Market Overview:
Seafood broths are made by simmering different types of seafood ingredients such as fish, shrimp shells, lobster shells along with aromatic vegetables to extract flavor and nutrition from seafood. Seafood broths are gaining popularity due to their high protein and mineral content.
Market key trends:
The seafood broth market is witnessing high growth owing to rising health consciousness among consumers. Seafood broths are considered more nutritious than vegetable or meat broths as they are rich sources of protein, vitamins and minerals. They contain essential nutrients such as iodine, selenium, zinc and omega-3 fatty acids which offer various health benefits. Moreover, seafood broths provide more depth of flavor than vegetable or meat broths. The rising trend of using flavorful broths as bases for healthy homemade soups and dishes is fueling the demand for seafood broths. Manufacturers are focusing on developing organic, non-GMO and gluten-free seafood broth products to cater to the changing preferences of health-conscious consumers.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate as the seafood broth market requires high initial investments and has well established players. However, opportunities for specialized and organic broth products provide scope for new entrants.
Bargaining power of buyers: The bargaining power of buyers is high given the presence of multiple national and private label brands. Buyers can negotiate on price easing pressure on margins.
Bargaining power of suppliers: Seafood supply is concentrated among a few fishing nations increasing suppliers’ bargaining power. Suppliers influence price and availability of raw materials.
Threat of new substitutes: Threat from substitutes like vegetable and meat broths is moderate as seafood broths have distinctive taste appealing to seafood lovers.
Competitive rivalry: Intense competition exists between established brands on pricing, product differentiation and marketing.
The global Seafood Broth Market Demand is estimated to be valued at US$ 748.6 Mn in 2023 and is expected to exhibit a CAGR of 3.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
SWOT Analysis
Strength: Robust product portfolio and market leadership of Campbell Soup Company. Strong brand awareness and loyalty for Nestle and Kraft Heinz brands.
Weakness: Seasonal availability and price volatility of key raw materials like fish and shellfish increases production costs. Vulnerability to climate change impacts on seafood supply.
Opportunity: Growing health consciousness and clean label trend favors natural, low sodium broth options. Rising usage of seafood broths in Asian cuisines boosts demand.
Threats: Threat from imitation and private label products. Economic slowdowns reduce disposable incomes and demand for premium broths.
Key Takeaways
The global Seafood Broth Market is expected to witness high growth, exhibiting CAGR of 3.9% over the forecast period, due to increasing popularity of seafood cuisines globally. The U.S is expected to dominate the seafood broth market over the forecast period. The U.S seafood broth market accounted for largest market share in 2023, reaching US$ 307.3 Mn. This is attributed to growing seafood preference among American population coupled with high consumption of broths.
Asia Pacific is the fastest growing region in the seafood broth market registering CAGR of 4.4% during the forecast period. Rising middle class population, higher disposable incomes, and affinity for seafood flavors drive demand. Emerging seafood loving economies like China, Japan, and South East Asian countries offer immense opportunities.
Key players operating in the seafood broth market are Campbell Soup Company, Nestle S.A., The Kraft Heinz Company, Pacific Foods of Oregon, Bar Harbor Foods, BUMBLE BEE Seafoods, More Than Gourmet, Kettle Cuisine, Bonafide Provisions, College Inn. The major players are focusing on new product launches, facility expansion and mergers & acquisitions to strengthen their market presence.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
