The present study has investigated the elaboration of new product based on octopus (Octopus vulgaris) by-products. The effects of cuttlefish skin gelatin (CSG) addition at different levels on, physicochemical properties, water holding capacity, textural properties, color and sensorial properties of formulated sausage, were investigated. The addition of CSG had significant positive effects on the physicochemical properties of sausage. The results obtained showed that CSG increased protein content, emulsion stability, water holding capacity, hardness and chewiness of the formulated sausage. Sensory analysis showed that gelatin addition contributed to the lightness of the final product. Results suggest that octopus by-products can be used as raw material for the elaboration of a new product such as octopus sausage and the addition of CSG improved its physicochemical properties.