Have you noticed that your favorite Five Guys burger now costs almost as much as a sit-down restaurant meal? You’re not alone. A recent social media post showing a $24 receipt for just a bacon cheeseburger, small fry, and regular soda has sparked major outrage online. People everywhere are asking: what happened to affordable fast food? Looking at Five Guys menu boards today might give you sticker shock – with some locations charging over $10 for a basic burger. The company has its reasons for these price hikes, and you might be surprised at what’s really going on behind the scenes.
The fresh ingredients policy drives up costs
Unlike many other fast food places, Five Guys has always been serious about using fresh ingredients. When you order a burger, you’re getting meat that’s never been frozen. The beef patties are hand-formed daily, and all the vegetables for toppings are chopped fresh every morning. This might not seem like a big deal, but it makes a huge difference in both taste and price. Fresh ingredients cost significantly more than frozen ones – they have shorter shelf lives, require more frequent deliveries, and need more careful handling and storage. This commitment to freshness means higher costs that get passed down to you.
Another expensive choice Five Guys makes is using peanut oil for frying their famous fries. Most fast food chains use cheaper vegetable oils, but peanut oil costs a lot more. Why use it? Peanut oil has a clean taste that doesn’t transfer between batches of food and can handle high temperatures without breaking down. The company believes this produces better-tasting fries, but that quality comes with a much higher price tag. These freshness standards are non-negotiable for Five Guys, and as the cost of these quality ingredients rises, so do the prices on the menu.
Free toppings aren’t actually free
One of Five Guys’ biggest selling points is their extensive list of “free” toppings. You can add any or all of their 15 different toppings to your burger without paying extra. This sounds like a great deal, but those toppings are actually built into the initial higher price of the burger. Other fast food places charge you $0.50 here and $1.00 there for extra cheese or bacon, making their base prices look cheaper. Five Guys takes a different approach – they start with a higher price that includes all potential toppings. This pricing strategy makes comparison shopping tricky because you’re not comparing apples to apples.
The company’s founder, Jerry Murrell, has been straightforward about their pricing philosophy. In interviews, Murrell has explained that they raise prices directly in response to their own increasing costs. If the mayo supplier triples their price, Five Guys triples what they charge to cover that ingredient. This transparent but strict margin-based pricing means that as food costs rise across the board, Five Guys prices climb steadily upward too. The “free toppings” model means they can’t just raise prices on specific add-ons – the whole burger price has to increase to maintain their margins.
Beef prices have skyrocketed nationwide
Beef prices have been on a wild ride in recent years, affecting every restaurant that serves burgers. Multiple factors have pushed beef costs to record highs – severe droughts have reduced cattle herds, supply chain issues have disrupted distribution, and consolidation in the meat industry has reduced competition. The average price of a burger across all restaurants reached nearly $16 in 2023, showing this isn’t just a Five Guys problem. For a company that uses fresh beef daily and doesn’t cut it with fillers, these beef price increases hit especially hard.
Political factors are playing a role too. A 25% tariff on beef imports from Canada has further driven up costs. Since Five Guys uses large quantities of beef and refuses to compromise on quality by switching to cheaper alternatives, they’ve had little choice but to raise menu prices accordingly. The impact of these beef price increases affects all burger chains, but it’s particularly noticeable at Five Guys because their burgers are already positioned at a premium price point. When beef prices jump, their already-expensive burgers become even more costly.
Labor costs have risen dramatically
Fast food used to be known for minimum wage jobs, but that’s changing fast. In today’s tight job market, restaurants struggle to find and keep good workers. To compete for employees, Five Guys and other chains have had to raise wages significantly. Many states have also increased their minimum wages, forcing restaurants to pay more. This labor cost increase isn’t a small expense – for most restaurants, employee pay makes up about 30% of their total operating costs. When that major expense category increases by even 10-15%, it creates a significant need to raise prices.
Five Guys’ operation model requires more staff than some fast food places. Since they make everything fresh, they need more people in the kitchen prepping ingredients and cooking food to order. They can’t rely as heavily on pre-made, frozen items that just need reheating. This higher labor cost was manageable when wages were lower, but as pay rates rise across the industry, Five Guys has to charge more to maintain profitable operations. And it’s not just wages – the cost of employee benefits, training, and other HR expenses have all increased too.
Portion sizes remain huge despite rising costs
Anyone who’s ordered fries at Five Guys knows their reputation for generous portions. Order a “regular” fry and you’ll get a cup full plus an extra scoop dumped in the bag. These massive portions have become part of the Five Guys brand identity, but they come at a significant cost. While other chains have quietly reduced portion sizes to avoid raising prices (sometimes called “shrinkflation”), Five Guys has mostly maintained their large serving sizes. That’s admirable from a customer satisfaction standpoint, but it means they can’t absorb cost increases by serving less food.
The company’s commitment to large portion sizes extends to their burgers too. A standard Five Guys burger contains two patties (about 1/3 pound of meat total), while their “little” burger has one patty. This is substantially more meat than many competing chains serve in their basic burgers. As the cost of ingredients rises, these generous portions become increasingly expensive to maintain. Some Five Guys defenders point to these large portions as justification for the higher prices, arguing that you’re getting more food for your money compared to other chains, even if the upfront cost is higher.
Fast food prices are up everywhere, not just Five Guys
While Five Guys prices may seem shocking, they’re part of a broader trend affecting the entire fast food industry. McDonald’s prices have roughly doubled over the past decade – a Quarter Pounder with Cheese meal that cost $5.39 in 2014 now runs about $11.99. Wendy’s, Burger King, and other chains have all significantly raised their prices too. Industry-wide factors like increased food costs, higher wages, and rising operational expenses are forcing all restaurants to charge more. Five Guys prices stand out because they were already positioned at a premium level before these increases began.
The fast food industry is struggling to balance affordability with profitability in this new economic environment. Many chains are introducing more aggressive deals and promotions to maintain customer traffic while keeping their regular menu prices high. Five Guys has largely avoided this approach, rarely offering discounts or special deals. This consistent premium pricing strategy makes their price increases more noticeable and has led to more customer complaints on social media. But food industry experts say consumers may need to adjust their expectations about what fast food should cost in today’s economy.
Are Five Guys burgers worth the higher prices? That depends on what you value. If having fresh ingredients, unlimited toppings, and generous portions matters to you, you might find the cost justified. But if you’re looking for a quick, budget-friendly meal, you may need to look elsewhere or save Five Guys for special occasions. As food costs continue to rise globally, don’t expect prices to come down anytime soon – this new reality of more expensive fast food is likely here to stay.
