Have you noticed your wallet feeling lighter after a trip to Five Guys? You’re not alone. The burger chain known for its hand-cut fries and juicy burgers has been raising eyebrows (and prices) nationwide. What used to be a slightly pricier fast food option has transformed into what many consider a “luxury meal,” with the average Five Guys meal now costing around $20.84 in 2025. That’s compared to under $14 at places like McDonald’s, Wendy’s, and Burger King. So what’s behind these eye-popping prices that keep climbing higher?
Fresh ingredients cost way more than frozen ones
When you bite into a Five Guys burger, you’re tasting fresh beef that was never frozen. While most fast food places use frozen patties that can be stored for months, Five Guys gets fresh beef delivered multiple times a week. This means they need more frequent deliveries, have more food waste when business is slow, and can’t take advantage of bulk buying frozen meat when prices are low. Fresh produce follows the same pattern – those tomatoes, lettuce, mushrooms, and onions that go on your burger aren’t sitting in a freezer for weeks.
The same goes for those famous fries. Five Guys uses fresh potatoes that workers cut by hand each day – a much more expensive process than dumping frozen fries into hot oil. And speaking of oil, Five Guys uses peanut oil for frying, which costs more than the vegetable oil most chains use. This commitment to freshness drives up their costs significantly, and those costs get passed directly to you. When beef, potatoes, or produce prices spike due to shortages or inflation, Five Guys can’t just switch to cheaper frozen alternatives – they either raise prices or lose money.
Those “free” toppings aren’t actually free
One of Five Guys’ main selling points is their extensive list of toppings that you can add to your burger at no extra charge. Want grilled mushrooms, grilled onions, jalapeños, A.1. sauce, and BBQ sauce all on one burger? Go for it – the menu price doesn’t change. But here’s the catch: those toppings aren’t really free. Their cost is built into the base price of every burger, whether you get one topping or ten. This makes comparison shopping tricky. A basic burger at another chain might seem cheaper, but once you add extra toppings (which often cost $0.50-$1.00 each elsewhere), the price gap shrinks.
The problem comes when ingredient costs rise. Since Five Guys can’t just raise the price of specific add-ons (since they’re supposedly “free”), they have to increase the base price of all burgers. CEO Jerry Murrell has been clear about this pricing strategy, saying they simply raise prices when their costs go up. When mayonnaise gets more expensive, burger prices increase. When beef costs rise, so do menu prices. This straightforward approach means customers feel the full impact of inflation and supply chain problems in real-time.
Beef prices have skyrocketed nationwide
Beef prices have been on a wild ride in recent years, hitting record highs due to a perfect storm of problems. Droughts in cattle-producing states have limited the feed available for cows, driving up costs for ranchers. Supply chain disruptions during and after the pandemic created bottlenecks in meat processing. Consolidation in the meat industry has reduced competition, giving the few remaining major players more control over pricing. These factors combine to make beef much more expensive than it was just a few years ago.
This hits Five Guys particularly hard for two reasons. First, they use fresh beef, which typically costs more than frozen. Second, their burgers contain more meat than many competitors – a regular cheeseburger has two patties totaling about 1/3 pound of beef. When beef prices go up, Five Guys feels the pain more than chains that use smaller, frozen patties. And based on their own statements, they pass these costs directly to customers rather than absorbing them or finding ways to cut corners on quality.
Labor costs have increased dramatically
Working at a fast food restaurant used to mean minimum wage with few benefits. That’s changed dramatically in recent years as workers demand better pay and working conditions. Five Guys has had to increase wages to attract and keep good employees in a tight job market. Since they make everything fresh in-store, they need more workers than chains that rely heavily on pre-made, frozen items. Those hand-cut fries don’t cut themselves – someone has to wash, peel, and slice all those potatoes. Fresh beef requires more careful handling than frozen patties.
Labor typically makes up about 30% of a restaurant’s operating costs, so when wages go up, it has a major impact on the bottom line. The push for higher minimum wages in many states has accelerated this trend. While better pay for workers is a good thing, it does mean higher prices for customers. Five Guys has chosen to maintain their labor-intensive food prep methods rather than cutting corners, which means passing higher labor costs on to customers through price increases.
Portion sizes remain huge despite rising costs
Anyone who’s ordered fries at Five Guys knows they’re famous for their generous portions. Order a “regular” fry and you’ll get a cup filled with fries plus an extra scoop dumped in the bag. It’s practically enough for two people. Their regular burgers come with two patties, not one. Many restaurants facing cost pressures resort to “shrinkflation” – keeping prices the same but reducing portion sizes. Five Guys has largely avoided this approach, maintaining their oversized portions even as ingredient costs rise.
While this commitment to value through large portions is admirable in some ways, it means they have fewer options for managing costs besides raising prices. They’re using more ingredients per order than most competitors, which amplifies the impact of rising food costs. When beef gets more expensive, chains that use smaller patties can absorb some of that increase, but Five Guys feels the full effect. Their focus on quality over price is part of their brand identity, but it does mean customers pay more with each visit.
Five Guys doesn’t chase discounts or deals
Open any fast food app and you’ll find a barrage of deals, limited-time offers, and discount codes. Dollar menus, 2-for-1 specials, and app-exclusive coupons have become standard practice for most chains trying to lure price-conscious customers. Five Guys has largely avoided this race to the bottom, rarely offering discounts or special deals. Until recently, they didn’t even have combo meals – you paid full price for each item. This reflects their philosophy of maintaining consistent quality rather than cutting corners to offer temporary discounts.
However, Five Guys seems to be reconsidering this approach as prices continue to rise. They recently began testing a “Classic Combo” in the US that offers a smaller burger, fries, and drink for $12.99. This suggests they recognize that their standard pricing has pushed beyond what many customers can afford for a casual meal. Still, even this new combo costs more than similar deals at most competitors, reflecting their continued focus on quality over being the cheapest option.
Global events have disrupted food supply chains
The world has faced unprecedented challenges in recent years, from the COVID-19 pandemic to climate change to major conflicts like the war in Ukraine. These events have ripple effects throughout global supply chains, affecting everything from shipping costs to fuel prices to food production. Ukraine and Russia are major exporters of wheat and vegetable oils, so the conflict there has driven up prices for basic ingredients. Extreme weather events like droughts, floods, and storms have damaged crops and disrupted transportation, making food more expensive across the board.
Five Guys’ straightforward pricing model means these global disruptions translate directly to higher menu prices. While some chains might absorb short-term cost increases to maintain customer loyalty, Five Guys has been more transparent about passing costs along to customers. As CEO Jerry Murrell explained, they base prices solely on their costs plus desired profit margins, not on what competitors charge or what marketing research suggests customers will pay. This approach keeps their business model simple but means customers feel the full impact of global supply chain disruptions.
The next time you’re hit with sticker shock at Five Guys, remember you’re paying for more than just a burger and fries. You’re paying for fresh ingredients in an industry dominated by frozen, for generous portions when many chains are shrinking theirs, and for a straightforward pricing model that reflects the true cost of quality food in challenging times. Whether that’s worth $20+ per meal is ultimately up to you to decide – and your answer will help determine if Five Guys’ premium pricing strategy continues to succeed in the increasingly expensive world of fast food.
