With that absurd DEI hire, there fuked.. 😅 gutentee, many stores will close in 18 months.. Do NOT buy stock 😅.. unless he's the dei face and actual men are running it..
I'm upset they didn't touch on THE REAL reason they went bankrupt. They sold the buildings and then paid RIDICULOUS rents on the buildings they once owned
Private equity raided Red Lobster. This brand doesn’t just need a face lift here and there. It honestly needs an overhaul, which won’t occur under private equity. I wish him luck though.
@@RahsehDanger Is this a loaded question? Like you're pretending you don't know something and someone responds to you and all of a sudden you launch into a diatribe about why they're wrong?
I disagree, its in the PE companys best interest to make sure red lobster is a success. This CEO revitalised PF changs and now they are immensely popular
It wasn’t an accident that private equity drove them into debt. It’s a joke to think that anything will change until private equity ownership is completely wiped out from the company
PF Chang's is a PE turnaround. It could happen here too. I'd doubt that trying to IPO Red Lobster at this point would provided the funding needed for their revamp.
@@holycrapchris have you had PF Chang's recently? stark change in quality compared to 4-5 years ago. no doubt also impacted from the pandemic, but the fact that this guy was in PF Chang's leadership is not a plus going for Red Lobster.
@@jjjooeprivate equity bought it, pillaged it, then sold whatever is left to Thai company. It's a more worthwhile story than this video. But I guess some people like the pitiful commenter above you want to hear PR instead
Blame private equity, the biggest culprits of the looting of real bussinesses and today's corporate culture of "squeeze as much as you can for a quick profit, the future be damned"
I go out frequently and the restaurant scene is very live and well, speaking for Houston. We prefer privately owned restaurants vs chains. My friends and me have never thought about going to the bar at red lobster. Now a more modern environment and good happy hour might be enticing
@@Michael.Shayne i work in hospitality, primarily culinary, or whatever I can do to assist my place of employment. A new look is what's needed. The different renovated locations is a good move, along with the repairs. Few different trial runs of different layouts and settings. I liked the property that had the planks on the wall with what they had on hand. Now you remove the problem, frustration and waste of time when a guest orders Mahi that day and it's 86'd. A leaking roof is embarrassing to everyone working there, I'm in the kitchen and I'd be embarrassed. Hvac is a problem most older locations have. The menu looks like Dennys.
No. They order delivery service, and 1/2-2/3 of the order is junkfood. Or they try watching TikTok and find it hard or more work to clean up. It's outdated like Applebee's. They were mediocre at their peek.
The redesign looks like a low-end food chain. It's not appealing to me. They're running off outdated business guidelines. Most lost money will be found above the restaurant level. After working for a number of failed companies, it's interesting to see them planning the same mistakes.
@@IsraelBrown-t4s Which country isn’t in shambles? It’s just levels to it. Look at the U.S. Just had an election where fear drove the election. An economy that’s only serving the wealthy
It's just basic math. They pull a bunch of money out of the company without adding any real value in the form of goods or services. PE ventures are almost always destined to have the same outcome.
This black ceo is a fall guy. He needs to be flawless to keep his job if he isn’t they will fire him and replace him with some white guy and that guy will have multiple chances to screw up.
Most companies management is full of people that came from different industries. Private equity is about making money. Any one can tell the future of a company by looking at the numbers.
The 2 things that prevent me from returning to a restaurant are service and quality. I know some people are more interested in price but for me I’d rather pay a little more and get quality and service than a bad experience. I hate paying my hard earned money and completely regretting the experience.
I hope he does well, living in the midwest as far as you can be from any ocean means finding a good seafood restaurant is like finding gold. Theres a Red Lobster near me but I haven't eaten there in over a decade. If he does well, Id be happy to go back there again.
He is going to do great! I believe he has shown his competency. Confidence. And logically it feels like this could turn around i will be on the look out for new red lobster
just give it up. It's over, scale down. Complete overhaul and Make Red Lobster a premium restaurant. You can do AYCE menu with high quality seafood at a premium price. Make it about the food again and people will come in. No gimmicks like endless shrimp.
Going out to eat junk food is too costly now People are choosing to spend money on what they feel is more a meal. That is real or just cook at home He is just getting a paycheck put they will go out of business
True. Red lobster worked back in the day because they were the only chain you could get seafood from. This was huge at the time for people that enjoy it but live in the inner sections of the country where you cannot get easy access to seafood. But now there are multiple fish restaurants the replace Red lobster and if you want fresh and not frozen seafood you can pay double the price at a fancier place to eat. I live near Atlanta and there is a Red lobster about 30 minutes away from me. I could go there or I could go to the Atlanta Fish Market which is a fancy sit down about 15 minutes north of downtown. I would end up paying somewhere between 50 and 100% more money but my choice of fish is diverse and it's all cooked with a couple of days of arriving via airplane. The fish you get there is generally cooked within 36 hours upwards of 4 days upon arriving. It's never frozen either. I'd take that over any frozen fish.
...wow, interesting interview. I have a good feeling about this new CEOs ideas to refresh this brand🤷🏽♀️ I recently took my 87 year old friend there for dinner and she enjoyed it!
It’s difficult to justify the price of dining out. I started equating food delivery to equivalent steaks from Costco. Costco always wins. Let’s be honest, we can all cook better steaks than those we get at steakhouses.
That depends on the steakhouse and what steak you get. If you talking about franchise steakhouses, then of course you can cook a better steak. If you are talking about a place that dry ages steaks, unless you doing the same at home, then....
@@kingalainc1 When you put it like that I guess you’re right. If you’re trying to bring customers in, this is not the way to do it. I think there’s only one Red Lobster left in my area.
I haven't been to a Red Lobster in years. I doubt I will ever go back anytime soon. Last time we went to a Red Lobster the food was subpar, the drinks were awful, and the service was horrible to say the least.
@@drlove994usually it is, red lobster is not cheap, family of 4 can easily spend $200 there. If restaurant mess up once, I bet customers will not return for 6 months or more
This was a like the battle of the interviews. The CEO describing his and the owners' vision, and an analyst unable to see the upside. The truth is clearly in the middle. But Fortress would not have invested in the turnaround if the prospects were as dire as the analyst suggests.
The main problem is overcooked seafood by their cooks or chefs. That is why I no longer go there. Every time I have gone, no matter which restaurant, which city even, the food has always been tough rubber. Cook the food better. Reputation, customer service and quality is everything!
When has any of that mattered in a profit seeking venture? Balance sheet? Cost containment? Value creation? Staff motivation? Quality product? Please think deeper.
I really don't like the new bright white hospital lighting and the menu is too limited now. I don't want frozen fish nuggets I could have bought from Walmart
The food sucks. That’s the issue. That’s almost always the issue in a failing restaurant. The last time I ate there I said “Everytime I come here, the food is horrible. I will never eat at Red Lobster again.”
I’m just waiting for someone to comment on this accomplished young man being a DEI hire.. very proud to see a young man like him making a difference in a multi billion dollar industry.
This interview was weird. First let’s talk to the young black guy and hear his plan and then pivot to the old white guy to hear why it’s not going to work. What’s the point?
You can't offer premium product like lobster etc to the Average Joe. Reason: They can't afford what it really costs to deliver the goods and service. Red Lobster as a chain is doomed. Red Lobster as a high-end premium "members only"-type restaurant is possible.
My daughter and I ate at Red Lobsters here in Michigan right after the pandemic, and the food was not good. The crab came with crab hair on it, and the crab was gummie. Red Lobster needs great cooks. If I can make my lobster, shrimp, and steak better than yours, that's a problem.
Where do market timers like me stand, I have 300k in money market funds with Fidelity and scared to invest in anything, stocks and gold are volatile alike and bonds are a no go area for me? What is the best course of action?
How does one get a financial planner who isn’t just looking to make a buck? (upfront fees and whatnot) my spouse and I are in the market for guidance at this point
There are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’ monica mary strigle” for about five years now, and her performance has been consistently impressive. She’s quite known in her field, look-her up.
Red Lobster’s got to pick a lane. Is it a Quantity or a Quality restaurant? Or, somewhere in the middle? It tried to be everything and failed at being anything.
They need to start putting some of their entrees in the frozen foods section. What's wrong with adding a limit selection to the frozen foods section? They have the cheddar bay biscuits and shrimp scampi available in the supermarket already. It might help with brand recognition again and drive some people back to their dine in locations.
Yes, private equity was instrumental in Red Lobster's bankruptcy. In addition, there is pending litigation regarding seafood sourced from Indonesia, Vietnam, India, and China all of whom are notorious for unsanitary conditions, overuse of antibiotics, and environmentally destructive practices. This is public knowledge now and people are repulsed, to say the least. Restaurants have FAFO people will not pay premium prices for unhealthy, poor-quality, food.
I agree. I read that our main supplier of shrimp is India and only 1% of it is inspected. Then I saw whistle blower footage of shrimp processing in India. Terrible, run down facility. Employees are not even wearing shoes. Employees sleeping on the ground in the facility then going back to work. No gloves, showering, just nasty. I stopped eating food from China years ago and things like farmed tilapia after I saw video of farm raising. Then I saw a video of street food in India. A guy was literally cutting the meat with his toe nails. I almost vomited. Then it showed other street vendors throwing all kinds of unsanitized foods in pots, cooking oil that looked like dirt because it was so old and used. Just terrible but all these food recalls in the U.S. have me wondering about unsanitary employees and managers because how can we keep having them so frequently and in large mass if people were actually doing what they're supposed to and sanitary? I feel like I can't even trust our American food suppliers. Think about that recall a few weeks ago that was over 300 pages long. Do you know how ridiculous that is? This week carrots are recalled.
My family (late 30s) prefers fast-casual. Sit-down restaurants like this represent a long commitment. If a waiter disappears on a break then you're stuck there. Its why things like breweries and restaurants like Chipotle have become so popular. If my family is going to spend 90+ minutes in a restaurant, costing us $200+ then I want it to be premium and I don't want it to be a chain.
They need to rebrand as individuals brands all under red lobster, if I’m going to spend money on seafood I don’t think about going to a chain restaurant
People are willing to go to chains if the chain is associated with quality. Cheesecake Factory has a reputation for a high quality place whereas Olive Garden is associated with low quality. It doesn’t matter if people recognize your brand, it’s about brand association.
It won’t work… not because the plan isn’t good, but because of 2 main factors that are unique to the US. 1. Inflation and economic decline. 2. Tip culture.
That’s a problem. Shrimp are disgusting bottom feeders and is more dangerous to consume than pork. Seafood in itself must be prepared fresh. The only seafood that can be delicious and be frozen properly is fish. Shrimp are literally time bombs, people eat that frozen farmed 💩 and it’s nasty.
Have a wine option that’s labeled “Your Most Expensive Wine” (That’s $18 a bottle), rebrand the bathroom situation into Females & Fellas, appetizer menu renamed ‘Foreplay’, and then when the waiter brings your food out he says “So you gotta give respect to get respect.”
@@doodoostoo90 the fact that private equity sold all the real estate out from under the business, forcing them to pay rent to the new land owners at all their properties
If Red Lobster wants to be successful, they have to do what Chili's and Applebee's have been doing. Make meal deals on items that have an easy ROI. It's been successful for the latter as they've been beating out chain monsters like McDonald's, so if RL can replicate this they'll do just fine so long as their private equity doesn't get too out of touch
3:12 This is exactly what was going through my head watching this. Sure an interior redesign is nice and all but at the end of the day its the food that draws people in.
The company is loaded with debt because of private equity, they have no interest in turning it around They (PE) take on debt, but the company has to pay it off PE is like a scam, they underperform the S&P but claim to be successful
This is not the case. Private equity is a broad category, and while many PE firms do act in the way you have described, it is actually in the current owner’s best interest to save the company. This is because what you are describing is an LBO, which takes advantage of a company’s available credit to reinvest capital without having to raise additional equity. However, since Red Lobster is bankrupt, there is virtually no remaining credit available, and the only way for the firm to make money is to turn the company around and make it profitable again. This of course is an oversimplification, but hopefully it helps provide some context.
People who unironically think a Private Equity firm is on purpose torpedoing a firm on their own books are hilarious. "Yeah the wacky finance wizards I don't understand are casting a spell to ruin everything I like because they are evil"
@@kagakai7729haha my thoughts exactly. Classic example of “don’t assign malice to what can be explained by incompetence.” Many PE firms are just short sighted and trying to make a quick buck which can lead to losses, but PE is still an overall legitimate asset class imo
@97NRBhgfdkjsvfdkjl OP is absolutely correct. What you are saying may apply to the current owners (not sure who they are) but the previous owners were private equity as well and they drove this company into the ground all while making a bunch of money. The whole point of the LBO is to disconnect PE profits from performance of the company that they purchase.
@@aviation11000 OP said that 'they have no interest in turning it around' (“they” I assumed being the current owners), which I pointed out is objectively incorrect, as turning it around is the only way that they would be able to make a profit. I acknowledged the presence of LBOs in PE, and never discounted the damaging effects that they have. I simply made the point that just because a private equity firm created Red Lobster's problem, doesn't mean that PE ownership will always lead to insolvency and that RL's situation is therefore hopeless. Fortress is the private equity firm that acquired Red Lobster post-bankruptcy. Since no creditor in their right mind would lend to them given their bankruptcy, a LBO in this case is impossible, making fixing the company the only realistic way for Fortress to make a profit in this deal. Does that make sense?
As a former manager of a few Fortune 500 company’s I can say he’s on the right track . It’s lobster that’s luxury gut it out , fix leadership , lower retention . It’s a slow grind with many hurdles and bruises . But you got this brutha 💪🏽💪🏽💪🏽
@Brothersfamilyfarm "During his tenure, the company launched P. F. Chang’s To Go, a concept that led to the growth of the brand’s delivery business. He also navigated the company through Covid-19 pandemic challenges, returned it to profitability with a 31.7% increase in sales by 2021 and annual revenues of $1 billion" Far from DEI by any means. Get your facts straight.
I'd rather eat at a restaurant that a person owns! Not a Private equity dump that nobody really has any passion the employees are driven like slaves. Get rid of the people who don't work in the restaurant and focus on being a restaurant! There's people making money who never even go to the actual restaurant!
As a previous customer who goes once in a blue moon now. The service is extremely slow because they are used to catering to senior citizens who are no Rush to eat or leave. The vibe of the place is 65+. Which is not enough of a crowd to keep it open.
![Stromae, Pomme - “Ma Meilleure Ennemie” (from Arcane Season 2) [Official Visualizer]](http://i.ytimg.com/vi/1F3OGIFnW1k/mqdefault.jpg)
Empty tables and rising costs push more restaurants into bankruptcy: on.wsj.com/3Od6k5J
I think you mean private equity pushes restaurants into bankruptcy
All you can eat farm raised shrimp!
Wrong. These companies want empty tables. Everything is online now.
With that absurd DEI hire, there fuked.. 😅 gutentee, many stores will close in 18 months.. Do NOT buy stock 😅.. unless he's the dei face and actual men are running it..
I'm upset they didn't touch on THE REAL reason they went bankrupt. They sold the buildings and then paid RIDICULOUS rents on the buildings they once owned
That and they spent years owned by a thai seafood conglomerate who was happy running them into the ground as a means to offload their cheap shrimp.
DEI ceo certainly won’t help
@@jesusgonzalez-acton8045 I’ve watched other videos of this guy, he’s brilliant. You’re just racist
Private equity sets up a ceo to fix issues private equity made in the first place.
@@jesusgonzalez-acton8045he did well at P.F Changs apparently.
Try not to get too triggered about someone’s skin color
Private equity raided Red Lobster. This brand doesn’t just need a face lift here and there. It honestly needs an overhaul, which won’t occur under private equity. I wish him luck though.
Plenty of companies do better after a private equity purchase.
You know the private equity represents the publics and employees capital "401K, Pension and Retirement Plans"
Why won't it occur under PE? I'm curious in the analysis.
@@RahsehDanger Is this a loaded question? Like you're pretending you don't know something and someone responds to you and all of a sudden you launch into a diatribe about why they're wrong?
I disagree, its in the PE companys best interest to make sure red lobster is a success. This CEO revitalised PF changs and now they are immensely popular
It wasn’t an accident that private equity drove them into debt. It’s a joke to think that anything will change until private equity ownership is completely wiped out from the company
PF Chang's is a PE turnaround. It could happen here too. I'd doubt that trying to IPO Red Lobster at this point would provided the funding needed for their revamp.
@@holycrapchris have you had PF Chang's recently? stark change in quality compared to 4-5 years ago. no doubt also impacted from the pandemic, but the fact that this guy was in PF Chang's leadership is not a plus going for Red Lobster.
Private Equity isn't the problem. Most major companies are ran by PE. You are naive to think private equity is the problem
But it worked for PF Chang? That’s why they hired the same guy.
Huh?
Instead of this corporate PR stuff why not just talk about how private equity ruined it
Can't perform class betrayal, only the working class will betray one another
"I wanna hear what I want to hear" - You
I’m confused…I thought that it was previously owned by a corporation in Thailand?
@@jjjooeprivate equity bought it, pillaged it, then sold whatever is left to Thai company.
It's a more worthwhile story than this video. But I guess some people like the pitiful commenter above you want to hear PR instead
So capitalism
It's a sad day when the average family can't afford to eat at an American restaurant chain that's been in business for 56 years
lets talk about it
exactly
And it’s about to get much worse ;)
Blame private equity, the biggest culprits of the looting of real bussinesses and today's corporate culture of "squeeze as much as you can for a quick profit, the future be damned"
So much worse🤫
The customers are tapped out financially. They are cooking more at home. I wish him the best.
I go out frequently and the restaurant scene is very live and well, speaking for Houston. We prefer privately owned restaurants vs chains. My friends and me have never thought about going to the bar at red lobster. Now a more modern environment and good happy hour might be enticing
@@Michael.Shayne i work in hospitality, primarily culinary, or whatever I can do to assist my place of employment. A new look is what's needed. The different renovated locations is a good move, along with the repairs. Few different trial runs of different layouts and settings. I liked the property that had the planks on the wall with what they had on hand. Now you remove the problem, frustration and waste of time when a guest orders Mahi that day and it's 86'd. A leaking roof is embarrassing to everyone working there, I'm in the kitchen and I'd be embarrassed. Hvac is a problem most older locations have. The menu looks like Dennys.
No. They order delivery service, and 1/2-2/3 of the order is junkfood. Or they try watching TikTok and find it hard or more work to clean up. It's outdated like Applebee's. They were mediocre at their peek.
I like supporting food trucks. There are still high quality cheap priced taco trucks.
The redesign looks like a low-end food chain. It's not appealing to me. They're running off outdated business guidelines. Most lost money will be found above the restaurant level. After working for a number of failed companies, it's interesting to see them planning the same mistakes.
This is one of the greatest advertisements I’ve seen and I create ads for a living
It seems like a hit piece to me. They have someone arguing against every single idea he proposed.
You're right
literally this video makes me want to visit my local red lobster to see if anything changed
Why am I seeing this guy all over RUclips? Guess Red Lobster's marketing is working overtime getting their name out...
Yeah seriously. 3rd time i’m seeing him this week. The algorithm doesn’t even give me anything remotely similar to this either.
They’ll dump him in about a year when it doesn’t work out he’ll still continue to blame it on endless shrimp. but he will get a $10 million package
@@Jacob-nu4ndactually given he’s clearly a DEI hire, he’s just gonna finish driving them into the ground. Id bet money this is their last CEO.
Idk, he seems like he's had sucess in the past so it may not be a DEI hire.@@jesusgonzalez-acton8045
@@jesusgonzalez-acton8045seems the non "DEI" hires drove it into the ground
I’m rooting for this guy
I went last week and everything was fabulous. Wishing Red Lobster the best!
Wow a positive comment. You must live a happy life
Its great to see a CEO who has experience in putting a restaurant back in a profitable position.
He stepped down as CEO of P.F. Chang. Was 30 when he became CEO there. Start out at Goldman Sachs. Impressive
He is a prodigy
@Chad_Max If they work hard af why is they country in shambles 😂😂😂😂😂
@@IsraelBrown-t4s corruption
@@IsraelBrown-t4s Which country isn’t in shambles? It’s just levels to it. Look at the U.S. Just had an election where fear drove the election. An economy that’s only serving the wealthy
Very impressive for sure.
Private equity almost always crashes a business, they’re full of people who have 0 idea what they’re doing. This will go horribly
It's just basic math. They pull a bunch of money out of the company without adding any real value in the form of goods or services. PE ventures are almost always destined to have the same outcome.
This black ceo is a fall guy. He needs to be flawless to keep his job if he isn’t they will fire him and replace him with some white guy and that guy will have multiple chances to screw up.
@@brucelee4357why do you believe that to be true?
@@brucelee4357…He’ll knock it out of the park and I won’t be surprised…the revolution is being televised.🇺🇸💪🏾
Most companies management is full of people that came from different industries. Private equity is about making money. Any one can tell the future of a company by looking at the numbers.
$90 plus tip for 2 people to eat biscuits, an app and meal, no dessert for $15 in Seafood.. Waste
The 2 things that prevent me from returning to a restaurant are service and quality. I know some people are more interested in price but for me I’d rather pay a little more and get quality and service than a bad experience. I hate paying my hard earned money and completely regretting the experience.
I hope he does well, living in the midwest as far as you can be from any ocean means finding a good seafood restaurant is like finding gold. Theres a Red Lobster near me but I haven't eaten there in over a decade. If he does well, Id be happy to go back there again.
He is going to do great! I believe he has shown his competency. Confidence. And logically it feels like this could turn around i will be on the look out for new red lobster
just give it up. It's over, scale down. Complete overhaul and Make Red Lobster a premium restaurant. You can do AYCE menu with high quality seafood at a premium price. Make it about the food again and people will come in. No gimmicks like endless shrimp.
What is a premium restaurant?
Not American but isn't cheap seafood kinda the appeal of Red Lobster? Pretty much every other seafood restaurant is 'premium'
Gonna be near impossible for red lobster to rebrand like that
They can call it Red (and have a sensual lobster), and cater it to the night life group. In the major cities.
Going out to eat junk food is too costly now
People are choosing to spend money on what they feel is more a meal. That is real or just cook at home
He is just getting a paycheck put they will go out of business
Stop blaming the shrimp and call out the bad leases
We need endless shrimp back!
People are too smart about their food choices nowadays, and branding isn’t enough
True.
Red lobster worked back in the day because they were the only chain you could get seafood from. This was huge at the time for people that enjoy it but live in the inner sections of the country where you cannot get easy access to seafood.
But now there are multiple fish restaurants the replace Red lobster and if you want fresh and not frozen seafood you can pay double the price at a fancier place to eat.
I live near Atlanta and there is a Red lobster about 30 minutes away from me. I could go there or I could go to the Atlanta Fish Market which is a fancy sit down about 15 minutes north of downtown. I would end up paying somewhere between 50 and 100% more money but my choice of fish is diverse and it's all cooked with a couple of days of arriving via airplane. The fish you get there is generally cooked within 36 hours upwards of 4 days upon arriving. It's never frozen either. I'd take that over any frozen fish.
@@z0twbro ain’t nobody reading allat
I think this young man is going to smash it.... I trust him
This young man is a Shining Star and I’m excited to see him do great things in the future.
A CEO with common sense and critical thinking skills is rare.
This story proves that
If the food ain't good, nobody will go. There wasting their money on renovations
...wow, interesting interview. I have a good feeling about this new CEOs ideas to refresh this brand🤷🏽♀️ I recently took my 87 year old friend there for dinner and she enjoyed it!
I agree!
It’s difficult to justify the price of dining out. I started equating food delivery to equivalent steaks from Costco. Costco always wins. Let’s be honest, we can all cook better steaks than those we get at steakhouses.
You have a point. I always find myself second-guessing buying certain meats at the supermarket but spending the same or even more on fast food. 🤦
💯👍
That depends on the steakhouse and what steak you get. If you talking about franchise steakhouses, then of course you can cook a better steak. If you are talking about a place that dry ages steaks, unless you doing the same at home, then....
Why do they blade tenderize
@@privateme7192 dry aged steaks are not really secrets anymore , u can buy them in upscale market , i seen them in the grand central supermarket
CEO at 35 is very impressive
The updated Red Lobster looks cheaply done. It looks like a Long John Silvers inside, not like a sit down restaurant that has quality food.
And only 300k!
Since when has Red Lobster ever had quality food to begin with? The Cheap decor is fitting for a cheap restaurant that sells cheap frozen seafood.
@@kingalainc1 When you put it like that I guess you’re right. If you’re trying to bring customers in, this is not the way to do it. I think there’s only one Red Lobster left in my area.
I haven't been to a Red Lobster in years. I doubt I will ever go back anytime soon. Last time we went to a Red Lobster the food was subpar, the drinks were awful, and the service was horrible to say the least.
Same
Could say the same for every other chain restaurants
Theres too many options. Matter of fact Cousins Maine Lobster from Shark tank is the new Red Lobster.
So one bad experience at one location is a representation of the entire company?
@@drlove994usually it is, red lobster is not cheap, family of 4 can easily spend $200 there. If restaurant mess up once, I bet customers will not return for 6 months or more
This was a like the battle of the interviews. The CEO describing his and the owners' vision, and an analyst unable to see the upside. The truth is clearly in the middle. But Fortress would not have invested in the turnaround if the prospects were as dire as the analyst suggests.
“this is gonna be the greatest comeback in the restaurant industry. “ -famous last words
Chili's in my opinion is the Greatest comeback story in restaurant history
The main problem is overcooked seafood by their cooks or chefs. That is why I no longer go there. Every time I have gone, no matter which restaurant, which city even, the food has always been tough rubber. Cook the food better. Reputation, customer service and quality is everything!
He's handsome, he's young, and has the energy to really youthanize the place.
💀
Lol
When has any of that mattered in a profit seeking venture? Balance sheet? Cost containment? Value creation? Staff motivation? Quality product? Please think deeper.
I really don't like the new bright white hospital lighting and the menu is too limited now. I don't want frozen fish nuggets I could have bought from Walmart
But that's all you ever got from Red Lobster anyway. There's nothing fresh about their seafood.
Yea it's crazy that you think Red Lobster has anything fresh 😂
The dark light was killing them though. Almost all their competitors have bright open spaces.
Good luck to him!! I love seeing young and exciting leaders in business. I hope he pulls it off.
Guy is very well spoken, I hope he's able to pull it off!
“Well spoken” 😂😂🤔
He's speaking casual English the whole time are you saying he's well-spoken because he's black and he can speak basic English properly?
@@BADTV. bingo
@@BADTV. Here we go....racist much. That's why Harris lost. Get a clue
@@meridian2009 My thoughts exactly.
Wishing him the best! Seems like a great guy
You can also turn it into a five star restaurant by hiring real chefs to prosper five star dinners , 2 in one service .
The food sucks. That’s the issue. That’s almost always the issue in a failing restaurant. The last time I ate there I said “Everytime I come here, the food is horrible. I will never eat at Red Lobster again.”
I’m just waiting for someone to comment on this accomplished young man being a DEI hire..
very proud to see a young man like him making a difference in a multi billion dollar industry.
35 years old as a CEO is super young.
He is part of the rebrand. He’s not really a CEO he’s a face
@@eedobee What's his job title?
@@eedobeehe’s THE CEO. You sound jealous
This interview was weird. First let’s talk to the young black guy and hear his plan and then pivot to the old white guy to hear why it’s not going to work. What’s the point?
Use to love going to Red Lobster but food is just too salty. They need to revamp everything. 👏🏼
Marketing, marketing, marketing. Didn’t hear that. Guy at 6:32 nails it.
The next time I need a place to serve me ultraprocessed food that leads to diabetes and inflammatory gut, I'll definitely consider Red Lobster! 👍🏾
If the food is superb, the service is excellent and vibe, ambience is sexy, people will come. Stop making excuses.
You can't offer premium product like lobster etc to the Average Joe. Reason: They can't afford what it really costs to deliver the goods and service. Red Lobster as a chain is doomed. Red Lobster as a high-end premium "members only"-type restaurant is possible.
Nonsense.
They would have to change the name to get rid of the low class dining stigma
My daughter and I ate at Red Lobsters here in Michigan right after the pandemic, and the food was not good. The crab came with crab hair on it, and the crab was gummie. Red Lobster needs great cooks. If I can make my lobster, shrimp, and steak better than yours, that's a problem.
The food has changed
Has anyone brought up how private equity ruined this company yet?
Where do market timers like me stand, I have 300k in money market funds with Fidelity and scared to invest in anything, stocks and gold are volatile alike and bonds are a no go area for me? What is the best course of action?
Wait until after all the polls are closed, do not make any moves yet. Nobody knows where this rollercoaster of markets is up next.
Consult with a comprehensive financial planner, don’t take decisions in your own hands especially at times like this.
How does one get a financial planner who isn’t just looking to make a buck? (upfront fees and whatnot) my spouse and I are in the market for guidance at this point
There are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’ monica mary strigle” for about five years now, and her performance has been consistently impressive. She’s quite known in her field, look-her up.
What’r the fees like for visiting with this advisor of yours?
Yes! A young CEO with fresh innovative ideas! About time. Congrats, sir.
This kinda feels like getting promoted to captain right after the Titanic hits the iceberg.
Someone gets it in the comment section. Just like Yahoor when they hired the female CEO
@@NeygarzruinedAmericahe was a success at his last job
Make the quality better. I went in 2023 and was shocked how far it had declined since the 2000s
They are turning Red Lobster into Bonefish Grill. Can’t argue with that.
His drive and success is so inspiring 🤩
A private equity firm came in and squeezed the life out of the restauraunt to begin with, that also should be mentioned
Red Lobster’s got to pick a lane. Is it a Quantity or a Quality restaurant? Or, somewhere in the middle? It tried to be everything and failed at being anything.
Great job! My family and I enjoy eating at this exact location! We love the vibe!
They need to start putting some of their entrees in the frozen foods section. What's wrong with adding a limit selection to the frozen foods section? They have the cheddar bay biscuits and shrimp scampi available in the supermarket already. It might help with brand recognition again and drive some people back to their dine in locations.
I personally hate bright lights in restaurants. I want to relax not feel like I’m in a cafeteria
Yes, private equity was instrumental in Red Lobster's bankruptcy. In addition, there is pending litigation regarding seafood sourced from Indonesia, Vietnam, India, and China all of whom are notorious for unsanitary conditions, overuse of antibiotics, and environmentally destructive practices. This is public knowledge now and people are repulsed, to say the least. Restaurants have FAFO people will not pay premium prices for unhealthy, poor-quality, food.
I agree. I read that our main supplier of shrimp is India and only 1% of it is inspected. Then I saw whistle blower footage of shrimp processing in India. Terrible, run down facility. Employees are not even wearing shoes. Employees sleeping on the ground in the facility then going back to work. No gloves, showering, just nasty. I stopped eating food from China years ago and things like farmed tilapia after I saw video of farm raising. Then I saw a video of street food in India. A guy was literally cutting the meat with his toe nails. I almost vomited. Then it showed other street vendors throwing all kinds of unsanitized foods in pots, cooking oil that looked like dirt because it was so old and used. Just terrible but all these food recalls in the U.S. have me wondering about unsanitary employees and managers because how can we keep having them so frequently and in large mass if people were actually doing what they're supposed to and sanitary? I feel like I can't even trust our American food suppliers. Think about that recall a few weeks ago that was over 300 pages long. Do you know how ridiculous that is? This week carrots are recalled.
Notice how after the man guts the enterprise leaving a carcass for the vultures he then brings in a bespectacled homie to try and revive the venture.
What a fool, that restaurant is doomed
Nope
Parking lots are always empty
I went to pf Chang's for the first time in about 20 years recently. It was horrible, lol.
My family (late 30s) prefers fast-casual. Sit-down restaurants like this represent a long commitment. If a waiter disappears on a break then you're stuck there. Its why things like breweries and restaurants like Chipotle have become so popular.
If my family is going to spend 90+ minutes in a restaurant, costing us $200+ then I want it to be premium and I don't want it to be a chain.
They need to rebrand as individuals brands all under red lobster, if I’m going to spend money on seafood I don’t think about going to a chain restaurant
I think considering the food and how it's cooked is the main thing, whether it's a chain or not I careless
People are willing to go to chains if the chain is associated with quality. Cheesecake Factory has a reputation for a high quality place whereas Olive Garden is associated with low quality. It doesn’t matter if people recognize your brand, it’s about brand association.
the waiter @4:11 ! He served us during our regional manager meeting this year! standout guy and definitely an asset to the business!
Only an elite Chef can turn a restaurant business around not random executives
…but he already did it at PF Chang’s.
Dude , he worked at the bottom before, so he knows the business
@@paulawhite5699 They never reopened in my location.
@@Law19157it's time to move
I'm proud to see a young man taking the helm.
They also need to take into account the fact that Americans ain’t got money to be going out to eat anymore.
Yes they do. The cost of uber eats is ridiculous and people spend a fortune just to not have to go to mcdonalds drive through.
It won’t work… not because the plan isn’t good, but because of 2 main factors that are unique to the US.
1. Inflation and economic decline.
2. Tip culture.
Step 1 - Stop letting the foreign owners run the place into the ground.
Step 2 - No more all you can eat shrimp.
That’s a problem. Shrimp are disgusting bottom feeders and is more dangerous to consume than pork. Seafood in itself must be prepared fresh. The only seafood that can be delicious and be frozen properly is fish. Shrimp are literally time bombs, people eat that frozen farmed 💩 and it’s nasty.
Have a wine option that’s labeled “Your Most Expensive Wine” (That’s $18 a bottle), rebrand the bathroom situation into Females & Fellas, appetizer menu renamed ‘Foreplay’, and then when the waiter brings your food out he says “So you gotta give respect to get respect.”
And rename it Andre's Lobsterhouse
I like the idea for the restrooms.
What about Lasses and Lads?
He knows it's NEVER gonna happen but he's a genius kid. You never know.
Overpriced seafood would rather go to a steak house
I hope the steak house you choose is not franchised. if so stay at home and cook your own
If anyone has the ability to overhaul the business it’s him.
Lower the prices and you might get business!!!
Lowering the prices would also require lowering the standards and quality of dinning. McDonald's prices gets you McDonald's standards
Went the other day. Food and service was horrible
He sounds good , but doesn’t address the heart of the problem which he is purposely ignoring. I think this is just marketing speech for his next job
Whats the heart of the problem?
@@doodoostoo90 the fact that private equity sold all the real estate out from under the business, forcing them to pay rent to the new land owners at all their properties
@@aviation11000lol. The private equity firms are the landlords. They also own the shrimp farms that made the endless shrimp.
@@mattk8810 no
If Red Lobster wants to be successful, they have to do what Chili's and Applebee's have been doing. Make meal deals on items that have an easy ROI. It's been successful for the latter as they've been beating out chain monsters like McDonald's, so if RL can replicate this they'll do just fine so long as their private equity doesn't get too out of touch
I think it’s crazy that the two people being questioned aren’t on the same page. Good luck red lobster
3:12 This is exactly what was going through my head watching this. Sure an interior redesign is nice and all but at the end of the day its the food that draws people in.
I don’t like the white men confirming or not confirming what the new CEO is saying. This is weird
The company is loaded with debt because of private equity, they have no interest in turning it around
They (PE) take on debt, but the company has to pay it off
PE is like a scam, they underperform the S&P but claim to be successful
This is not the case. Private equity is a broad category, and while many PE firms do act in the way you have described, it is actually in the current owner’s best interest to save the company. This is because what you are describing is an LBO, which takes advantage of a company’s available credit to reinvest capital without having to raise additional equity. However, since Red Lobster is bankrupt, there is virtually no remaining credit available, and the only way for the firm to make money is to turn the company around and make it profitable again. This of course is an oversimplification, but hopefully it helps provide some context.
People who unironically think a Private Equity firm is on purpose torpedoing a firm on their own books are hilarious. "Yeah the wacky finance wizards I don't understand are casting a spell to ruin everything I like because they are evil"
@@kagakai7729haha my thoughts exactly. Classic example of “don’t assign malice to what can be explained by incompetence.” Many PE firms are just short sighted and trying to make a quick buck which can lead to losses, but PE is still an overall legitimate asset class imo
@97NRBhgfdkjsvfdkjl OP is absolutely correct. What you are saying may apply to the current owners (not sure who they are) but the previous owners were private equity as well and they drove this company into the ground all while making a bunch of money. The whole point of the LBO is to disconnect PE profits from performance of the company that they purchase.
@@aviation11000 OP said that 'they have no interest in turning it around' (“they” I assumed being the current owners), which I pointed out is objectively incorrect, as turning it around is the only way that they would be able to make a profit. I acknowledged the presence of LBOs in PE, and never discounted the damaging effects that they have. I simply made the point that just because a private equity firm created Red Lobster's problem, doesn't mean that PE ownership will always lead to insolvency and that RL's situation is therefore hopeless. Fortress is the private equity firm that acquired Red Lobster post-bankruptcy. Since no creditor in their right mind would lend to them given their bankruptcy, a LBO in this case is impossible, making fixing the company the only realistic way for Fortress to make a profit in this deal. Does that make sense?
No seed oils , butter ……….. and I might consider eating there. Lighting and chairs won’t do it.
As a former manager of a few Fortune 500 company’s I can say he’s on the right track . It’s lobster that’s luxury gut it out , fix leadership , lower retention . It’s a slow grind with many hurdles and bruises . But you got this brutha 💪🏽💪🏽💪🏽
It’s about leadership man , it trickles down in this industry
Yea and im the pope😂
DEI hire tings
Everything went up after covid. Not sure I’d give this guy credit for being at the right place at the right time.
Looks like it will most definitely fail
This young man is 35 and clearly very smart! I think he’s going to turn Red Lobster around for the better.
Three letters. D. E. I.
He's held big positions. None at any period of real length or success.
@Brothersfamilyfarm "During his tenure, the company launched P. F. Chang’s To Go, a concept that led to the growth of the brand’s delivery business. He also navigated the company through Covid-19 pandemic challenges, returned it to profitability with a 31.7% increase in sales by 2021 and annual revenues of $1 billion"
Far from DEI by any means. Get your facts straight.
hater
Please. A bit ambitious. They had to pick someone to let the company blow up.
What a weak leader, from the start doging responsibility "it was there before me"
And here comes DEI to fix everything. This ought to be good... 😂
Only way I'll go back is if they bring back unlimited shrimp
Find a place called Storming Crab, you'll love it!
that was the cause of them failing lol
Glad to see Gus Fring is still expanding his empire
I'd rather eat at a restaurant that a person owns! Not a Private equity dump that nobody really has any passion the employees are driven like slaves. Get rid of the people who don't work in the restaurant and focus on being a restaurant! There's people making money who never even go to the actual restaurant!
As a previous customer who goes once in a blue moon now. The service is extremely slow because they are used to catering to senior citizens who are no Rush to eat or leave. The vibe of the place is 65+. Which is not enough of a crowd to keep it open.