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Leader's Playbook

The 4 leadership lessons behind Shake Shack's success

A Shake Shack restaurant in Penn Station in New York, Aug. 9, 2025.
Gary Hershorn | Corbis News | Getty Images

In this article

These leadership takeaways are part of a new primetime series, CNBC Leaders Playbook, premiering January 7 at 10 p.m. ET/PT. Hosted by Julia Boorstin, the series goes inside the minds of the world's top business leaders to reveal how lasting success is built.

The #1 leadership rule that helped build Shake Shack, according to founder Danny Meyer
VIDEO1:4801:48
The #1 leadership rule that helped build Shake Shack, according to founder Danny Meyer

1) Start with purpose

Shake Shack founder Danny Meyer never set out to build a massive company.

It all began as an experiment in "enlightened hospitality" — which is Meyer's belief that when you put employees first, they deliver better guest experiences, which drives loyalty, revenue, and long-term success for everyone involved.

That experiment started in the most unlikely place: a hot dog cart in a public New York City park. The empire grew from that single cart only because his philosophy resonated.

I wanted to prove that hospitality works at something as mundane as a hot dog cart, not a fancy restaurant.
Danny Meyer
Shake Shack Founder

2) Put your people first

Meyer says the strongest companies run on a virtuous cycle — and it starts with employees.

But it isn't about putting customers or investors last. It's about understanding that engaged, motivated employees create better guest experiences, which drive revenue and, ultimately, stronger returns for investors.

The idea is simple: when you have happier employees, you have happier customers.

And that will drive more revenue, which means more money to reinvest in staff, community, and suppliers and ultimately it all adds up to better returns for investors.

If any link in that chain breaks, he says, the whole system breaks.

When you have happier employees, you get happier guests, then you get more revenue.
Danny Meyer
Shake Shack Founder

3) The 100% hiring rule

When hiring a new employee, Meyer says technical skills matter, but hospitality skills matter a little bit more.

You can teach the skills employees need to do the job, but you can't teach someone how to deliver authentic hospitality that makes customers feel special.

For that reason, Meyer looks for hires with qualities like kindness, optimism, curiosity, empathy, self-awareness, and integrity — traits you don't typically see listed on a résumé.

51% of it are your emotional hospitality skills… the 49% that gets us to 100% are somebody's technical skills.
Danny Meyer
Shake Shack Founder
Shake Shack founder Danny Meyer on how to hire the right people
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Shake Shack founder Danny Meyer on how to hire the right people

4) Make every day count

Meyer has the humility to understand that earning a guest's trust today doesn't guarantee you'll have it tomorrow — which is why he believes that every day offers an opportunity to prove your value.

Today is the day to become the company people think we are.
Danny Meyer
Shake Shack Founder

Watch Danny Meyers' interview on CNBC Leaders Playbook — a new prime-time series hosted by Julia Boorstin, featuring candid conversations with the world's top business leaders on how lasting success is built.

Episode premiere (Shake Shack): Jan. 7 at 10:30 p.m. ET/PT on CNBC.

All new episodes Wednesdays.

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