10 CONSUMER PERISHABLES DATABOOK 2017
counterpart, are worth paying more.
Capitalizing on proximity to other highly visited
departments can also provide a bakery sales boost. Using
signage or beautiful, eye-catching displays can attract
shoppers passing through from one perimeter department to another.
Health officials unanimously agree that the average
household should increase seafood consumption. And
as a department featuring nutrient-rich species, sales
growth should be a slam-dunk in a retail environment
with increasingly health-conscious consumers. But four
species, shrimp, salmon, tilapia and crab, account for
more than half of seafood department sales, and supply
or quality issues for any one of them can cause significant disruption in overall sales trends. Shrimp sales are
still recovering from hefty price increases in 2014, and
another year of decreased tilapia sales amidst negative
media coverage highlighting concerns of imported and
farmed product quality contributed to a slight decrease
in department sales.
The increased supply of farmed seafood could solve
some supply challenges, but the industry will need
to continue educating people on the benefits of this
approach to combat some negative connotations that still
linger around farmed seafood.
The rise of meal kits provides another avenue for
future seafood growth. Recent research indicates that
nearly two-thirds of people who subscribe to meal kit
services report an increase in seafood consumption as a
result. Partnering with meal kit providers to ensure seafood is consistently offered can also trickle over to retail
as people increase their comfort with cooking different
species of seafood and experimenting with new recipes.
FRESH IN THE DRIVER’S SEAT
Soft sales of fast-moving consumer goods have placed
a spotlight on fresh departments as an enviable area of
the store with consistent growth. But the perimeter of the
store is not immune to industry disruptors like e-commerce and meal kit subscription services.
Yet fresh can be a not-so-secret weapon, a source of
innovation and differentiation in a rapidly evolving retail
environment. Now is the time for retailers and manufacturers to re-think traditional store dynamics and increase
the presence of fresh, both in product innovation and