Despite deflation in seafood throughout the year, fresh seafood volume and sales declined last year, according to FMI’s 2025 Power of Seafood report. Of the major fresh departments, seafood was the only one to see lower dollar sales — a drop of 1.2% to $8.5 billion — while unit sales rose by 1%.
Lower prices depressed total dollar sales and did little to impact the shopper perception that seafood is expensive, said Steve Markenson, vice president, Research & Insights, for FMI.
“For most shoppers, even frequent seafood consumers, seafood is considered a luxury or indulgence.”
For most of the Americans who are reducing their seafood consumption frequency, 37% overall said inflation or prices is the primary reason. Drilling down on prices, 30% listed the price of seafood compared to other proteins is limiting their purchases, while 26% attributed prices per pound and 16% said the total package/purchase price.
In addition, among those buying seafood, the amount spent on seafood was down slightly in 2024 at $207.37 per buyer. However, the decline was driven by a lower dollar amount per trip and not products purchased per trip.
In other positive news, the lucrative frequent seafood consumer group continues to incorporate seafood into their diets in more creative and cost-effective ways and says the seafood they purchase for their family is affordable, according to Markenson. Notably, the share of frequent seafood consumers has grown from 25% to 32% since 2019.
Comparing seafood purchases to meat and poultry, only about one-third of shoppers report eating seafood the recommended two times a week (frequently) and frequent seafood eaters continues to be 32%. Conversely, the proportion of frequent poultry eaters is 70% and frequent meat/pork eaters is 67%.
However, when shoppers were presented with the prospect that prices for all the major proteins are the same, they were most likely to select seafood, followed closely by beef and then chicken. Crabs, lobsters, oysters and mussels, specifically, are preferred over fish or shrimp.
The share of households buying seafood remained stable overall at 89% in 2024. The share of households buying fresh seafood rose slightly, up 0.4% in 2024, while frozen seafood declined 0.2% and shelf stable rose 0.8%.
Lack of knowledge about food waste is an impediment to seafood consumption, FMI said. Regardless of frequency of seafood consumption, 55% of consumers say they limit their seafood consumption due to concerns about keeping it fresh and not wasting food. And 44% say their lack of knowledge about how to buy or select seafood makes them hesitant to purchase seafood.
“Many shoppers note that a lack of knowledge about how to prepare or buy/select seafood makes them hesitant to purchase seafood. This, coupled with the many shoppers who say they limit their seafood purchases due to concerns about keeping seafood fresh and food waste point to shopper education opportunities,” the report said.
Cause for optimism
While there was a seafood sales drop in 2024, dollars and unit sales of fresh seafood have surged over the past five years, hiking up 30.7% in dollars and 12.4% in units. Plus, when seafood is in the shopper’s basket, the average dollar spend is more than twice than when it is not — $103 versus $47.
“By a number of measures, frequent seafood shoppers ($100,000 annually) are desirable food shoppers for retailers. They have higher incomes, are more educated and have larger families that often include children,” the Power of Seafood report said.
And the healthy halo still shines over seafood, the report found.
“One thing that most shoppers, regardless of how often they eat seafood, agree upon is that seafood is healthy and good for them. Shoppers associate seafood with being a high-quality protein, being heart healthy and containing healthy fats, along with supporting brain and mental health.”
Beyond promotion, food retailers have an opportunity to lean into the health aspects of seafood, according to Rick Stein, vice president, Fresh Foods at FMI.
“Eating nutritious and healthy food options continues to be a focus of many Americans. For example, informing shoppers about the omega-3 fatty acid benefits of salmon or how the Dietary Guidelines recommend adults have at least two servings of seafood a week can help shoppers meet their health and well-being goals.”
Many more shoppers are preparing meals at home since the start of the Covid-19 pandemic, which presents an incredible opportunity for retail seafood sales growth. The majority of seafood is prepared and eaten at home, but many seafood consumers use traditional and familiar preparation methods for the same few species they regularly purchase, the report found.
Providing seafood recipes, preparation guidance and meal ideas can turn retailers’ seafood department into a go-to resource for shoppers, Stein said.
Additionally, incorporating more deli/foodservice seafood and sushi into hybrid meals also present opportunities for seafood.
Where shoppers are buying seafood
Seafood shoppers who said a traditional shelf stable store is their primary seafood store is virtually unchanged at 37%, while 28% say supercenters or discount stores (versus 23% last year), and 12% say club stores. However, 23% of shoppers say a diverse mix of other types of stores — including seafood specialty, limited assortment, natural, ethnic, and online retailers — is their primary seafood store.
Thirty-eight percent continue to say their primary store for groceries is not the same store as their primary store for seafood purchases. In fact, only one-third of seafood shoppers (35%) purchase all their seafood from their primary seafood store, which means that about 65% shop for their seafood at more than one store.
Most frequent seafood shoppers (77%) say their primary grocery store has a seafood counter and 83% of frequent seafood consumers say it is important that their primary seafood store has a seafood counter.
“If we look at the profile of the seafood consumer, we see that they tend to have larger baskets than the average consumer. A full-service seafood counter helps attract seafood shoppers, so the whole store wins, not just the seafood department,” Stein said.
When choosing a primary seafood store, price (50%), quality/freshness (47%) and good/friendly service (34%) are most important. While seafood shoppers compare prices, quality remains their top priority in the decision-making process, surpassing price, FMI said. “Shoppers today have an expanded definition of value beyond price and quality to include convenience, experience and relevance,” Markenson said. “When it comes to seafood selection, product quality is the most important factor in purchase decisions, followed by taste and flavor. Freshness and smell/odor, attributes associated with quality, also impact shoppers ’seafood purchase decisions,” he said.
The majority of consumers (72%) list freshness as the most important attribute, followed by smell/odor (64%), how quickly seafood goes bad (57%), and whether or not their family will like it (57%). Other important attributes when purchasing seafood include: mercury content (52%), product of USA (44%), wild caught (39%), country of origin (38%), certified sustainable by a third party (37%), traceability (36%), and sustainability claims (34%).
Effectively showcasing quality comes down to product transparency, according to Stein.
“Displaying where and when the seafood item was caught helps convey to shoppers the quality or freshness.”
Additionally, retailers shouldn’t underestimate the value of a knowledgeable seafood counter associate who can offer details about different species, preparation suggestions and meal ideation, according to Stein. “A friendly and informed seafood associate can make all the difference in ensuring a strong experience for seafood shoppers,” he said.
“Because of the vast array of seafood species offered these days, a seafood associate has a lot to learn. Still, if it’s done right, they can be an incredible asset in customer service, educating shoppers about sustainability and preparation and helping build loyalty for your store and seafood department among shopper,” Stein said.
In addition to providing information, shoppers believe that seafood counters should provide services such as special orders (38%), steaming (37%) or peeling (32%).