Seafood chain Red Lobster is reportedly considering bankruptcy after their all-you-can-eat shrimp promotion contributed to a staggering $11 million loss in 2023.
Even after the company attempted to get back on course with a price increase to $25 for the endless shellfish deal, they still experienced staggering losses. “For those who have been in the US recently, $20 was very cheap. And the rationale for this promotion was to say we knew the price was cheap, but the idea was to bring more traffic in the restaurants,” Red Lobster CFO Ludovic Garnier said in November.
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