How the Public Lost Interest in Its Craving for Pizza Hut

In the past, Pizza Hut was the go-to for families and friends to enjoy its eat-as-much-as-you-like offering, help-yourself greens station, and ice cream with toppings.

However not as many patrons are visiting the chain these days, and it is reducing half of its British locations after being bought out of administration for the second occasion this year.

I remember going Pizza Hut when I was a child,” says a young adult. “It was like a family thing, you'd go on a Sunday – turn it into an event.” However, at present, as a young adult, she states “it's no longer popular.”

For young customer Martina, some of the very things Pizza Hut has been known and loved for since it launched in the UK in the seventies are now not-so-hot.

“How they do their all-you-can-eat and their salad station, it feels like they are cutting corners and have inferior offerings... They offer so much food and you're like ‘How can they?’”

As food prices have increased significantly, Pizza Hut's all-you-can-eat model has become increasingly pricey to run. The same goes for its restaurants, which are being reduced from a large number to 64.

The company, similar to other firms, has also seen its expenses increase. In April this year, employee wages increased due to higher minimum pay and an higher rate of employer taxes.

Chris, 36, and Joanne, 29 explain they used to go at Pizza Hut for a date “every now and then”, but now they get delivery from Domino's and think Pizza Hut is “very overpriced”.

According to your choices, Pizza Hut and Domino's rates are similar, explains an industry analyst.

While Pizza Hut provides off-premise options through third-party apps, it is missing out to big rivals which specialize to the delivery sector.

“Domino's has succeeded in leading the delivery market thanks to strong promotions and ongoing discounts that make customers feel like they're getting a bargain, when in reality the original prices are quite high,” says the expert.

But for the couple it is justified to get their special meal delivered to their door.

“We absolutely dine at home now instead of we eat out,” comments one of the diners, matching current figures that show a drop in people going to informal dining spots.

Over the summer, casual and fast-food restaurants saw a notable decrease in patrons compared to the year before.

There is also a further alternative to restaurant and takeaway pizzas: the frozen or fresh pizza.

A hospitality expert, senior partner at a leading firm, notes that not only have supermarkets been providing good-standard prepared pies for a long time – some are even offering pizza-making appliances.

“Evolving preferences are also having an impact in the success of casual eateries,” states the expert.

The rising popularity of protein-rich eating plans has driven sales at grilled chicken brands, while reducing sales of dough-based meals, he notes.

Since people go out to eat more rarely, they may seek out a more upscale outing, and Pizza Hut's classic look with booth seating and red and white checked plastic table cloths can feel more retro than luxurious.

The growth of premium pizza outlets” over the last decade and a half, such as boutique chains, has “fundamentally changed the consumer view of what quality pizza is,” says the industry commentator.

“A thin, flavorful, gentle crust with a select ingredients, not the excessively rich, thick and crowded pizzas of the past. This, in my view, is what's caused Pizza Hut's downfall,” she says.
“Who would choose to spend £17.99 on a modest, low-quality, underwhelming pizza from a franchise when you can get a beautiful, masterfully-made classic pizza for under a tenner at one of the many authentic Italian pizzerias around the country?
“It's an easy choice.”
Dan Puddle, who operates a pizza van based in a regional area explains: “It's not that fallen out of love with pizza – they just want improved value.”

Dan says his mobile setup can offer premium pizza at reasonable rates, and that Pizza Hut struggled because it could not keep up with changing preferences.

According to an independent chain in a city in southwest England, the founder says the sector is broadening but Pizza Hut has failed to offer anything fresh.

“There are now slice concepts, London pizza, New Haven-style, fermented dough, wood-fired, deep-dish – it's a heavenly minefield for a pizza enthusiast to discover.”

He says Pizza Hut “needs to reinvent itself” as newer generations don't have any sense of nostalgia or allegiance to the company.

In recent years, Pizza Hut's customer base has been sliced up and distributed to its more modern, agile rivals. To maintain its high labor and location costs, it would have to raise prices – which commentators say is tough at a time when personal spending are tightening.

A senior executive of Pizza Hut's overseas branches said the acquisition aimed “to safeguard our dining experience and retain staff where possible”.

It was explained its key goal was to continue operating at the open outlets and off-premise points and to support colleagues through the restructure.

But with significant funds going into running its restaurants, it may be unable to allocate significant resources in its takeaway operation because the sector is “complex and working with existing delivery apps comes at a expense”, commentators say.

But, he adds, lowering overhead by exiting oversaturated towns and city centres could be a effective strategy to adjust.

Jacob Roberts
Jacob Roberts

A passionate tech writer and gaming aficionado with over a decade of experience in digital content creation.

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