Industry Insights

Due to its perception as a premium and special dining option, seafood has long served to help differentiate menus, and as a result it is the only major protein that has higher sales in restaurants than in retail supermarkets for at-home consumption. Keeping our pulse on the evolving menu trends in seafood is critical to FPI not only to help us with our new product development plans, but also to make our sales team a more helpful consulting resource in working with our customers to craft winning menu strategies. FPI subscribes to a number of foodservice sales and menu information services (NPD Crest, Mintel) and also conducts custom research to stay on top of the trends and insights that are driving seafood menu activity today.

Here's a snapshot of some recent seafood trends that we found interesting and informative:

Seafood is Healthy—And People are Eating Seafood in a Healthier Way

Seafood is low in fat and sodium, high in protein and rich in nutrients like Omega-3s, so it has always enjoyed a halo of healthy eating. In the last year, people are ordering seafood in increasingly healthier preparation styles as well. Specifically, The NPD Group estimates that consumers ordered 3.4 billion servings of seafood in restaurants last year, which accounted for about 6% of all restaurant orders nationally across all dining segments. Interestingly, fried fish has been declining in overall orders while non-fried fish, which includes healthier preparation styles such as broiled, grilled, seared and roasted, has been growing. This is consistent with a lot of new menu activity we have been seeing (more below) where the traditional fish and chips style fried-fish dinner is transitioning to more upscale seafood treatments.

Seafood isn't just "Fish for Lent"

There is still a perception for many operators that they just need to worry about fish menu options and specials on Fridays during Lent. While Lent is traditionally a period of high interest for seafood and Friday is a strong dining out night, recent NPD research highlights the fact that consumers order seafood every day of the week. What's more, consumers order seafood as much in the summer and holiday periods as they do during Lent. Specifically, Friday leads the dining week in terms of seafood interest at 22% of all seafood orders, but the weekend comes in strong at 35% across Saturday and Sunday. The remaining 43% of orders are during Monday through Thursday, so seafood is desired every day by diners. And while the first quarter of the year indexes 15% higher than average in terms of seafood consumption, the summer is equally strong as vacationers choose seafood options and the holidays drive another spike in seafood orders.

Seafood is Really Two Menu Categories, not One

Seafood is made up of two major protein and menu segments: shrimp/shellfish and fish—and savvy restaurateurs recognize this and act accordingly. NPD estimates that 37% of all seafood orders are for fish entrees, while a similar 34% of all seafood orders are for shrimp dishes (both appetizers and entrees). Thus, operators who focus on only fish or only shrimp versus both categories are missing out on a significant percentage of overall diner seafood interest.

Seafood is "From Somewhere," Accentuating Regional-Cuisine Interest

Every year Americans embrace ethnic and regional cuisines more and more. Consumers are also more attuned to food concepts such as the value in local eating, sustainability and authenticity/"clean" ingredients. Unlike a lot of other protein choices, seafood typically comes from a defined region of the globe, allowing operators to leverage the provenance aspect of a dish for greater appeal. Here's a sampling of recent seafood options from various restaurants that leverage these trends:

Classic Baja Fish Taco—El Pollo Loco®
Louisiana Spice Rubbed Char-Grilled Shrimp—Dave & Busters®
Firecracker Shrimp with Asian Slaw—T.G.I. Fridays®
Bar Harbor Lobster & Shrimp Trio—Red Lobster®
Beer-Battered Alaskan Cod—Elmer's®
Key West Fish Tacos—Bahama Breeze®
Tilapia Vera Cruz—Casa Olé®

Seafood is Good for Operators' Topline and Bottom Line

Some of our research insight points to the positive profitability role that seafood can play for operators that aggressively embrace multiple seafood menu selections. Seafood dishes typically generate a premium topline for operators compared to other protein dishes. Specifically, in casual dining, the average seafood restaurant yields a check that is more than $2 higher than steak or bar and grill concepts. And orders that contain seafood have a much higher incidence of premium beverage accompaniments/alcohol, which carries a high margin for most operators.