real reason Red Lobster closing stores

bigLou · ‎09-03-2013

Here it is:

Before divesting from Red Lobster, Thai Union Group attributed the company's decision to make its "Ultimate Endless Shrimp" promotion a permanent offer as a "key factor" in its ongoing financial difficulties.

While the shrimp promotion increased traffic to the chain by 4 percent, as reported by Restaurant Business, it contributed to the $11 million in losses reported by the company in the third quarter of 2023.

According to Restaurant Business, Union Group's CFO Ludovic Regis Henri Garnier, **LINK REMOVED** while speaking to investors in November 2023: "We knew the price was cheap, but the idea was to bring more traffic to the restaurants. So we wanted to boost our traffic, and it didn't work."

It sounds like what JC Penney did when they got rid of their coupons and sales dropped.

beckyb1012 · ‎03-09-2010

Ours closed this week and this past Friday I had dinner in my cart and just decided at the last minute not to do Red Lobster takeout. I wish I had followed through.

I drive by there every evening on my way home from work and on Tuesday there were a few people and a camera crew in the parking lot. This morning I heard on our local news it was the employees being interviewed about being locked out and not told of the closing of the restaurant. So sad to come to work and find you have no job.

"Live frugally, but love extravagantly."

lynnie61 · ‎04-28-2010

News showing customers eating 40-50-60 shrimp. One news program showed one guy on the 31st entree or appetizer. Not pieces of shrimp, his count of entrees or appetizers. Just ridiculous.

I work part time at a restaurant that gives free refills on pop and lemonade. One customer had six strawberry lemonades. The cups I believe are 18 oz. You would have to be sick after consuming that much sugared lemonade and your entree. Then asked for his 7th refill to be to go. Ick. We all like a good value......but, this is just crazy.

PilatesLover · ‎08-20-2014

I ate at a RL once and would never repeat the experience. We live in New England, how could we possibly have needed a Red Lobster chain restaurant around here? LOL

It was so gross. When they were carrying our plates to the table I could smell that the fish was on its way to spoiled. The lettuce in the salads was literally black around the edges. The only edible thing were those biscuit-y things. I told them to take it back and we left it was so bad, and we're not the type of people who are mean to wait staff or cause a big to-do in restaurants. The smell was that bad.

Estellee · ‎07-12-2011

I havn't been there in over 10 years but I always remember those biscuits they brought to the table.

hopi · ‎03-09-2010

Ate a couple of times at Red Lobster many many years ago. The food was awful.

You get what you pay for and all you can eat doesn't make it taste good.

cindyNC · ‎08-01-2019

@lynnie61 I had a friend who used to go out with her neighbors to Taco Bell occasionally.

She was very cheap. She would order a $1 taco and a cup of water. Then she would use most of the sliced lemons on the drink bar in her water to make lemonade. Eventually they started charging her for the cup for her water........she was miffed. I got a chuckle out of it and thought she got what she deserved.

AlsaceGal · ‎11-25-2014

@Estellee wrote:
I havn't been there in over 10 years but I always remember those biscuits they brought to the table.

I have a box of them, you can find them at Safeway, they're easy to mix and bake, better still, they taste exactly like the ones you get in their restaurants.

SoCal Bred · ‎05-04-2020

I did hear that the 'Ultimate Endless Shrimp' all you can eat promotion last year is what did them in. My hubby loves Red Lobster, me, not so much. It's not the same as it was 10 years ago, since the pandemic the quality of the food and the service has really gone down, I am speaking about the location that we go to.

Tissyanne · ‎12-07-2012

Our Red Lobster in my city (west TX) is very good. We have eaten the endless shrimp several times, and always had a good experience. The baked potatoes are delicious. The biscuits are good, and they bring out a sack of fresh ones for us to take home.

I hope the one here stays open.