Tuna should fit in well with current dietary trends. In today’s marketplace, protein consumption has been increasing due to the low-carb diet. Americans ate about 15.6 lbs. of seafood per person in 2003, up from 14.8 lbs. in 2001. Of that, 10.3 lbs. were fresh or frozen, 4.2 lbs. were canned and 0.3 lbs. were cured. While the fresh and frozen products experienced a 1 percent sales increase -- fish fillets and steaks actually increased by 3 percent -- there was a 10 percent decrease in canned products, according to the Commerce Dept.'s National Oceanic and Atmospheric Administration.
So why is the consumer not choosing canned tuna products at a time of increased protein consumption? Each of the major canned tuna brands is addressing this issue in different strategic ways.
Understanding the marketplace
Star-Kist dominates the U.S. retail tuna business with about 40 percent market share. Bumble Bee has 24 percent and Chicken of the Sea 18 percent, according to industry analyst Henk Brus in a June 13, 2002 report (see www.atuna.com).
The fish category overall has been driven by positive health news. But tuna has experienced flat sales since 1999, while other fish categories have grown. Mintel International projects slightly better times ahead, with sales of the canned tuna segment increasing 15 percent between 2004 and 2009, compared to 21 percent growth projected for the whole fish/seafood category.
The three major players have looked to generate growth in different ways. Star-Kist with its new parent Del Monte is intent on premium brandship and marketing. Its products are focused on flaked tuna in the pouch, and the company addresses consumer needs for flavors and convenience by meal kits with the flaked product, while leveraging a flexible supply chain.
Chicken of the Sea also has focused on flaked tuna in the pouch as well as other seafood offerings in the pouch.
|Bumble Bee Albacore Tuna Steak is available in three flavor varieties: Lemon & Pepper, Ginger & Soy and Mesquite Grilled for $2.99.
The pouch concept and flavored pre-marinated items are positively affecting the tuna category. A negative factor was the July 2004 lawsuit against Star-Kist, Bumble Bee and Chicken of the Sea that claimed their packaged tuna exceeds the level of methylmercury needed to require exposure warnings.
Nevertheless, Bumble Bee is putting high-quality albacore tuna steak in a convenient package. Consumers are seeking premium convenient foods that are available when they want them. Packaging provides an opportunity for consumers to provision these convenient foods in their pantry.
Our It!s Convenient and Crave It! processes integrate 30 or more conjoint studies to generate a database that can be used to understand the experience of foods. They tell us convenient seafood is about sauces, simply prepared fish, intense flavors, tasting freshly made and 100 percent natural. Craveable seafood is about tender meat, sauces, adding what you want, celebrating special occasions, only a hint of the ocean and premium quality.
The key attributes for convenient seafood are taste, appearance, aroma and price. The key attributes for cravable seafood are taste, aroma and mood. The convenient version must look good, the craveable version must be something the consumer is in the mood for.
Key trends in Seafood have been packaging/convenience, flavors and healthfulness.
Packaging/convenience: Seafood, starting with tuna, has used the pouch opportunistically to make this an easy-to-store, easy-to-open, easy-to-clean up food. This has enabled the manufacturers to raise the base price substantially and move the consumer from the mindset of “this is cheaper than cat food” to “this is a quality food.” The packaging also has reduced the amount of oil or water and enabled the fish to have a stronger “bite.”
In the preservation/retort step, the can had to be steam-pressure heated, which made the fish mushy. The pouch does not require the same level of heating, so the fish seems fresher with a flakier texture. This enables a fully cooked and seasoned tuna entree that is quick and easy to prepare — microwave for just 30 seconds, add a side dish and dinner is done.
Flavors: The addition of marinated flavors has enabled the category to provide choice to the consumer and reduce the fishy flavors even more.
Healthfulness: Fish has been known to be healthful for a long time, however, seemingly perennial mercury/PCB scares have resulted in some concerns. Bumble Bee’s focus on albacore tuna, the best type of tuna, has enabled the company to take advantage of the FDA’s comments that this fish is better than others for pregnant and nursing women. Tuna has high levels of omega-3 fatty acids, docahexaenoic acid (DHA) and other naturally occurring healthy nutrients.
Bumble Bee Albacore Tuna Steak is available in three flavor varieties: Lemon & Pepper, Ginger & Soy and Mesquite Grilled for $2.99. For our taste-testers and panels, we used the Mesquite Grilled variety.