Meat and Fish

Industry Snapshot

There are an estimated 12,450 meat and fish (seafood) markets in the United States, according to a 2009 D&B Marketing Solutions report. Meat markets, including freezer provisioners, are the dominant types of retail establishments found in this classification, with 6,511 retail outlets. Meat and fish markets consisted of 2,282 establishments, followed by fish and seafood with 1,782 establishments. Combined, they generated approximately $4.2 billion in sales and controlled about 83 percent of the overall market value of $5.1 billion. States with the highest number of establishments were California with 1,589; New York with 1,567; and Texas with 943.

The majority of these establishments are small, employing less than five people. According to Dun & Bradstreet, during the late years of the first decade of the 2000s, 9,253 markets had fewer than 5 employees; 1,917 had between 5 and 9; some 889 had between 10 and 24; another 183 had between 25 and 99; 21 had between 100 and 499; and two establishments had more than 500 employees. The total number of employees was 60,202. Establishments with less than 10 employees accounted for nearly 90 percent of all businesses and 58 percent of industry revenues.

While most industry leaders post sales in the billions, sales of individual companies in this industry are much lower than companies in related industries. Industry leaders include Murry's Inc. of Upper Malboro, Maryland; Detroit-based Cattleman's Inc.; and American Frozen Foods Inc. of Stratford, Connecticut. Average annual revenues for establishments with 100 or more employees was approximately $23 million.

The retail meat and fish market industry, like other retail food markets, experienced a steady downsizing throughout the early to mid-1990s, due in large part to competition from supermarkets, superstores, and wholesale clubs that catered to consumers' desire for one-stop shopping and low prices. Total sales for this industry fell from $6.05 billion in 1993 to $5.97 billion in 1996. Since then, however, sales remained relatively steady through much of the first decade of the 2000s before declining again in the late years of the decade. The number of retail meat and fish markets shrunk steadily since the 1990s. There were 27,788 markets in 1993; by the late years of the first decade of the 2000s, that number had been cut in more than half.

Independent meat and fish markets face continued competition from supermarket chains and superstores. The recession of the late years of the first decade of the 2000s did little to help independent butchers and fish markets or suppliers of meat and fish to retail vendors. Consumers, looking to conserve funds, ate out less, thus the demand for meat and fish products by restaurants, hotels, and other venues that purchase from meat and fish suppliers declined. Consequently, business picked up at the meat counters in grocery stores and discount centers. However, the increased retail sales of meat and fish did not translate to independent butchers and fish markets. Merrill Shugoll, of Shugoll Research told Supermarket News in March 2009 that the drop in business was expected. "Traditional grocery stores are very close to where shoppers live, and they have access to a lot of variety. . . . They're just going where they can do everything at once, and as long their grocery store has good sales, customers are keeping up their frequency of shopping there." Nonetheless, meat and fish markets, once a mainstay on the American landscape, continued to fill a niche by providing top-quality service and products. For example, these markets are much more likely to be able to trace the source of their products, provide specialized cuts or products, and offer advice to shoppers.