California restaurant owner Scott Rodrick discusses the effect of inflation, labor costs and other challenges for the fast-food industry on ‘Maria Bartiromo’s Wall Street.’
For the first time, Shake Shack, the fast-casual burger chain, is getting into the loyalty game to ramp up business with economic uncertainty looming.
Starting Wednesday, the burger chain, founded by renowned New York City restaurateur Danny Meyer, said customers will be able to get any size soft drink for $1 if they order through the Shake Shack App or its website, shakeshack.com.
In June, customers ordering a burger or BBQ sandwich at least twice within a certain period — online or through the company’s app — will be eligible for discounts, according to Bloomberg.
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Shake Shack is offering the deals as it reportedly gears up to launch a more expansive loyalty platform later this year, mimicking competitors.
Travelers eat at a Shake Shack restaurant in Terminal A at Newark Liberty International Airport Sept. 28, 2024, in Newark, N.J. (Gary Hershorn/Getty Images / Getty Images)
Loyalty programs are a popular marketing strategy used to encourage repeat business. Most of the significant players in the fast-food industry have not only launched programs but altered them in recent years to stay competitive, especially as consumers pulled back during due to inflation.
With the U.S. economy still under pressure — contracting in the first quarter for the first time in three years — consumer confidence has taken a hit. Major chains, including McDonald’s, Domino’s Pizza, Chipotle Mexican Grill and Starbucks, have warned of a slowdown in consumer spending on dining out, citing inflation and economic uncertainty.
Shake Shack’s first-ever drive thru location in Maple Grove, Minn. (Shake Shack)
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Shake Shack made its announcement months after the company revealed plans to expand the popular burger chain.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| SHAK | SHAKE SHACK | 126.54 | +0.19 | +0.15% |
The company raised its target for company-operated restaurants in America to “at least” 1,500 in the long term, Shake Shack said in January. That’s a nearly 356% increase from the number of burger restaurants it operates in the U.S.
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It is seeking to open about 45 company-operated locations and 35-40 licensed locations during 2025, according to Shake Shack.
FOX Business’ Aislinn Murphy contributed to this report.