Casual dining faces economic pressure from rising costs and shifting consumer behavior. Red Lobster CEO Damola Adamolekun is addressing these challenges with strategic changes to steer the famed seafood giant forward and attract a new audience.
“A lot of people, their early experiences with seafood were at a Red Lobster,” Adamolekun told CBS News.
Adamolekun became CEO in September 2024
He was appointed the company’s new CEO in September, following the closure of more than a dozen locations after the brand filed for bankruptcy earlier in 2024. According to Blavity and CBS News, there are currently 544 Red Lobster locations across the U.S. and Canada.
Adamolekun, a 36-year-old Nigerian-born Ivy League graduate, reached a milestone, becoming the youngest CEO to lead the company in its almost 60-year history. He successfully led the company out of bankruptcy and is now focused on driving customer visits.
‘I think there’s always a way to make something work’
Red Lobster tapped retired NBA player Blake Griffin for its latest advertisement to increase consumer traffic and maintain profits.
“You know, crisis, it forces you to move quickly, make decisions, and you can’t stew too long on like, am I ready or am I not,” Adamolekun said, per CBS News. “I think there’s always a way to make something work, you just need to find the solution.”
Red Lobster, a longtime fan favorite, is renowned for its steak, seafood dishes and delicious Cheddar Bay biscuits. Although customers also enjoyed the popular all-you-can-eat shrimp promotion, Adamolekun said he eliminated it because it was an “expensive product” and “the way they were doing it was unmanaged.”
Some of the changes include replacing some of the longtime menu items with new ones. Adamolekun also confirmed that while higher costs are expected over time, they should not strain consumers’ pockets.
“Your entire cost structure is gonna move up somewhat, and prices in the country will go up somewhat, but I don’t want to be higher than overall inflation,” he said.
In addition to enhancing dining experiences, Adamolekun aims to attract a younger audience.
“What people, especially young people, need in addition to great food is a great atmosphere,” Adamolekun said. “The place you can come in, feel good, it looks nice. So if you don’t live up to what they expect, they won’t come back. They’ll go somewhere else, or they’ll eat at home.”
