20 minute read

Ocean Health Is Wealth

RETAILERS AND PRODUCERS CAN CAPITALIZE ON CONSUMERS’ PREFERENCE FOR ECO-FRIENDLY SEAFOOD.

By Bridget Goldschmidt

s consumers have grown more concerned about the health of the environment in the face of climate change, the issue has extended from how landbased foods are produced to those of the world’s oceans. According to 2020 research from Stockbridge, Mass.based consultancy Changing Tastes, most American consumers are worried about the effect of ocean health on fish and seafood, with a majority now concerned about heavy metals, plastic contamination and radiation in their fish and seafood, as well as the use of forced labor and antibiotics. The research found that these issues are now of greater importance than overfishing, which is still a concern for more than eight out of 10 adults.

This year, a substantial 68% of respondents to a survey fielded by The Stop & Shop Supermarket Co. said that they take into consideration where their seafood comes from before making a purchase.

In response to these concerns, the Quincy, Mass.-based grocer, a banner of Ahold Delhaize USA, has developed a sustainable seafood program encompassing an annual local seafood initiative that brings in an assortment of fresh catches from well-known area seafood purveyors.

“Stop & Shop is committed to sourcing only seafood from fisheries and farms that are well managed to ensure that fish populations remain healthy,

Stop & Shop's sustainable seafood program encompasses an annual local seafood initiatiave that brings in an assortment of fresh catches from wellknown area seafood purveyors.

Key Takeaways

Ocean health is an increasingly important consideration for consumers when buying seafood. Confusion about terms and processes still lingers for many shoppers, however, and with most food retailers offering sustainable seafood programs, grocers can find it a challenge to differentiate their individual initiatives. To further engage consumers, retailers need to tell the stories of those who supply the seafood, encourage the consumption of a wider variety of species, and offer more education across various media.

and fishing and farming methods have a minimum environmental and social impact,” notes Beth Grant, the chain’s seafood category manager. “All seafood we sell, whether it is fresh, frozen or canned, must meet important sustainability criteria.”

Grant adds that Stop & Shop recently joined the Ocean Disclosure Project (ODP), a public platform from the Honolulu-based Sustainable Fisheries Partnership that enables transparency between businesses and their customers regarding seafood origins and sourcing. On the platform, the supermarket voluntarily reports its seafood sources, adding another layer of transparency to its comprehensive seafood policy.

“While Stop & Shop’s existing policy ensures that its seafood is only sourced from sustainable and traceable fisheries and farms, working with the ODP makes information on the original sources of Stop & Shop’s private label and wild-caught seafood available to customers,” explains Grant.

Stop & Shop also works with the Gulf of Maine Research Institute, a Portland, Maine-based nonprofit that helps to assess whether seafood items entering the grocer’s stores meet the criteria set forth by its seafood policy, among other seafood sustainability moves.

Combating Confusion

Such programs are a major step toward allaying consumers’ fears of purchasing seafood that could be detrimental to ocean health, but confusion still lingers for many, even those who want to do the right thing regarding seafood.

During a recent panel held by Armonk, N.Y.-based IBM on the occasion of World Oceans Day, which occurred on June 8 of this year, consumers’ lack of knowledge about farmed fish, and their subsequent wariness regarding items produced through aquaculture, was among the topics raised. That, of course, is hardly the only seafood issue on which consumers are underinformed.

“Labeling, certifications and overall seafood education can be really confusing,” affirms Brett Veerhusen, principal for Ocean Strategies, a Seattle-based public affairs firm specializing in seafood and maritime industries, and a lifelong Alaskan fisherman himself. “U.S. fisheries are some of the most sustainably managed fisheries in the world. Simply put, buying American means buying sustainable. America’s fisheries are managed under the Magnuson-Stevens Act (MSA), which supports science-based management of our ocean resources. Using fishery health as an ocean health benchmark, the U.S. is scoring an A- because 91% of our fisheries are not experiencing overfishing. Retailers who source locally and domestically — and talk about it — are helping our oceans and fishermen, and sharing that commitment with consumers.”

To combat this confusion, Veerhusen suggests introducing shoppers to the men and women who provide their seafood. “People want to connect to the

Brett Veerhusen (far left) encourages grocers to highlight the work of his fellow American commercial fisherman to promote sustainable seafood products.

human story behind the meal, especially if they’re paying a premium,” he observes, “and when it comes to telling the seafood tale, from adventure to stewardship, nothing beats hearing it from the harvester. Grocers can highlight American commercial fishermen — in digital, print or at the counter — and let these natural storytellers educate consumers on not only the product’s origin story, but also the company’s sustainability commitments, and what that means for people, the ocean and the fish. Visible partnerships with regional and national fishing organizations are another great way to demonstrate that commitment, and how harvesters, suppliers and retailers are connecting on good practices.”

“As consumers value health and sustainability, they also value supporting their local community,” agrees Jessica Miller, a registered dietitian and nutrition communications manager at the Seafood Nutrition Partnership, an Arlington, Va.-based nonprofit dedicated to building awareness of the health and nutritional benefits of seafood. “Share where the seafood is from and the fishermen who harvested it. Show the faces of local fishermen, fish farmers and seafood-harvesting families, and tell their stories. Engage the marketing team, store-level team and dietitian team to amplify these stories. Don’t let someone else tell your story!”

After all, as Miller notes, “Customers want products that align with their personal values and are willing to pay more to support companies, fishermen and farmers that care about their health and follow eco-friendly practices.”

Make Waves in the Seafood Section

But with about 90% of U.S. retailers having seafood sustainability programs in place, according to the Conservation Alliance for Seafood Solutions, how can an individual retailer really drive that message home for shoppers? Miller believes that “the best place to start is to highlight the hard work already done by seafood category managers to bring sustainable seafood to shoppers.

“Unfortunately, the amazing progress that has been made with sustainable seafood has not been shared effectively with shoppers,” she points out. “Posting sustainable seafood programs and policies on grocer websites is just the first small step. Retailers should actively provide education to the public. Grocers have access to social media channels, websites, news segments and even a captive audience in the aisles. Using these methods to provide customer education is important and a good way to reinforce the retailer’s credibility.”

In the stores, retailers can use signage in the seafood department to tout their policies, and they should encourage shoppers to ask questions and empower staff to answer questions on seafood sustainability.

“Grocers can use in-store registered dietitians (RDs) to help convey key messages,” advises Miller. “RDs are seen as credible food professionals and can be helpful in spreading awareness about the health, nutrition and sustainability information of seafood. Try a Facebook or Instagram Live with the seafood counter; create messaging and signage for the fresh, frozen and shelf-stable

“Grocers can highlight American commercial fishermen — in digital, print or at the counter — and let these natural storytellers educate consumers on not only the product’s origin story, but also the company’s sustainability commitments, and what that means for people, the ocean and the fish.”

—Brett Veerhusen, Ocean Strategies

Unique value-added products like salmon hot dogs from Kvarøy Arctic can create further interest in sustainably produced seafood.

best sustainable fishery

Alaska Alaska Seafood Alaska Fisheries

AlaskaSeafood.org

departments; write informational blogs for your websites; [and] share why seafood is healthy to eat and how to buy sustainable seafood,” among other strategies to boost the visibility of a sustainable seafood department.

Sustainability-Centered Products

New seafood products that take ocean health into account include The Kingfish Co.’s Dutch Yellowtail, which recently made a successful debut at Whole Foods Market stores across the United States. The fish are produced through land-based aquaculture, which has a minimal impact on the ocean.

“Land-based aquaculture promotes healthy marine ecosystems and marine wildlife in several ways,” explains Ohad Maiman, CEO and founding partner of The Kingfish Co., which is based in Kats, Zeeland, in The Netherlands. “It stimulates the recovery of marine systems with no bycatch, no bottom/habitat disturbance during harvest, and the monitoring and management of waste. This model allows us to produce a sustainable protein using renewable energy, without disturbing our ocean’s welfare.”

“At Kvarøy Arctic, we recognize the fact that we have to be stewards of continuous improvement,” says Jennifer Bushman, strategic development officer at the company, which operates on its namesake Norwegian island and produces the first-ever farmed finfish to be Fair Trade USA certified. “Every decision stems from a deeply rooted commitment to protect the planet for future generations. Outside of the work that we have ongoing to improve on our farm through technology, innovation [and] recyclable packaging, we recognize that we must develop products beyond the center-of-the-plate salmon fillet.”

To that end, Kvarøy has developed value-added products that “help us to reach more consumers [and] bring access to salmon products in places that need it most, at a price point that is more affordable,” continues Bushman. “This means utilizing more trim and scrape meat, lowering food waste, and developing more frozen options. The Kvarøy Arctic Hot Dogs and Burgers, along with our frozen retail club packs, make it possible to have fish and seafood on hand while delivering a weekly allowance of omega-3s in every serving.”

According to Bushman, the newly released value-added items are already a hit: “Sales have been building, and the demand for the products is growing. The hot dog is the only hot dog made from salmon on the market, and it tastes like a hot dog.”

The company’s marketing endeavors include “a huge social media campaign with influencers across the country,” she notes. “We have also partnered with grocers to launch mobile campaigns to their online shoppers, email blasts, and coupon programs to support trial.”

“Scotland is an acknowledged global pioneer in sustainable fishing methods, holding more Marine Stewardship Council (MSC) accreditations than most other EU countries,” asserts Clare MacDougall, head of trade marketing, U.K. and North America for Seafood From Scotland, based in Newbridge. MSC, a London-based nonprofit, recognizes and rewards efforts to protect oceans, and safeguards seafood supplies for the future.

Current efforts to boost the visibility of the country’s seafood include introducing Scottish seafood products to retailers and foodservice buyers via sample boxes of species such as salmon, steelhead, crab and langoustine, the first of which is timed to go out around the July 4th holiday, while a microsite, launching this year, will enable direct access to Scottish seafood products and highlight Scotland’s long-standing reputation as a leading sustainable seafood nation.

At the store level, a Seafood From Scotland point-ofsale materials pack is available for refrigerated doors and seafood counters, as well as videos highlighting the quality, provenance and sustainability of Scottish seafood, and various recipe cards and books that retailers can feature on their own websites for download.

Additionally, Scotland’s producers have recently ramped up efforts to bring certain species to U.S. consumers in response to higher consumption of seafood in all formats.

“Scottish cod, haddock and other whitefish species will be increasingly on retail counters and on menus in 2021, with value-added breaded products seen in frozen cabinets as well as fresh on counters,” predicts MacDougall.

“Retailers can keep fish stocks healthy by encouraging consumers to eat a wider variety of seafood and buying seasonally from reputable suppliers.”

The Kingfish Co.'s newly introduced Dutch Yellowtail is produced through land-based aquaculture, which has a minimal impact on the ocean.

Swimming Forward

As retailers continue offering sustainable seafood, what should they be doing to further improve ocean health and ensure that the issue remains front and center for consumers?

“Retailers can keep fish stocks healthy by encouraging consumers to eat a wider variety of seafood and

For Sustainable Seafood, Ask for Alaska

Diving into sustainability with Monica George, Head of Retail Marketing, Alaska Seafood Marketing Institute

To learn more about consumer preferences in the seafood category, Progressive Grocer reached out to Monica George, head of retail marketing for Alaska Seafood Marketing Institute (ASMI). Here, she takes a deep dive into the category, sharing information about why sustainable seafood from Alaska is a call-to-action that can empower supermarkets that promote it.

Progressive Grocer: What is the definition of Sustainable Seafood?

Monica George: Understanding seafood sustainability can be a bit confusing. By definition, it’s seafood that is responsibly managed to exist long-term without compromising the survival of the species or the health of the surrounding ecosystem. Truly sustainable seafood is the most environmentally efficient source of protein on the planet. So, how can retailers counter any confusion and make sure what they’re buying is truly sustainable? Looking for Alaska Seafood is the easiest way to guarantee they’re getting wild and sustainably caught seafood. Here’s why: Wild seafood is one of Alaska’s most precious resources — our state goes to great lengths to ensure its continued abundance.

Sustainable fishing has been the law in Alaska since 1959, when Alaska became the only state with sustainability written into its constitution.

In fact, Alaska has never had a species on the endangered species list because we always prioritize the ecosystem’s needs over the harvest.

PG: How do Alaska’s fishermen decide how much fish to catch?

MG: Alaska is a pioneer in applying science-based, sustainable, responsible fisheries management practices and catches far less than what’s allowed. The Alaska groundfish fishery is one example of this precautionary approach to setting harvest levels. Scientists calculate the Acceptable Biological Catch (ABC) — the maximum number of fish that can be sustainably caught. Fishery managers then set the Total Allowable Catch (TAC), which is even lower than the ABC. For retailers looking to further verify Alaska seafood’s sustainability, Alaska’s commercial fisheries are independently certified sustainable by the Responsible Fisheries Management (RFM) Certification program — one of the rare certifications with zero logo licensing fees!

PG: Why should grocery retailers make sustainable products an important component of their seafood offerings?

MG: Consumers’ consumption of seafood and their preference for sustainably sourced products both are rising.

Nearly half of all consumers are trying to increase their seafood consumption — a fact that’s having a very positive impact on sales across seafood aisles. In

UNPRECEDENTED GROWTH IN 20201 2020, the seafood department was a leader in the growth of grocery sales with an increase nearly 30 percent stronger than sales in meat, produce, deli and bakery.

Also, 78 percent of consumers said the fact seafood is sustainably sourced and environmentally friendly were “Motivators To Choose Seafood Over Other Proteins When Grocery Shopping.1”

Not only are customers more likely to purchase seafood when they see the Alaska Seafood logo; they also have a more positive perception of the grocery store overall because it is a sign it sells high quality seafood2 .

76%

of consumers believe when a store features the Alaska Seafood logo that store supports SUSTAINABLE FISHERIES2

12021 FMI Power of Seafood Report/NielsenIQ 2 Datassential 2021

To find out more about Alaska Seafood, or to find resources to help build successful promotions, call 800-478-2903 or visit alaskaseafood.org/retail.

buying seasonally from reputable suppliers,” says MacDougall. “Educating consumers on both diversity of seafood and ways to cook and prepare, and, importantly, encouraging frequency are all ways that oceans remain healthy and diverse.”

“The farming of fish, seafood, seaweed and kelp, and even corals, is not only going to provide a nutritious, affordable protein with a lower carbon footprint, but will also help us replenish wild fish and seafood populations, and even contribute to the health of our waters,” notes Kvarøy’s Bushman. “To get there, we need to all work together,” including environmental activists, chefs, culinary leaders, aquaculturists and retailers.

According to Ocean Strategies’ Veerhusen: “There are three clear steps for retailers to support ocean health and responsibly caught seafood: First, the MSA is up for reauthorization, meaning the law that governs our federal fisheries can be amended through a public and transparent process. Retailers should pay attention and weigh in on proposed policies impacting seafood sustainability and access. Second, educate consumers on your sustainability commitments. It’s difficult to unlearn what you’ve learned, and broad education can have a positive ripple effect to the greater population. Finally, partner with commercial fishermen. Waking up to harvest an American public food resource gives us a great sense of pride, and we love to tell that story.”

For Consumers, Ocean Health and Personal Health Are Linked

RETAILERS MUST PAY ATTENTION TO THIS GROWING TREND AND ITS REPERCUSSIONS

Ocean health is a growing concern for many consumers when it comes to purchasing seafood, but another factor is the connection that consumers make between a better environment and their own health.

“There is a strong link between ocean health and consumers’ personal health,” asserts Jessica Miller, a registered dietitian and nutrition communications manager at the Seafood Nutrition Partnership, an Arlington, Va.-based nonprofit dedicated to building awareness of the health and nutritional benefits of seafood. “Choosing sustainable seafood is one of the most effective ways to protect our oceans and the species that depend on the ocean’s fragile ecosystem. From an environmental health standpoint, diets that include seafood have a lower impact on our climate. So, what we eat matters, and consuming sustainable seafood is both good for our health and good for the planet’s health.”

“The ocean is integral to feeding the world’s population, and the food we take from the ocean is only as healthy as the water it swims in,” explains Ohad Maiman, CEO and founding partner of The Kingfish Co., a fish farm based in Kats, Zeeland, in The Netherlands. “Therefore, if the ocean contains microplastics or chemicals, there is potential for them to travel up the food chain and become a part of a seafood consumer’s diet.”

In fact, aquaculture companies like Kingfish and Kvarøy Arctic are committed to improving the health of the ocean and people through their farming methods.

“The oceans and humans are interconnected, so much so that if we do not fight to maintain ocean health, it will affect the health of our species,” observes Jennifer Bushman, strategic development officer at Kvarøy, which operates on its namesake Norwegian island. “The … ocean needs to be healthy and well managed in order to be a healthy source of food. Ocean warming puts human health at risk as we see the growth of pathogenic microbes, pollution and algae toxins in our fish and seafood.”

Adds Bushman: “Kvarøy Arctic has been committed for nearly 50 years to champion what is an imperative in terms of contribution to the global food supply without compromising ocean health. There is always much to learn as the environment changes as a result of human activities. The open-source approach that we take on the farm and with our partners ensures that we are able to move quickly and create impact where we can. This creates a stronger bond between our customers’ health and the care that we must take of the precious waters that surround our home.”

Where seafood comes from can also have an effect on its healthfulness, according to Clare MacDougall, head of trade marketing, U.K. and North America for Seafood From Scotland, based in Newbridge. MacDougall notes that “salmon farmed in Scotland has … been found to have increased omega-3 levels compared with other salmon-producing countries, thanks to its optimal nutrient-rich environment.”

That connection between human and ocean health may not only affect consumer purchasing habits, however, but also U.S. policy in regard to the seafood industry – both of which should be on savvy food retailers’ radar.

In the words of Brett Veerhusen, principal for Ocean Strategies, a Seattle-based public affairs firm specializing in seafood and maritime industries, and a lifelong Alaskan fisherman himself: “Healthy ocean conditions not only provide … healthy, sustainable seafood, they’re part of the healthy-choices story — how Americans are shaping their future. The Biden Administration is increasing federal funding to understand ocean impacts from climate change and other environmental concerns, and understanding what this means for food security. Healthy seafood is a high and rising priority, from the fish counter to Congress.”

Tackling Food Waste: Good for the Planet, Good for Business

An interview with Johanna Småros, co-founder of RELEX Solutions, a leading supply chain optimization partner for grocery retailers.

Q: Why do you think food waste is one of the biggest problems for today’s grocery retailers?

We all know that food waste is a major global concern, and it has a significant impact on grocery retailers’ carbon footprints as well as their profitability. While grocers don’t share a lot of data on food waste, RELEX’s research suggests that North American retailers lose, on average, more than $70 million to waste each year, with the number going up to several hundreds of millions for the biggest retailers.

Food retailers are well positioned to make a global impact through their waste reduction efforts while also improving their bottom line. Although some have made great strides toward decreasing the amount of waste sent to landfills, the industry as a whole can do far more to prevent waste from happening in the first place. Retailers need to get serious about reducing food waste across the entire supply chain, which requires an investment in modern supply chain planning and optimization technologies like RELEX.

Q: What is the most impactful step retailers can take to reduce food waste?

The key to food waste reduction is highly accurate demand forecasts that ensure a food retailer will have the right amount of stock in the right place at the right time to meet customer demand. RELEX takes advantage of machine learning to capture the impact of hundreds of demand-influencing factors like seasons, holidays, local events, pricing, promotions, and cannibalization at the store, product, and day level—or even the intra-day level for products replenished several times a day.

Retailers using RELEX typically reduce food waste by 10-40% while maintaining, or even improving, on-shelf availability and perishable freshness.

Q: In what other ways does RELEX help reduce food waste?

demand forecasts, RELEX optimizes each store order to achieve the right balance between high availability and low risk of waste. The system incorporates factors like product shelf life, demand uncertainty, and the availability of substitute products to find the optimal order quantity that maximizes our customers’ profitability.

RELEX also helps retailers reduce food waste upstream in their supply chains.

Better visibility into consumer demand and store inventory needs makes it possible to increase stock turnover in distribution centers. It also enables retailers to spot the risk of overstock much earlier—before the goods are expiring. This gives them the opportunity to either push stock through their supply chains quicker, often with the aid of markdowns, or make charitable donations while the products still have appropriate shelf life left.

Q: Aside from the positive profitability and sustainability impact of food waste reduction, what other benefits can a grocery retailer gain from their technology investment?

in improved forecasting and replenishment is truly a gift that keeps on giving. The savings from food waste reduction are so significant that they more than pay for the cost of improving supply chain control.

The benefits don’t stop there, though. Improved visibility into demand and supply drives fresher product (a clear competitive advantage), higher operational efficiency (a benefit for retailers whose costs are increasing across the board), and the ability to free up capital from inventory (which enables further investments in sustainability).

For more information about how RELEX can help your retail business reduce food waste, improve your sustainability, and support your bottom line, please visit relexsolutions.com.

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