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| Many sites aim at creating an online platform for trading with daily auctions. Combined with improved logistics, the marketplace has effectively widened and reduced the importance of country of origin. This is especially the case for frozen products where global sourcing is becoming increasingly the norm.The business-to-business sites also provide vastly improved access to information and many of the sites operate as information platforms with market and price information linked to the on-line trading capabilities.Distribution channels | | | | As with other goods, fish and fishery products must pass through distribution channels in order to reach the end-user or consumer. What makes fish and fishery products so special is the vulnerability of the products, given their limited shelf life. This leads to important requirements in terms of handling, quality and temperature control, as well as timeliness. | | | | Traditionally, the distribution channels in most import countries were characterized by a series of different levels such as importers, distributors, wholesalers and retailers as well as food brokers and agents, with each level performing a specific task. More recently, increased competition and improved logistics have shortened the chain in many markets with imported products often being bought directly by the wholesaler or by the retail chain operator. | | | | While this is especially the case for frozen, preserved and canned seafood, the distribution patterns for fresh and chilled seafood are also changing. The absence of branded fresh seafood also leads to easy substitution of product and of supplier. In fact, increased international trade in fishery products and expansion of free-trade areas have led to a proliferation of smaller operators on the wholesale level. In most countries, the larger wholesalers with national distribution have had to retrench to their core geographic areas. This trend, combined with the tendency of many large supermarket chains to buy directly from producers - especially aquaculture products - has led to an overall weakening of the seafood wholesaler and in many developed countries the category is clearly on the defensive. | | | | Numerous international studies document the increasing power exercised in food distribution by the retail chains. Despite the obvious negative consequences for suppliers and small retailers, the overall positive effects of modern retail channels includes lower prices.The successful formula of retail chains is a balanced mix of competitive pricing, large share of fresh produce and high quality standards obtained through narrow product specifications and modern logistics. These factors obviously also find favor with consumers. | | | | |
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