Lots of pubs still thrive despite the smoking ban, and the Red Lion has a huge outdoor area they can use. I've not been for a while, the sight of a karaoke machine last time I visited meant I promptly cycled to Gnosall instead!
I can't say what is needed for this pub to survive, only what it would take to get me in there.
First thing would be a different menu, the new one looks like they were trying to compete with the Hungry Horse. If I want generic chain food crap I'd go there, what I want from a country pub is a simpler menu with a frequently changing specials board where the food isn't just defrosted and microwaved.
Drinks range is obviously important, I know they got Old Rosie in on the ciders but that was the one on the whole list I really wouldn't travel for. Why won't anyone just stock some bottles? They last for ages and you only need a few of each in the fridge, yet I frequently see in pubs 12 rows of the same weird flavour alcopop and they say they have no room to stock other varieties of drinks. 18 different flavours of WKD will not entice me in....
Decor, I like the bar but the extension just feels cold. It may look different now, been a while like I said, but it felt nothing like a country pub at all. Plus it had a karaoke machine in it....
Like I said, just my own 2p and probably different to what a lot of people want. Its what would get me there though.