Mara (BIM) has shed some light on the trends within the domestic Irish seafood market.
Reviewing the period June 2014 to June 2015, the report found that fish is experiencing the strongest growth out of all proteins with a 5.2% increase in value. The fish category is now valued at €202 million or 2.1% of total Irish grocery spend, placing it higher than both lamb (2%) and pork (1.3%).
Most growth in the fish category was driven by existing fish shoppers who bought fish at a higher frequency. Despite fish remaining the most expensive protein on the domestic market (€13.17/kg), the category has also benefitted from shoppers switching to fish from other proteins.
Within the fish category, fresh fish outperformed frozen fish, with a significant amount of frozen fish shoppers switching their spend to fresh fish. The distinction between fresh and frozen fish is most evident in the differences between shoppers. Fresh fish is most popular among older shoppers, while frozen fish over-indexes among families. This suggests that health and convenience are the respective lifestyle trends motivating these fish shoppers. Promotional opportunities exist for producers in both categories by highlighting the health benefits of fish on their packaging.
Frozen fish has declined as a category, losing value through lower prices and penetration as shoppers switched to fresh fish, poultry, and beef. The total spend on frozen fish declined by 4% over this period, and is now valued at €67 million. Within the category, private label frozen fish was hit harder than branded products. The study indicates that shoppers in this category respond well to sales promotions, and there are potentially opportunities for producers to capitalise on this.
Fresh fish products were the champions within the fish category, with sales value growth of 10.4% year-on-year. The category is now valued at €135 million per year. Within the category, Salmon was purchased with the highest frequency, followed by prawns, hake, cod, and mackerel. Within the category pre-packed fish accounted for roughly 70% of value, having increased from 66% of value in 2014.
Overall, Irish shoppers’ lifestyles are getting busier and they are placing a greater premium on their health. As a fast cooking, healthy protein fish is ideally placed to capitalise on these trends. By clearly communicating the health benefits of fish (high in protein, low in fat), and investigating potential ‘free-from’ NPD (e.g. gluten-free coated fish) producers can tie their product to health and wellness trends. Frozen seafood producers can fight the decline within their category by highlighting the health benefits of their product, and by targeting time poor, on-the-go families with the convenience merits of frozen fish products.
For more information please contact Annette.kenny@bordbia.ie