Struggling Red Lobster Announces More Store Closures
Red Lobster is the best casual chain restaurant for seafood, but there are many others. Red Lobster serves fish and cheddar biscuits at 670 sites worldwide.
Red Lobster closed at least eight outlets in the past three months due to poor sales and revenues. Some of these were decades-old community staples.
"We regularly review our restaurant portfolios as part of the normal course of business," a Red Lobster spokeswoman told Restaurant
Business in an email. "As a result, we have concluded that these locations are no longer viable for Red Lobster."
Last week, Syracuse and Albemarle County Red Lobsters closed. Beachwood, Ohio, San Angelo, Texas, and Oakhurst, New Jersey closed in December 2022,
while St. Louis, Missouri closed this month. Two more Red Lobsters closed in November 2022: Naples, Florida and Danville, Virginia.
Red Lobster's recent closures, however small, indicate a disturbing trend. Five U.S. restaurants closed in 2021, following four in 2020.
Why this decline? Red Lobster, like many restaurants and businesses, has struggled with inflation and rising labor and food prices.
Red Lobster has good news. The seafood giant's sales have been consistent for five years except 2020. Business hasn't recovered yet.
Red Lobster's parent company, Thai Union Group, bought the brand in 2020. To turn things around, the corporation will be more hands-on.
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