The Port Chip Shop, in Dudley Port, was taken over by the Dhariwal family nearly three years ago, after they had run the shop next door for 20 years.
The family-run business is famous now for the queues outside the door due to high demand – and has been named the borough's best in an Express & Star competition.
Manny Dhariwal, manager, said: "It is great news. We have won the award two years running now, which is massive.
"It means we are keeping our standards of food at a high level and we are doing something right. We want to say a massive thank you to all our customers.
"We have been open three years in July so to win this award twice in three years is phenomenal. We will try for a third time!
"It used to be a chip shop here years ago and that was well known in the area for its accolades. So it is great to be continuing its legacy and winning more awards.
"It is a massive thank you to our customers again."
The runner-up in Sandwell was the Black Country Chippy, in Great Bridge Road, Tipton, while Junction 1 Chippy, in High Street, West Bromwich, came third.
Dean Gilbert, who runs Black Country Chippy with brother Brett, said: "We are happy about coming second, it would have been great to come first. We don't normally enter competitions like this.
"It is thanks to our customers who have been coming in for over 60 years – and thanks to them for voting for us.
"We have been here for such a long time and we have built up a rapport with our customers – and they have stuck with us."
Andy Maxwell, Express & Star circulation sales manager, said: “I would like to congratulate all the five edition area winners firstly for taking part but more importantly for coming out on top in what proved to be a keenly contested contest.
“All runners-up should equally be excited with their success. To be recognised as the most popular Chip Shop of the Year within the area that they serve is an accolade that all winners should be rightfully proud of.
"We had some fantastic entries across the board and they have proved chip shops are still doing a roaring trade across the Black Country and Staffordshire.
"Well done for all the hard work involved in achieving this award."