Orlando, Florida, U.S.A.-based Red Lobster is promoting value with meal deals and happy hour specials as part of a larger effort to turn around sales post-bankruptcy.
“It’s a new day at Red Lobster, and we’ve made some changes we think our guests will be happy with. From innovative menu items, the return of fan favorites, and the introduction of happy hour, we’ve been putting in the work to create the best experience for our diners,” Red Lobster CEO Damola Adamolekun said on LinkedIn.
In a new ad, running on TV and online, Adamolekun said there is “plenty” on the menu at or under USD 20 (EUR 17.50). For example, in May, the company debuted a Shrimp Sensation three-course meal, which includes a choice of soup or salad, a shrimp appetizer, and a shrimp entree and side for USD 20.
Adamolekum also touted Red Lobster’s new happy hour that includes USD 5.00 (EUR 4.40) drinks and appetizer deals. One thing that won’t be changing, he stressed, is the restaurant chain’s popular Cheddar Bay Biscuits.
“We got that right the first time,” he said.
The restaurant chain also recently became the official sponsor for BIG3 – a 3-on-3 basketball league founded by hip hop musician Ice Cube and entertainment executive Jeff Kwatinetz, as well as one of the sponsors of the WNBA team the Chicago Sky throughout the 2025 season.
”I don’t know what it’s done for sales yet; we will see eventually,” Pacific Management Consulting Group Founding Principal John Gordon told SeafoodSource.
Nevertheless, the fact that the company is paying for marketing and sponsorships is a positive sign that “the turnaround plan is delivered,” Gordon said.
The most recent moves follow several other efforts Red Lobster has made since emerging from bankruptcy, including streamlining its menu and marketing partnerships with celebrities such as Flavor Flav.
However, customer visits to Red Lobster continued to plunge this year, dropping 31 percent in January compared to January 2024 but slightly improving to a decline of 20.4 percent in April, according to Placer.ai.
A 20 percent reduction in restaurant locations contributed somewhat to the year-over-year traffic declines, but Placer.ai Head of Analytical Research R.J. Hottovy told SeafoodSource that visits per location have decreased as well.
“This suggests that the chain’s ongoing turnaround efforts have yet to fully gain traction and may also reflect broader economic headwinds. In the current environment, consumers remain highly price-conscious and have scaled back on dining out,” he said.