Chick-fil-A keeps winning over customers despite silently increasing prices by 55% since 2012
Affordability has become a major issue across America, and it's a priority for the Trump administration as well. Chick-fil-A isn't a globally popular brand like McDonald’s, but it has become one of America’s favorite fast food destinations. The reason is that even as fast food prices skyrocketed in the past decade, Chick-fil-A continued to deliver great-tasting chicken sandwiches to its customers at affordable prices. The observation is quite clear in the numbers that suggest the restaurant chain has been raising prices while increasing market share at the same time. Compared to a 100% rise in prices at McDonald's between 2014 and 2024, according to the New York Post, the chain's 55% hike since 2012 helps it retain loyal customers.
Since opening its doors in 1967, Chick-fil-A has steadily built a loyal customer base that seems to have endured the rise in fast food prices. Between 2014 and 2024, the average fast food menu prices have increased by 39% to a whopping 100% according to a recent report from FinanceBuzz. This has far outpaced the national inflation rate, which stood at 33% during the same time.
According to Mashed, when Chick-fil-A debuted its popular spicy chicken sandwich in 2012, it cost about $2.95. Now, depending on the location, the price of the sandwich can be around $5.29, marking roughly a 65% price increase. As per the publication, accounting for an inflation rate of 39.3% the sandwich should cost $4.11 today. However, that has clearly not been the case, and analysts attribute the rise in prices to a number of factors other than inflation. “There were increased commodity costs. We’ve seen those start to normalize, but what continues to be ahead of historical averages is the increase in labor costs that restaurants are seeing," Jim Salera, analyst at Stephens, told CNBC.
However, even with prices doubling since 2014, Chick-fil-A's popularity has only grown. According to QSR Magazine, the fast food chain generated over $22.7 billion in sales and over $9 billion in total revenue last year, reporting a nearly 14% increase from 2023. The numbers have been steadily rising over the years, from 2019, when the chain did $12.2 billion in sales. Furthermore, despite its comparatively smaller size, the chain has been quietly expanding its market share as well.
“Chick-fil-A only has 3,000 locations nationwide, a relatively small number compared to other fast food chains, which is arguably one of its greatest assets,” noted Food and Culture journalist at Tasting Table, Brian Udall. He further noted that loyal customers of the chain are willing to go out of their way and travel to a Chick-fil-A because the food is good. "And capitalizing on that market demand through lower overhead costs is no small part of how Chick-fil-A has become the third most successful fast food chain in the country," he added.
Furthermore, Franchise Sidekick Founder & CEO Ryan Zink told Entrepreneur, that "Chick-fil-A undeniably boasts one of the best fast-food concepts in the world, and it has mastered the art of focus, quality and customer service.” The chain has now expanded overseas, with stores in England and Singapore, after operating solely in North America for decades.
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