Unlimited Shrimp Devours Red Lobster's Profits
Red Lobster's decision to offer unlimited shrimp to customers backfired as Americans consumed so much shrimp that it cost the company $11 million in losses for the third quarter of 2023. Despite a 4 percent increase in customers, the popularity of the $20 bottomless shrimp deal led to diners passing up other menu items, resulting in an expected overall loss of $20 million for the year. Thai Union Group, a stakeholder in Red Lobster, has expressed concerns about the chain's profitability and may reconsider its involvement. The unlimited shrimp offer remains on the menu but now costs $25.