Red Lobster Is Hemorrhaging Millions Because of Endless Shrimp | WSJ What Went Wrong 

​@@dcptivor regular people are having to work two or more jobs now to pay the bills and don't have either the time or energy at home, thanks to Joe Brandon..

Remember when McDonald's hamburgers were 25 cents? I do, 'cuz I'm 2 days older than dirt...

F fast food yaa dig😊

​@@igorschmidlapp6987 I remember early to mid 2000s, McDs had 🍔 cheeseburgers for $0.49 to 69. Often 2-3x a mo. Or buy 1 get 1 free.

imagine if red lobster invested into aquaponics so they could push for sustained yields cameras big data alot of markets go into this and selling future expansions to a sustained market nope just stagnate markets

Nailed it. Whenever private equity gets involved, the business's days are numbered. They strip away assets, saddle the business with debt with harsh repayment terms and give themselves exorbitant bonuses. When this is all over the real estate will be sold off.

This comment needs more likes

Well private equity loss out, you only make money when you can restructure and make it turn profitable. Red Lobster is not an example of a successful buy out, private equity is selling parts to offset their losses. As you would of you couldn't afford your house - you would perhaps sell your furniture or car first.

100% yes

That’s the same thing Eddie lampert did to sears

anti-trust pls

@@somone1437 Never gonna happen and/or stay in place for long. Ted Roosevelt tried it and it didn't last long.

​@@the_gilded_age_phoenix8717actually, anti trust laws broke up some of the largest oil, steel, and railroads companies on earth. Unfortunately, politicians on both sides are heavily invested in these schemes, and our corporate media is happy to lie on their behalf.

Yup.. just getting rich quick entrapment.. zero values in terms of vision or tech network.. look at Etsy case after PE acquisition.. increase in listing fees and sellers money longer payout. just Dumb and Dumbers!

how was it even their fault? they tried to save the business.

For me, it's the tacky customer base.

Idk man my cousin once at over 100 in one sitting. Had his gf and family keep ordering for him. He’s done it multiple times

It wasn’t endless shrimp, it was the trash garbage food.

@@codybertram6122 thats disgusting

@@iwishiwasthomasshelby I never said that. Gluttons who would want endless shrimp are the problem. Gluttony is tacky behavior. You're extrapolating my comment towards a different interpretation. That is on you. That reflects how you think, not me. I've eaten at Red Lobster twice in my life. Their food is of low quality. I grew up in New England with abundant quality seafood.. I generally don't like chain restaurants. The afore mentioned reason covers most if not all chains. There is nothing attractive about gluttonous behavior.

Let's not be disingenuous: The private equity firm made out like bandits. They only thing the principals at that firm are doing is eyeing up it's next target, and deciding if they will use a different name so as not to attract too much (negative) attention.

Or if RATES never changed.

Yeah, God forbid that wages are livable.... It's the New "Gilded Age"...

It's the WSJ, of course they're going to blame labor first.

Leveraged buyout i think it's called. You basically buy a company by borrowing money that is secured against assets of the company you buy - so you don't have to bring much of your own money on the table. Then you pay yourself and your associates big fat salaries (consultancy) while selling even more assets. Final stage is to find someone dumb enough to buy the company (at what seems a discount, but the company is loaded with debt). You're just won Capitalism, the game where only those with access to cheap capital win. So many companies have been run into the ground that way. Perhaps something the WSJ could cover in more depth?

​@@br1c3ledwhat books are you reading??? Need them

A PE firm took control of a failing restaurant company. Their interest rates were so high and penalties even higher. They basically had to millions a month to even break even after debts. It was never going to happen. It's so sad because one chef has his business ruined because of these guys failing to inform him how much money they were losing.

WSJ love PE that's why.

they change any part of the menu or how they cooked/microwaved their food. Half the dining horrors stories I hear about are red lobster. And Darden kicked them out because of the bad reviews and bad food

You're probably right but just to be clear, the endless shrimp used to be only once per week. It was only last year they decided to try it every day.

Considering WSJ blamed poor people for not being essential workers a few minutes later I think you're onto something.

Its the same thing in China. People rush the shrimp buffet

I giggled at that, too! The average American is a giant, compared to the average person on earth. If you offered $20 per person & eat all you want fresh, EXPENSIVE SHRIMP, unlimited... of course, you're going to go bankrupt over such a stupid deal. Anyway, these Thai owners don't seem to understand RISK MANAGEMENT.... in their approach. Business owners who know how to manage risks .... they KNOW how to price their commodities and a certain commodity being a "hit" with the customers should NEVER be the reason why you, the business, are going out of business! THAT was the part, of this tragic Red Lobster chain, that got me giggling, as I remember the restaurant from my teen years in the late 1980s.... I also remember the start of IN-N-OUT, a tiny, obscure burger chain... with just one store, that I knew of, in San Diego... around the same time.... Every day, in 2024, you drive by IN-N-OUT, next to the former giant McDonald's and the line at the former is so long... you almost never stop, unless you want to wait for an hour or more, whereas there's ZERO at McDonald's.... again, next door to each other.... I never know how people go into business who just don't see such a contrast, who'd say to themselves: Okay, there is something WAY OFF HERE! Two burger stores, side by side... how come they have 5M cars in-line waiting for some burgers and we have zero here, in our store?

@@kiabtoomlauj6249 It wasn’t the price that got them in trouble. They started offering the promotion as a regular menu item. … … … … … … … … Please stop with the ellipses.

@@kiabtoomlauj6249 On a completely different side note; what do those IN N OUT burgers taste like? I live in Canada, I have never had them but Americans seem to really like them.

@@kiabtoomlauj6249 had to include that theyre thai right? not the fact theyre just normal owners who dont know how to manage a business? jfc

I can imagine. Just takes a small percentage of low budgets to ruin it for everyone.

@arkansasgreg9976 You look low budget. Many restaurants offer take out and literally bring boxes to the table. Red lobster is one of the ones that does it as well

And how exactly was that affecting you? Were you cleaning the shrimp up out of those plastic bags or something? Or just upset about having to tell them not to do it.. or what? Smh

@user-jk5dy3wc9d So… what you’re saying is you’ve never got a to-go box at the end of your meal/ to place the food you didn’t finish in..? Y’all trying to fit in and act so outraged is just.. stupid.

@@AmberColeman-gq1wn you don’t get Togo boxes when you have an all you can eat. Which is why they were lining their purses with plastic bags. Why would that not be annoying when you dropping shrimp off every 5 mins for 3 hours straight.

i wanted blue ones, they never had any.

The worst is soda, all those calories for virtually nothing, it should be labelled the poison that it is. At least we know alcohol is bad for us and should be drunk in moderation, no such awareness with soda.

Fast food worker starting wage is 20$ an hour in California. That's more than an EMT who save lives and need to take classes before getting hired.

⁠@@bonbonjovi4836No. Don’t put out those kinds of numbers without any context. Also, no. Until you learn to put the dollar sign on the correct side of the number, no one should take you seriously.

It’s a sin. Thank the Lord for Ozempic!

Just stay out of my way at Golden Corral... ;-P

Agreed. I used to love Red Lobster. But, over the years, they became the only seafood restaurant that can't cook seafood. The quality has indeed fallen off the scale.

Yes,agreed

Endless shrimp is a loss leader ,just like BurgerKing’s chicken nuggets, 10 for a dollar,hoping customers will order others to make some profits

Must be deeper cause it is. The real problem are the recent owners.

The solution to the issue is simple: Endless biscuits 😳

Not that I know of, but believe me like you said raided ill add the bones of the company get licked clean then they leave the common folks to sus it out

It's like a plague of locusts. Nothing left afterwards.

I never had a problem and the server returned within 5 minutes, even before I was finished with the shrimp I started with to ask if I needed any more.

Like that lady who ate all those 48 oysters.

@@joefaller4525 Yes, as they are giving you the first order they ask if you want more, they bring you the second order and 5 minutes later ask if you want more....and then the times get spaced further and further and further out. They are counting on most people giving up after the 3rd order. Too bad they took a huge financial loss on the concept anyways and are basically bankrupt at this point because of "endless shrimp", because of what I already said. Even the CEO or whoever mentioned this in their earnings call not too long ago. They took a massive hit because of endless shrimp.

@@jdkgcp Well, that's about 60-70 shrimp. 7 selections X 9-10

Never underestimate the power of the normies.

I agree. I’ve called them dead lobster for years. Their food sucks.

Prices are going up at every restaurant.

People who go to RL aren't having wine in fact many just get water because for them going out is an indulgence and focus on the meal to cut costs

Not every restraint makes money on alcohol. By that logic, the food industry in the entire middle east/central Asian market would not exist lol. Even in the west, only fancy retjrabts make money on alcohol

Reality is though, who goes to red lobster for anything but the endless shrimp? That was literally the only reason my family ever went there once a year. Are people really going there to drink in the first place? Seems like a family-style chain were mom and dad maybe have one beer and a glass of wine with dinner, while them and the two kids all get endless shrimp

yeah they should have a policy of 1 drink per person

@@olinafan4459: Because for non-drinkers, that would attract SO many customers. /s I only drink water with meals for health reasons in recent decades, for example.

So this is all your FAMILIES' fault! 😳

When my dad used to go to golden corral for all you can eat seafood he used to peel all the breading off. He said that's how they fill you up so you can't eat as much lol😂

@@JohnWilkes-mg8di this why you got to police the food normal humans are just cavemen

That's gross.

who won?

😂😂😂

You'll do something in volume...

Lol😂❤

funny

@@LanguagesWithAndrew😂😂😂

Did they hate crabby Monday too? I remember going once or twice in Tucson AZ. That was over 20 years ago and until about 6 months ago was the last time I was in a Red Lobster.

You do realize that most of the AUCE options included heavy fat and/or carb saturation, right? Some 10% of people will exploit the deal, but most people simply cannot. 2# of shrimp at a grocery store costs about 15 on a sale week. RL is getting their shrimp way cheaper than the grocery store, no doubt. To boot.

No

Endless shrimp at $25, add tax, and tip now $33. They won't see much of me.

Newcomers work gig jobs paid under table. What's the point of letting billions in? Employers own this mess. I don't care what Mike Rowe says.

yah $20/h isnt enough for you to flip my burger and give me a bad attitude as you flip the pay terminal at me demanding a tip

It's Wall Street. They would rather cause a second economically crash and destroy hundreds of millions of regular tax paying lives than to admit it's their faults and do something about it.

Lol most shrimp are farmed

@@rbk2kproeveryone knows that

You’ve never been out of your cardboard house before? Farm raised shrimp are massive.

Endless biscuits are the solution! 😳

You missed the part where management said that they knew this deal was going to be a "loss leader.." 🤦‍♂️

Why be accurate when you can exaggerate

Venture capitalist packed too much debt on the company. This is just a lost leader and distraction.

private equity loaded the company with debit. The sprimp was a loss leader and is now being used as distraction.

Investment companies aren't as good either, they asset strip leaving the consumers of the business with the negative effects of greed. Some might say, its capitalism, go find another business for your service if your unhappy. The issue is, the investment firm bought up the smaller firms and competition narrowing choices and in some instances leaving a monopoly. However, Investment Companies operated properly for long-term benefit rather than short-term gain leave the consumer with better benefits than if a private firm with low capital expenditure were to operate similarly because they can invest in the business heavily.

50 dollars in 2009? Jesus christ

@@hydropage2855 yeah i think my lobster tail was $30. my friend ordered a shrimp pasta for $20. I dunno how i remember all this. it was that shocking i guess. it was the one in Edmond, OK

Hahaha exactly 😂😂😂

"sir, don't take the steam tray" 😂😂

Arrrr, he is more beast than man.

Thank you for telling about the simpsons, lol, the simpsons predict the future again 😂

"Tis no man. It's a remorseless eating machine"

It seems like such an obviously dumb idea unless you’re charging like $40 a person or something.

The boxed mix tastes like garbage. I fell for that. Cheddar bays in a box🤮

Bubba Gump!

Bubba Gump is laughing the whole time ! 😆

Those shrimps were farmed.

There's actually an over abundance of lobsters currently, fishermen are just not allowed to catch and sell them freely because of regulations. Also the processing plants make the big bucks, they buy seafood at dirt cheap prices because fishermen do not have choices on who to sell to and then resell at 10x the cost.

All of this to feed big, broad backed Americans. Ridiculous.

@@fycfyc1 He’s talking about a different species. They don’t have wild North Atlantic lobster in the Caribbean

You are assuming that the shrimp that Red Lobster buys is wild caught and you would be incorrect a huge majority of the shrimp in the US especially in casual restaurants such as Red Lobster are all farm-raised.

It's just a marketing slogan don't read too much into it.

@pahini Buffets have endless everything and many stay in business. Red Lobster just sucks at doing business. The CEO just couldnt attract customers.Had nothing to do with their offers which is more of symptom of declining sales than the cause.

People are just not dining out like they used to . I just payed $40.00 for brisket sandwhich at the fair not including fries or drink either just sandwhich 😳

I feel sympathy and empathy for our country, low income earners are suffering to survive, and I appreciate Wayne. You've helped my family with your advice. imagine investing $30,000 and receiving $95,460 after 28 days of trading.

I'm in a similar situation where should I look to increase income? Do you have any advice? What did you do ? Thank you

Well I engage in nice side hustles like inves'ting, and the good thing is I do it with one one of the best(Michael Wayne), he's really good!

It's great to see you guys talking about Michael Wayne, This man changed the game for me. Good Man ❤️

*with over 10 years of tra ding experience, Mr Michael has gained himself a good reputation by helping a lot of persons build their finances' through inves'tments🇺🇸.*

You are so correct. Their seafood quality is awful. The last time I ate there the shrimp was frozen and pre breaded. Same quality as seapak frozen shrimp in the grocery store-not great. If I pay that much at a seafood restaurant, I want it fresh otherwise I will just cook it at home. Also, never eat at a seafood restaurant that actually counts the shrimp they put on your plate.

Lol 😂

no tip

Helpful hint. Pretip the server at the moment you order. Explain you and your guests will be enjoying yourself & appreciate the service. After all your server is there to make money so let them know you mean business. Then tip the bill as well. This timing & a little extra for the server is well worth it.

@yoholmes273 So bribe them twice to actually do their job. How about nope. Go to management at that point.

@@0bsmith0 It's the management that tells the servers to ignore you. DUH.

I"m guessing you're taking laxatives afterwords

Why do you think so?

@@hydropage2855 because there wasn’t enough people visiting the restaurants, they went bankrupt.

Frenchies aren't the typical "fast casul" chain- restaurant sort.

ahhh.....good old, Cowboy Logic

Some people just dont like to get ripped off. Some people are just gluttonous losers.

Some people care about each of those things but claiming that those are consistent with which financial class people in in COMPLETELY bogus. As if age and health has nothing to do with diet, for example.

yep, and you also show up earlier in the shift. it is nothing for me to spend 2 hours on this deal.

you need therapy

are you blubbery.

@@PeterSedesse This is why we cant have nice things.

Gluttony 1 of the 7 deadly sins. I can't even watch the gut stuffers without wanting to puke.

A shameless, self-indulgent society we now live in.

The female body positivity crew shown were loud and proud about their videos

I just got back from Thailand where there's all you can eat buffets with endless shrimp on every corner!

@@Adrian-zw6scAmerica has always been shameless and self indulgent, we just didn’t have pocket computers with cameras to capture the indulgence and gluttony and post it on web based applications for the world to see until the last 15-20 years or so

Yep

Does the grocery store have endless shrimp?

@@donkeysaurusrex7881 lol as long as you buy enough and cook it yourself

Like Toys R Us in the 80’s

@@MrJwyne yep. Esp 90s.

blacks...

Really they did that ??? 😂 I would of quit on site.

@@alainportant6412 💀

wow how farking brazen. Usual;ly people bring ziplocks.

People are shameless

Do you remember when peopels called CEOs the cockroach of capitalism? No? Okay, fine, I made that up just now, but next time you'll be prepared...

Not in your lifetime. Yeah it used to be fed to prisoners in the northeast in the early 1900s.

And when hot dogs were poor food.

@@chesthairascot3743 Prepared for what?

No because that time when lobster was viewed as a lower class food was like 120 plus years ago.

Soup and salad is much cheaper than shrimp

You should go back to school if you’re wondering about that.

Let's be real nobody goes to olive garden for that

Soup and salad😂 garbage it’s so cheap🎉

and bread sticks.

Last time I went there, I am pretty sure there was a guy running his drug dealing/pimping business out of a corner booth. You’d see him call a waitress over, and then he’d point at a booth. Then the waitress and guy in the booth would go into the kitchen.

120... Are you a competitive eater?

@@HermannTheGreat just an average american

doubt

And then people get fat and start complaining about fat-shaming

@@HermannTheGreat nah, just a young guy taking advantage of the promotion. I didn’t eat anything else: none of the pasta, the famous biscuits, or any of the breaded options. Plus it was over the course of an hour, so I wasn’t rushing.

Better yet... Endless Krill Mousse

The brand HQ is in City Hall 🏛 . Orlando.gov . A strange location. RL 🦞 is not worth the $ 2020s.

Most of the shrimp you get at a restaurant, and even at the grocery store, are farm raised.

@@digital_element You do not know what I am talking about??

That’s a cool story

@@seofutbol there wont be a sequal

lies

Bot comment. Failure Alex