The Shrimp Promo That Sank a $2B Brand

Red Lobster didn’t die because it sold shrimp.

It died because it forgot what business it was in.

The “endless shrimp” promo that finally tanked it? That wasn’t some wild experiment. It was a desperate attempt to stay relevant by clinging to nostalgia — and ignoring math.

Which sounds absurd…

Until you realize a lot of Millennial CEOs are doing the same thing.

You’re romanticizing your offer.

Red Lobster romanticized “value.”

You’re romanticizing “experience.”

But the result is the same. You end up building for the feeling you want people to have — and bleeding out behind the scenes.

• You launch a coaching product because it “feels more premium.”

• You add services to make the brand “feel full-service.”

• You underprice because you want to be “approachable.”

And then you wake up one day running a business that’s beloved, respected, admired…

But barely breathing.

This is what killed Red Lobster:

• Not knowing which offers to kill

• Not knowing how to say “enough”

• Not knowing what actually made them money

They built for the diner’s dopamine hit — not for the business’s staying power.

You might be doing the same — just with better branding.

You can have perfect positioning. You can have an audience that loves you. You can get the retweets and podcast invites and client testimonials…

But if the numbers don’t work, it’s a slow bleed.

This is a leadership problem.

Red Lobster didn’t fail because of one promo.

It failed because no one in the room said:

A lot of Millennial founders won’t say that either.

We want to feel liked — by our customers, our team, our industry.

But leadership (and longevity) isn’t about being liked.

It’s about knowing when to cut the bottomless shrimp.

Build for love, sure. But protect your margins.

Culture fades. Attention shifts. The internet moves on.

But your business?

It has to outlive the vibes.

Best,
Peter Delle