Ken Melanson is founder and chairman of Northern Wind, a 30-year-old New Bedford, Massachusetts-based off-loader, processor, and distributor of fresh and frozen scallops.
SeafoodSource: How did you get into the seafood industry and what keeps you in it?
Melanson: I was 18 when I began working in the seafood business and after sometime I felt there was a great opportunity for me to start my own business. Over the past 43 years that I’ve been in the seafood industry, I’ve met so many people that have become great business partners and employees. So many of our employees today have been with us for 20 to 30 years. They have become not just valued employees, but I consider them family members. This motivates me to continue on path we started 30 years ago.
SeafoodSource: As your company marks its 30th anniversary, what do you see as some of the major changes within the scallop industry during that time?
Melanson: I would say the near-collapse of the scallop fisheries in the 1990s due to overfishing [made it] clear [that] as an industry we needed to enact practices that would protect our industry. As a group, we came together and implemented the rotation of specific areas of harvesting, allowing the scallop population to rebound. It became clear that the future of our industry was dependent upon the industry itself to protect the oceans for future generations.
SeafoodSource: How healthy is the scallop industry today? Are there particular issues you see that need to be addressed so your business can exist for another 30 years, and what are your solutions for them?
Melanson: Because of the steps we took in the ‘90s, the scallop industry today is in a healthy and strong position. In 2015, the industry had a total quota of 35 million pounds. Today, the quota will be in excess of 60 million pounds. At this current level and sustainability, I feel we have clear sailing ahead.
SeafoodSource: What specific things have you done or are you doing now to gain market share and visibility for scallops?
Melanson: We believe there is a niche market for the Fair Trade branding of scallops. Certain market segments and that customer base appreciate the significance of the Fair Trade label, while others feel the added cost doesn’t merit this labeling. We anticipate the affect this label will have on the scallop industry is minimal at this time; however, should the parameters of its use change, so could the affect.
Our re-branding efforts [introduced] at the Seafood Expo in Boston 11 to 13 March, illustrate a major change in our “go-to-market” strategies. This very updated, clean look meets the needs for all channels of distribution: club, retail, foodservice, wholesale, national accounts, and so on. We’ll be offering package sizing that accommodates the best sellers for each of these channels.
SeafoodSource: At what point did you diversify into other species and what does that bring to your business?
Melanson: In the early 1990s, we added monkfish and skate wings to our product offerings, which are sold domestically and internationally. In 2014, we went to Indonesia and partnered with a great supplier of frozen-at-sea, longline-caught, AAA-grade ahi tuna. By offering these species, in addition to our line of scallops, it allows us to have a better and more important relationship with our customers.
SeafoodSource: How has the recent tax cut impacted your business?
Melanson: Obviously, it has made us more competitive and it allows us to give back to our employees who have made it possible for us to celebrate our 30th anniversary. We have many long-term employees, which makes me very proud.
SeafoodSource: If you hadn’t gone into the scallop business, what do you think you’d be doing?
Melanson: Good question. I think [I’d be] a pilot. There is something about being in the air on a beautiful sunny morning.
