reLAKSation 203.

It’s a different product: Last week, the BBC’s ‘Full on Food’ TV programme included a feature on salmon. This demonstrated how the views of the most knowledgeable foodies are riddled with preconceptions and how little they really know about farmed salmon. Chef presenter Richard Corrigan of the Lindsay House restaurant in London had only ever cooked with and eaten wild salmon and believed that all farmed salmon were only fit for the bin.

Mr Corrigan visited his native Ireland in an attempt to compare wild salmon with fish that had been farmed organically. Having waxed lyrical about wild salmon, he was unable to actually catch one. He eventually resorted to showing the camera one that had been caught earlier. Viewers were told how wild salmon were sleek and muscular and that unlike their farmed counterparts, the colour of wild salmon could vary. Clearly, they hadn’t seen the variation in colour that occurs in farmed salmon, sometimes noticeable in different packs on the same supermarket shelf.

Mr Corrigan then went off to visit the organic salmon farm at Clare Island and was surprised by what he saw. Perhaps, he was expecting to see something more akin to an intensive broiler unit? He clearly had no idea how salmon were farmed. He asked whether organic salmon were considered to be comparable to wild and was told that the two were different, meeting different consumer needs.

We, at Callander McDowell believe that this was the most important point to come out of this programme. Farmed salmon provides the wider market place with a value for money everyday meal choice. Consumers are now able to eat a healthy meal made from salmon whenever they want. If we only had access to the wild fish, then it would be available only as a special treat. In terms of taste, a wild fish that has foraged for its food, may be superior, but that doesn’t make farmed fish any less desirable to consumers. The problem for the industry is that chefs like Mr Corrigan are too dismissive of farmed salmon and their preconceptions are too readily adopted by the wider market place.

In this case, Mr Corrigans preconceptions were shown to be unfounded. He was really surprised when he eventually ate the Clare Island salmon he had prepared. He even said that he would be willing to put it on his restaurant menu, as organic salmon. When asked if it was as good as wild salmon, he replied that it was a different product. This was certainly an about face. Earlier he had said when you walk down the aisles of the supermarket and see all that prepackaged salmon, looking slimy, in these hermetically sealed little plastic boxes, then you see something that I wouldn’t want to bring into my restaurant. He failed to realise that when told that Clare Island sell their fish to over 400 UK supermarkets, they reach the consumer in the same prepacked hermetically sealed little plastic boxes. This is exactly the same salmon that he will now be willing to bring into his restaurant.

Of course, Mr Corrigan is no different to any other consumer. What they say and what they do is often two different things. This week, salmon was no-where to be seen on the menu at Lindsay House, irrespective of whether it was wild or organic. 

It's different!: An IntraFish editorial asks whether IKEA can do for salmon, what it did for furniture? The conclusion is that if the company stays true to form, that IKEA could make seafood and salmon a more global phenomenon, however, we at Callander McDowell are not convinced.

The editorial was prompted by the announcement that IKEA are to launch a range of private label product. The first product is made with herring and has already appeared in its Swedish food markets. Managing Director of IKEA Foodservices, Jan Kjellman said that the idea behind putting an IKEA label onto food products is pretty basic private label logic. He said that that outside Sweden, not many people know Swedish brands so that the average non-Scandinavian consumer might respond better to an IKEA salmon than one from Leroy. He added that there are other private label considerations such as competitive pricing and brand recognition. Mr Kjellman believes that the blue and gold IKEA logo is well known and could probably make any number of items sell at higher volumes.

Certainly, the IKEA brand is well known but in our view a high brand recognition is no guarantee to increased sales. The problem for IKEA is that their food outlets are contained in their furniture stores. Most people who purchase items of Swedish food from IKEA have usually just eaten in the IKEA restaurant and in common with the experience of holiday makers returning from foreign travel, IKEA customers often buy something to take home. The fact that the product has an IKEA brand or not is irrelevant. The challenge is to persuade these customers to make a repeat purchase. This is not easy, simply because the products are only available through IKEA food outlets. The IKEA shopping experience is actually something of a nightmare because of the volumes of shoppers. This is an experience that many customers are prepared to bear because it is usually a one off as buying furniture is not a regular shopping trip. It is unlikely that many customers would be willing to repeat the experience just to buy food.

With the launch of their own food brand, IKEA could try to widen their potential market by supplying their products to the existing supermarket network. The problem is that whilst IKEA have brand recognition for furniture, they might find it much more of a challenge if they had to compete with existing food brands as well as against supermarkets’ own label. IKEA need to offer something extra to attract customers as well as overcoming possible resistance to Swedish dishes. We, at Callander McDowell are not sure if the blue and gold logo is enough.

Huon and on and on: Seafoodintelligence.com report that Huon Aquaculture has taken over Springs Smoked Seafoods with the intention of creating Australia’s largest privately owned integrated ‘gate to plate’ salmon business. Springs Smoked Seafoods products are sold in more than 700 supermarkets and the company also supplies products for Qantas in flight meals.

Whilst salmon farming companies in Norway are busy consolidating production through mergers and acquisitions to produce ever larger production companies, Huon Aquaculture has shown that there is more to the salmon business than producing large quantities of raw salmon flesh. Whilst, Huon are not the first company to go down this route, they provide a timely reminder that salmon prices will not remain high for ever. Falling prices will mean that margins will be put under increasing pressure so the opportunity to seek elsewhere in the supply chain will become an increasingly attractive option.   

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