Shake Shack has responded to a viral video that showed customers being charged more for their orders after declining to add a tip. The fast-food chain clarified its stance after a customer, BD Powell, shared a video on TikTok documenting the situation at a Shake Shack location in Salt Lake City International Airport.
The video depicted Powell's order total increasing by $1.50 after he opted out of adding a tip. The clip gained significant traction online, accumulating millions of views and thousands of comments.
Corey Gee, a spokesperson for Shake Shack, explained that the pricing anomaly was the result of an error within the kiosk technology at a licensee-owned restaurant. "It is not Shake Shack policy, nor that of our licensees, to increase the price of menu items when no tip is added," Gee told the Daily Mail. "The pricing issue shared online occurred at an airport Shack that is owned and operated by our licensee HMSHost. HMSHost investigated the matter and determined it was an error within their kiosk technology unrelated to tipping."
The spokesperson confirmed that the issue has since been resolved. Powell's experience involved ordering three Classic Shakes, each priced at $5.99. After selecting "no tip," an error message appeared, indicating a "pricing update." The cost of the three shakes increased by 50 cents each, raising the total from $18.46 to $19.96.
The incident sparked online debate about tipping culture, particularly for self-service orders. Some social media users expressed frustration and stated they would take their business elsewhere. Others questioned the necessity of tipping for orders placed at kiosks.
Shake Shack has faced previous discussions regarding its tipping practices. In a separate instance, a customer wrote an open letter criticizing the company's reliance on tips to compensate staff, citing already high menu prices.