Why the Public Lost Interest in Its Craving for Pizza Hut
In the past, the popular pizza chain was the top choice for families and friends to feast on its eat-as-much-as-you-like offering, help-yourself greens station, and self-serve ice-cream.
Yet not as many patrons are visiting the restaurant these days, and it is closing half of its UK outlets after being bought out of administration for the second instance this calendar year.
I remember going Pizza Hut when I was a child,â says one London shopper. âIt was a tradition, you'd go on a Sunday â spend the whole day there.â Today, as a young adult, she states âit's not a thing anymore.â
According to 23-year-old Martina, some of the very things Pizza Hut has been recognized for since it started in the UK in the 1970s are now outdated.
âThe manner in which they do their all-you-can-eat and their salad station, it appears that they are cutting corners and have reduced quality... They offer so much food and you're like âHow is that possible?ââ
Because food prices have soared, Pizza Hut's buffet-style service has become quite costly to maintain. Similarly, its restaurants, which are being cut from over 130 to 64.
The chain, in common with competitors, has also seen its expenses go up. Earlier this year, labor expenses rose due to increases in the legal wage floor and an increase in employer taxes.
Two diners explain they would often visit at Pizza Hut for a date âoccasionallyâ, but now they order in Domino's and think Pizza Hut is âtoo expensiveâ.
Based on your order, Pizza Hut and Domino's prices are close, says a culinary author.
While Pizza Hut has off-premise options through delivery platforms, it is losing out to major competitors which specialize to off-premise dining.
âDomino's has managed to dominate the delivery market thanks to intensive advertising and frequent offers that make shoppers feel like they're saving money, when in reality the standard rates are quite high,â says the specialist.
However for these customers it is acceptable to get their date night brought to their home.
âWe predominantly have meals at home now instead of we eat out,â says one of the diners, reflecting recent statistics that show a decrease in people frequenting quick-service eateries.
In the warmer season, casual and fast-food restaurants saw a six percent decline in customers compared to the year before.
Additionally, a further alternative to pizza from eateries: the supermarket pizza.
A hospitality expert, head of leisure and hospitality at a major consultancy, points out that not only have retailers been selling high-quality prepared pies for quite a while â some are even offering home-pizza ovens.
âShifts in habits are also having an impact in the popularity of casual eateries,â states the expert.
The rising popularity of low-carb regimens has boosted sales at chicken shops, while affecting sales of dough-based meals, he adds.
As people dine out more rarely, they may seek out a more premium experience, and Pizza Hut's classic look with comfortable booths and traditional décor can feel more dated than premium.
The rise of high-quality pizzeriasâ over the last decade and a half, such as boutique chains, has âdramatically shifted the public's perception of what good pizza is,â notes the industry commentator.
âA light, fresh, easy-to-digest product with a few choice toppings, not the excessively rich, thick and crowded pizzas of the past. This, in my view, is what's resulted in Pizza Hut's decline,â she comments.
âWhat person would spend a high price on a small, substandard, disappointing pizza from a large brand when you can get a beautiful, masterfully-made Margherita for under a tenner at one of the many authentic Italian pizzerias around the country?
âIt's an easy choice.â
A mobile pizza vendor, who owns Smokey Deez based in Suffolk says: âPeople havenât lost interest in pizza â they just want improved value.â
He says his mobile setup can offer gourmet pizza at affordable costs, and that Pizza Hut had difficulty because it could not keep up with changing preferences.
According to an independent chain in a UK location, owner Jack Lander says the sector is broadening but Pizza Hut has neglected to introduce anything fresh.
âYou now have by-the-slice options, regional varieties, New Haven-style, fermented dough, wood-fired, Detroit â it's a wonderful array for a pizza enthusiast to explore.â
Jack says Pizza Hut âshould transformâ as younger people don't have any sense of nostalgia or attachment to the brand.
In recent years, Pizza Hut's share has been divided and allocated to its fresher, faster competitors. To keep up its costly operations, it would have to increase costs â which commentators say is difficult at a time when family finances are tightening.
A senior executive of Pizza Hut's international markets said the acquisition aimed âto safeguard our guest experience and protect jobs where possibleâ.
He said its key goal was to keep running at the surviving locations and takeaway hubs and to help employees through the transition.
But with significant funds going into operating its locations, it probably cannot to invest too much in its delivery service because the market is âdifficult and working with existing third-party platforms comes at a expenseâ, experts say.
However, it's noted, lowering overhead by withdrawing from competitive urban areas could be a smart move to evolve.