• by Sarah Mahoney  @mahoney_sarah, July 16, 2024

Mark Murrell, the founder of Get Maine Lobster, is as comfortable crating live lobsters as he is managing the marketing budget for the No. 1 direct lobster sales company. And while the seafood industry seldom offers smooth sailing, it’s been a particularly stormy ride for the last few years. He relies on old tactics, like talking to unhappy customers, and new ones, such as partnerships with culinary powerhouses, including Momofuku and Geoffrey Zakarian. He tells Marketing Daily how he continues to find growth for a luxury protein, even as many consumers cut back on food splurges.

Interview has been edited for length and clarity.

Marketing Daily: Lobstering is a tough business. Last year, the catch was down, but the money was up. How is your business going?

Mark Murrell: We’ve retained all the business we got in 2020, so that’s exciting. But new regulations are popping up, and that’s challenging. The lobster industry is constantly changing. We try to simplify our offering, become as efficient as possible, and deliver great value.

We were up 7% in gross revenue last year and anticipated being up this year, too. But as we’re coming into our own, we’ve started using third-party logistics to increase our physical capacity, and getting used to that is challenging. We’re down 12% so far this year. I still think we’ll end the year up.

The biggest challenge now is that, one, there's more competition. And two, there is a macroeconomic mindset that’s interesting. Even people who aren’t feeling pinched economically think about it, between the news and social media. Subconsciously, that impacts whether they buy lobster. I used to say customers always think twice before clicking “buy.” Now, they think three times.

Marketing Daily: How do you validate that theory?

Murrell: Every so often, I’ll contact a potential customer who came to the site but didn’t buy. I’ll email and say, “I want to learn about your experience, and I’ll trade you some gift cards for talking to me about it.” People are scrutinizing the buying process more. We all want everything faster, cheaper and with less friction.

Marketing Daily: Who do you see as your primary competitors? Other direct sellers? Costco?

Murrell: Yes, since Costco makes money on subscriptions, it can offer very low prices. And online, just about anybody selling perishable food and anything aimed at special occasions. We’re just focused on delivering an unforgettable experience. If we keep doing that, we’ll be fine.

Marketing Daily: What’s your marketing approach these days?

Murrell: We're investing a lot in the usual Meta and Google platforms, and even though those ads are more expensive -- and will be even more so because of the coming elections -- we've been around for so long that we have all this data on how to get the attention of the right audience at the right time with the right offer.

We’re also investing more in owned media. We launched an awesome partnership with Momofuku last month, offering things like Sichuan Chili Butter Lobster Tails.

And we have one coming up with chef Geoffrey Zakarian. These collaborations let us connect our messaging with other brands that deliver exciting food experiences.

Marketing Daily: Who are your best customers? People looking for an occasional splurge? Big birthdays? People in Nebraska who’ve never had a lobster roll?

Murrell: All of the above. We have customers who order more than five times a year and a couple of monthly subscribers. Then you have people that order once a year. A gentleman in Iowa orders every year for the Friday before Valentine’s Day. Overall, people want to serve lobster as something special when entertaining people they care about. They’re thinking about lasting memories.

Marketing Daily: I’m in Maine, too, so I think of lobsters as summer food. But that makes me think your customers buy most in winter.

Murrell: Yes, December is three times larger than other months. November is busy, as is the first half of February, and then Mother’s Day. August, September, and October are pretty good -- back to school and football season, and people are still grilling.

July is interesting. The first part of the month is strong, but then people are traveling.

Marketing Daily: Who are your core customers, and where do they live?

Murrell: Older, affluent. Texas is big for us, as are most large cities. New York and the boroughs. Seattle and Tacoma in the West, and lots from Florida.

Marketing Daily: What are your best-selling products? Live lobster?

Murrell: No. Lobster rolls and lobster tails, by far. We sell a lot of live lobster, too, but we don't push it that much.

Marketing Daily: Sustainability continues to be at the top of consumers' minds, and a few years back, Seafood Watch red-listed Maine lobsters. The concern is that lobster lines entangle whales. How do you talk to consumers about that?

Murrell: The Maine lobster fisheries are the most sustainable in the world. Data doesn’t lie. Many of the regulations came from lobstermen and women themselves. I’ve been on many boats, and they are super proud of their sustainability record.