There’s some buzz around Red Lobster as it looks to potentially bring back its infamous “infinite shrimp” promotion, which previously led the chain to financial troubles.
A limited-time offer of the all-you-can-eat shrimp deal, priced at $20, might make its debut this month, according to a source familiar with the situation.
While a spokesperson for Red Lobster stated, “We have nothing to announce at this time,” they acknowledged that the endless shrimp promotion has been a long-time favorite among guests.
As of now, Red Lobster has not replied to further inquiries. Fortress Investment Group, the chain’s owner, also opted to remain silent.
New CEO Damola Adamolekun, who took the helm in August 2024 after successfully revamping PF Chang’s, believes Red Lobster is poised for a significant comeback within the restaurant scene.
Reintroducing the Infinite Shrimp promotion could be an unexpected strategy for revitalization.
This consideration follows a substantial loss of $11 million in a single quarter, associated with previous attempts to place the shrimp deal on the permanent menu.
For two decades, Endless Shrimp was enjoyed as a seasonal offering before prior owners decided to try it year-round in 2023. The high demand led to restaurants depleting their shrimp reserves, which, in part, caused the chain’s downfall.
After coming out of bankruptcy in September 2024, Red Lobster has experienced challenges in attracting customers amidst an inflationary environment in the competitive fast-casual dining market. They’ve projected a loss of around $52 million for 2025 but hope to become profitable again soon.
The company’s current stakeholders are hesitant to invest more cash, and Adamolekun is contemplating adjustments to enhance the dining experience for a younger, more diverse audience.
He has initiated a hospitality revamp by trimming menu choices by 20%. They are maintaining popular items like cheddar bay biscuits while introducing new dishes such as bacon-wrapped scallops and lobster bisque, along with happy hour promotions.
Additionally, there are plans to expand the availability of Red Lobster-branded products in retail outlets, such as special biscuit mixes.
However, Red Lobster continues to grapple with a 2014 lease agreement, compelling them into long-term contracts for locations that aren’t financially viable.
This problem is further complicated by some leases covering multiple restaurants, which complicates efforts to shut down underperforming ones.
Reportedly, Red Lobster is engaging with advisers to renegotiate these challenging lease agreements.
The goal is to consolidate by potentially closing a number of locations if they can overcome these lease issues, hinting that more closures could be on the horizon.
During its bankruptcy proceedings in 2024, Red Lobster shuttered 130 restaurants and currently operates roughly 500 locations.
Meanwhile, Adamolekun noted that support from the brand’s owners is crucial for the rebuilding process, signaling that his future with the company might hinge on their involvement.
He expressed, “My role is to demonstrate this is a business worth investing in.” If he believes in this and the response isn’t favorable, “then, you know, this is at the mercy of all sides.”
