Red Lobster's cheap "endless shrimp" offer chewed into its profits

When Red Lobster diners tucked into the seafood chain's all-you-can-eat shrimp, they were also biting into something else — the company's profits. 

In June, Red Lobster made its popular "Ultimate Endless Shrimp" promotion, which it had long offered on a limited-time basis a permanent fixture on its menu. The goal: to boost foot traffic to its restaurants between July and December, when sales typically slow. 

Under the all-you-can-eat offer, diners get two shrimp-based dishes to start, but then can order as many additional shrimp dishes as they want, including favorites like Popcorn Shrimp, Garlic Shrimp Scampi and Shrimp Linguini Alfredo.