On the day Rob Lynch became CEO of Shake Shack in 2024, the company opened its first location in Pittsburgh.
Two years later, the fast-casual chain has five locations in the market.
“The Pittsburgh market is killing it,” he said. “You know who else is killing it? Rochester, New York. Oklahoma City. You know, all these cities where people didn’t think Shake Shack could be successful in are turning out to be some of our best restaurants in our 2025 class.”
To Lynch, the success in these markets buttresses his strategy to democratize Shake Shack. The company has shifted course under the former Papa Johns and Arby’s executive, from a brand that was a special occasion destination concept into one that looks a lot more like its fellow fast-casual brands.
It opened 45 new company-owned locations last year and now operates 373 restaurants. It expects to open another 50 to 60 this year.
“Shake Shack was founded in a park to raise money for charity,” Lynch said in an interview. “Everybody who wanted to come in had to stand in line, whether you were a sanitation worker or a Wall Street executive. That’s not exclusive. That’s inclusive.”
Early last year, Shake Shack increased its projections for domestic development, from 450 locations to 1,500. And Lynch isn’t restricting the chain to that number, either. “I want to blow past 1,500,” he said. “We are hyper-focused on bringing Shake Shack to way more communities.”
Last year’s performance likely did not dissuade Lynch from that goal. Shake Shack said on Monday that its same-store sales rose 2.1% in the fourth quarter, despite slowing sales in the last six weeks due to poor weather in the Northeast. “We always talk about not making excuses if we get consumer issues or supply chain issues, we find ways to solve it,” Lynch said. But “I don’t think we can turn the temperature up in the Northeast.”
Wall Street is not entirely convinced. The company’s stock is down 25% over the past year, though its shares are up 19% so far in 2026.
Still, the company’s same-store sales have now grown for 20 straight quarters, the last four of which came during a period in which the fast-casual sector has lost customers. By comparison, the Yum Brands-owned fast-casual chain Habit Burger has reported 10 negative quarters over that same period, not including last quarter for which numbers have not been reported. Chains like Chipotle, Sweetgreen, Cava and others had a host of challenges last year.
Yet shifting from an exclusive concept with select locations to one with locations in smaller markets and neighborhoods means a different strategy for pricing and real estate.
The company last year launched a $1-$3-$5 deal on its mobile app, giving customers the option to buy drinks for $1, fries for $3 or shakes for $5, which helped pull in traffic in the back half of the year, and generated 4.9% same-store sales in the third quarter.
“That can sound like discounting, but it’s not,” Lynch told investors at the ICR Conference on Monday. “It is very intentional and strategic.” He said it’s not cannibalizing the existing business and noted that app orders represent just 10% of the company’s sales.
The offer brought in new customers and drove app downloads, which will pave the way for a loyalty program this year. “Every new user we bring into our app today for this strategic promotion will lead to a built-in loyalty member when we launch our loyalty platform,” Lynch said.
It’s worth pointing out that Shake Shack did not abandon its premium options. In November it introduced the Big Shack, priced at $10, which features two quarter-pound patties on a two-tier bun. Lynch said the burger has generated incremental traffic into its restaurants. It brought back its Korean Menu earlier this month, including new K-Shack Fried Chicken Bites featuring a gochujang glaze.
Then there’s real estate. Shake Shack now has a variety of prototypes. It has a new smaller format that the company believes will be able to generate strong returns. The volumes of its drive-thru prototype are now healthy. And the company just introduced a prototype with a bar, including a 5,500-square-foot flagship in Atlanta.
All of which is designed to bring a concept once considered exclusive to the masses.
“We want to make every day special,” Lynch said. “Why can’t people go to Shake Shack for family burger night every week? We’re selling $25 burgers for 10 bucks. Our burger is a quarter pound of beef that we use with a 20% brisket grind. We have everything fresh every day.
“I couldn’t be more excited to scale this brand.”