Out of control prices: ‘Shake Shack’ named America’s most overpriced fast-food chain

A new study has revealed that fast food chain ‘Shake Shack’ is the most expensive in America amid a steep rise in fast food prices across the country.

A New York Post report, citing a study conducted by Preply, said that Shake Shack has topped the list for receiving the most complaints about being overpriced.

It is followed closely by Five Guys, which was also criticized for its “out of control” prices.

Notably, Shake Shack hiked its prices by 3% in the first half of 2024. This was confirmed by the burger chain’s CFO, Katie Fogertey, during an investor call.

The study also found that celebrity-owned restaurants, particularly those owned by popular chef Gordon Ramsay, were frequently called out for being overpriced.

“While diners may be willing to pay a premium for a trendy atmosphere and their favorite celebrity chef’s name on the building, they can feel let down if the food served and service offered don’t match the quality they anticipated,” the report said.

Interestingly, despite Shake Shack’s prominence in New York City, a hub for A-list-owned eateries, the city was found to have the least overpriced restaurants among major US cities.

In contrast, Oakland (California) topped the list for the most overpriced restaurants, followed by San Jose (California) and Virginia Beach (Virginia).

As part of the study, Preply reviewed the ratings of as many as 57,245 customers at over 10,000 restaurants across 50 cities.

It analyzed keywords like “pricey” and “rip-off” to determine how frequently patrons expressed dissatisfaction with the food rates.

The study comes amid widespread price hikes across fast-food chains in US, triggering outrage among regular customers.

Chipotle, for example, faced backlash from former fans over its rising prices, leading some to vow they would take their business elsewhere.

McDonald’s has also witnessed a steep increase in its menu prices, with some of the items soaring by over 100%.

However, a McDonald’s spokesperson has refuted the claims, saying that prices vary by location and arguing that the findings were inaccurate.

“This is not an accurate representation of historical or current pricing,” the spokesperson said, adding that the price of a Big Mac has only increased by 21% on average.

For Shake Shack, the rising prices have added fuel to the ongoing debate about inflation and fast-food costs in America.

The study said that California’s soaring cost of living aligns with higher restaurant prices, with residents often prioritizing high-quality ingredients, which contribute to increased costs.

Overall, Shake Shack’s position as the most overpriced chain reflects broader dissatisfaction with rising food prices, especially as the nation grapples with inflation.