Shift in sales strategy boosts The Kingfish Company during COVID
The Kingfish Company is crediting a rapid pivot in sales strategy as one of the key factors that is enabling it to weather the pandemic.
In a press release yesterday the RAS producer also announced that its expansion projects in the United States and the Netherlands are running on schedule despite challenges posed by the pandemic.
Expansion of its production capacity at the Kingfish Zeeland site in the Netherlands, and design and permitting at the Kingfish Maine site in the U.S. are advancing as planned. The company is set to increase installed capacity from the current 1,250 tons to between 8,000 and 11,000 tons by 2023 across both sites.
“We are proud of our team for delivering sector-leading productivity figures that significantly exceed system design and maintaining stable sales volumes and price levels in 2020,” said Ohad Maiman, chief executive officer of The Kingfish Company. “This is a strong testament to our ability to adapt quickly and successfully to sudden market shifts, and for the benefit of operating our local, reliable, and sustainable production technology.”
The company has also maintained pre-COVID sales volumes and price levels through 2020, according to The Kingfish Company statement.
The “pandemic prompted swift action – product successfully shifted to retail and direct- to-consumer as restaurants were forced to close.” The company also “increased small fish in retail in Southern Europe.”
As a result, the company:
- Maintained an overall pre-pandemic sale run rate despite COVID-19 related restaurant closures.
- Maintained price stability throughout lockdown: Large fish EUR 13.3 per WFE kg and small fish EUR 9.3 per WFE kg average in 2020.
The Kingfish Company also reported:
- Production levels exceeded design level, achieving 677-ton production during 2020 in a system designed for 520-ton yearly production, 30 per cent above design level
- Sector-leading productivity score of 0.64 kg growth/m3/day in Q4 2020
- Biomass growth increased 45 per cent year on year
- 1,000,000 fingerlings produced in 2020, exceeding operational needs