How the Public Lost Interest in Its Craving for Pizza Hut

At one time, Pizza Hut was the top choice for families and friends to feast on its unlimited dining experience, endless salad selection, and make-your-own dessert.

However not as many patrons are choosing the chain currently, and it is reducing a significant portion of its UK locations after being rescued from insolvency for the second time this year.

I remember going Pizza Hut when I was a child,” explains a young adult. “It was a regular outing, you'd go on a Sunday – turn it into an event.” However, at present, aged 24, she comments “it's not a thing anymore.”

According to young customer Martina, the very elements Pizza Hut has been known and loved for since it opened in the UK in the seventies are now less appealing.

“How they do their buffet and their salad bar, it seems as if they are cheapening on their quality and have reduced quality... They offer so much food and you're like ‘How?’”

Because food prices have increased significantly, Pizza Hut's unlimited dining format has become quite costly to maintain. The same goes for its locations, which are being reduced from a large number to a smaller figure.

The business, in common with competitors, has also faced its expenses rise. Earlier this year, employee wages increased due to higher minimum pay and an increase in employer taxes.

Chris, 36, and Joanne, 29 explain they would often visit at Pizza Hut for a date “occasionally”, but now they choose Domino's and think Pizza Hut is “very overpriced”.

According to your choices, Pizza Hut and Domino's costs are close, says an industry analyst.

Even though Pizza Hut provides takeaway and deliveries through delivery platforms, it is falling behind to big rivals which specialize to off-premise dining.

“Another pizza company has succeeded in leading the delivery market thanks to strong promotions and ongoing discounts that make customers feel like they're saving money, when in reality the standard rates are relatively expensive,” explains the specialist.

Yet for these customers it is justified to get their date night brought to their home.

“We definitely eat at home now instead of we eat out,” explains one of the diners, echoing latest data that show a decrease in people frequenting informal dining spots.

Over the summer, quick-service eateries saw a notable decrease in patrons compared to the previous year.

Moreover, one more competitor to ordered-in pies: the cook-at-home oven pizza.

Will Hawkley, senior partner at an advisory group, notes that not only have retailers been offering premium oven-ready pizzas for a long time – some are even offering pizza-making appliances.

“Evolving preferences are also having an impact in the popularity of fast-food chains,” says Mr. Hawkley.

The rising popularity of low-carb regimens has boosted sales at grilled chicken brands, while hitting sales of high-carbohydrate options, he continues.

Because people dine out not as often, they may prefer a more upscale outing, and Pizza Hut's classic look with comfortable booths and nostalgic table settings can feel more retro than upmarket.

The growth of premium pizza outlets” over the last 10 to 15 years, for example new entrants, has “completely altered the general opinion of what excellent pie is,” explains the food expert.

“A crisp, airy, digestible pizza with a few choice toppings, not the massively greasy, heavy and overloaded pizzas of the past. That, arguably, is what's caused Pizza Hut's struggles,” she comments.
“Who would choose to spend nearly eighteen pounds on a small, substandard, disappointing pizza from a chain when you can get a beautiful, masterfully-made classic pizza for less than ten pounds at one of the many authentic Italian pizzerias around the country?
“It's an easy choice.”
A mobile pizza vendor, who owns Smokey Deez based in Suffolk comments: “The issue isn’t that lost interest in pizza – they just want improved value.”

Dan says his adaptable business can offer premium pizza at accessible prices, and that Pizza Hut had difficulty because it was unable to evolve with evolving tastes.

At an independent chain in a city in southwest England, the proprietor says the industry is expanding but Pizza Hut has neglected to introduce anything fresh.

“Currently available are slice concepts, London pizza, new haven, sourdough, Neapolitan, deep-dish – it's a wonderful array for a pizza enthusiast to explore.”

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

Gradually, Pizza Hut's customer base has been sliced up and allocated to its trendier, more nimble alternatives. To maintain its expensive staffing and restaurants, it would have to charge more – which experts say is difficult at a time when personal spending are tightening.

A senior executive of Pizza Hut's global operations said the acquisition aimed “to ensure our customer service and retain staff where possible”.

It was explained its first focus was to maintain service at the surviving locations and off-premise points and to support colleagues through the restructure.

Yet with large sums going into maintaining its outlets, it may be unable to spend heavily in its delivery service because the industry is “complicated and using existing third-party platforms comes at a expense”, analysts say.

However, it's noted, lowering overhead by exiting oversaturated towns and city centres could be a effective strategy to adjust.

Lisa Henderson
Lisa Henderson

A tech-savvy journalist passionate about digital trends and storytelling, with a knack for uncovering the latest in innovation.