Red Lobster and TGI Fridays Closing

Red Lobster and TGI Fridays Are Closing Locations: A Global Shift in Casual Dining

In recent months, two of the most recognized names in casual dining—Red Lobster and TGI Fridays—have made headlines for announcing closures of multiple restaurant locations, both in the United States and internationally. These developments have raised questions among loyal customers, industry analysts, and global franchise operators about the future of these long-standing restaurant chains.

This article outlines the key reasons behind the closures, the locations affected, and what this means for the future of Red Lobster and TGI Fridays around the world.

Why Are Red Lobster and TGI Fridays Closing Restaurants?

Both companies have cited a variety of reasons for the closures, including financial difficulties, shifting consumer preferences, and the broader impact of post-pandemic economic conditions. Below are the specific factors that contributed to their decision:

Rising Operational Costs

From supply chain disruptions to increasing labor costs, both brands have struggled to maintain profitability. Red Lobster, in particular, faced significant losses due to its endless shrimp promotion, which became too expensive to sustain.

Changing Consumer Dining Habits

Modern diners are increasingly shifting towards quick-service and delivery-based restaurants. Traditional sit-down dining establishments like Red Lobster and TGI Fridays have found it difficult to adapt quickly enough to these evolving preferences.

Decline in Foot Traffic

In certain regions, both brands saw a substantial decline in customer visits. With more people dining at home or seeking alternative cuisines, traffic to these restaurants has steadily decreased.

Red Lobster Closures: Which Locations Are Affected?

As of mid-2025, Red Lobster has closed more than 90 restaurants, primarily in the U.S., but also in select international markets. The closure list includes locations in Florida, California, Texas, and Illinois. While not all global franchises are affected, many are being reevaluated based on performance and regional demand.

Key points:

• Over 90 locations closed worldwide.

• Company filed for Chapter 11 bankruptcy in the U.S.

• International outlets in Asia and the Middle East remain open for now.

TGI Fridays Closures: Restructuring for a Smaller Footprint

TGI Fridays is undergoing a brand transformation strategy, aiming to streamline operations and improve the dining experience. The company has closed over 36 underperforming locations in the United States and plans to re-invest in more promising markets.

Highlights:

• 36+ U.S. locations closed by early 2025.

• Focus shifted to newer, high-traffic venues and franchise-operated outlets.

• International markets (e.g., UK, Philippines, and UAE) continue operations with minor adjustments.

Global Impact: What This Means for Customers

For international customers, the closure of U.S. locations may not directly affect day-to-day dining experiences—yet. However, it does signal a potential strategic shift for both brands globally.

Potential changes include:

• Revised menus to suit local preferences.

• More focus on delivery and takeaway services.

• Rebranding efforts to stay competitive in global markets.

What’s Next for Red Lobster and TGI Fridays?

Both chains are not vanishing entirely. In fact, this wave of closures may be a step toward long-term survival and profitability. With new investments and a focus on leaner operations, Red Lobster and TGI Fridays are expected to modernize their services, improve customer engagement, and adapt to a more competitive dining landscape.

Conclusion

The closure of Red Lobster and TGI Fridays locations marks a significant shift in the casual dining industry. While some loyal customers may be disappointed, these changes could lead to a revitalization of the brands with more relevant offerings and efficient service models. As global consumers, staying updated on these changes can help us better understand where and how to enjoy these iconic restaurants in the future.