Why the Nation Lost Its Taste for the Pizza Hut Chain

At one time, Pizza Hut was the favorite for parents and children to feast on its all-you-can-eat buffet, unlimited salad bar, and make-your-own dessert.

But fewer customers are visiting the brand these days, and it is reducing half of its British restaurants after being bought out of administration for the second instance this calendar year.

“We used to go Pizza Hut when I was a child,” says one London shopper. “It was a tradition, you'd go on a Sunday – spend the whole day there.” However, at present, in her mid-twenties, she says “it's not a thing anymore.”

In the view of a diner in her twenties, the very elements Pizza Hut has been recognized for since it opened in the UK in the seventies are now not-so-hot.

“The manner in which they do their buffet and their salad station, it seems as if they are cheapening on their quality and have inferior offerings... They provide so much food and you're like ‘How is that possible?’”

Because grocery costs have increased significantly, Pizza Hut's buffet-style service has become increasingly pricey to operate. Similarly, its restaurants, which are being cut from 132 to 64.

The company, in common with competitors, has also faced its operating costs rise. In April this year, labor expenses jumped due to rises in minimum wages and an higher rate of employer taxes.

Chris, 36, and Joanne, 29 mention 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 “too expensive”.

Depending on your choices, Pizza Hut and Domino's prices are similar, explains an industry analyst.

Although Pizza Hut has pickup and delivery through third-party apps, it is losing out to major competitors which focus exclusively to off-premise dining.

“The rival chain has taken over the off-premise pizza industry thanks to aggressive marketing and frequent offers that make customers feel like they're saving money, when in reality the standard rates are relatively expensive,” explains the analyst.

But for these customers it is acceptable to get their date night sent directly.

“We absolutely dine at home now instead of we eat out,” explains the female customer, matching current figures that show a decline in people going to quick-service eateries.

During the summer months, quick-service eateries saw a notable decrease in customers compared to the year before.

Moreover, another rival to ordered-in pies: the supermarket pizza.

An industry leader, global lead for leisure at a major consultancy, points out that not only have grocery stores been offering good-standard prepared pies for years – some are even selling pizza-making appliances.

“Lifestyle changes are also playing a factor in the popularity of fast-food chains,” comments Mr. Hawkley.

The growing trend of protein-rich eating plans has boosted sales at poultry outlets, while hitting sales of carb-heavy pizza, he adds.

As people visit restaurants not as often, they may prefer a more upscale outing, and Pizza Hut's classic look with vinyl benches and red and white checked plastic table cloths can feel more retro than luxurious.

The “explosion of artisanal pizza places” over the last decade and a half, including boutique chains, has “fundamentally changed the general opinion of what excellent pie is,” says the culinary analyst.

“A thin, flavorful, gentle crust with a few choice toppings, not the massively greasy, heavy and overloaded pizzas of the past. That, I think, is what's resulted in Pizza Hut's downfall,” she comments.
“What person would spend £17.99 on a modest, low-quality, underwhelming pizza from a franchise when you can get a stunning, expertly crafted traditional pie for under a tenner at one of the many real Italian restaurants around the country?
“It's a no-brainer.”
A mobile pizza vendor, who owns a pizza van based in a regional area comments: “It's not that lost interest in pizza – they just want higher quality at a fair price.”

He says his mobile setup can offer gourmet pizza at accessible prices, and that Pizza Hut struggled because it could not keep up with new customer habits.

According to Pizzarova in a UK location, the founder says the sector is broadening but Pizza Hut has failed to offer anything innovative.

“Currently available are individual slices, regional varieties, thin crust, artisan base, Neapolitan, rectangular – it's a delightful challenge for a pie fan to explore.”

The owner says Pizza Hut “needs to reinvent itself” as younger people don't have any fond memories or allegiance to the brand.

Over time, Pizza Hut's share has been divided and distributed to its more modern, agile rivals. To keep up its costly operations, it would have to raise prices – which experts say is difficult at a time when family finances are decreasing.

The managing director of Pizza Hut's global operations said the rescue aimed “to protect our dining experience and retain staff where possible”.

The executive stated its first focus was to keep running at the open outlets and delivery sites and to assist staff through the transition.

But with large sums going into running its restaurants, it probably cannot to spend heavily in its delivery service because the sector is “complicated and working with existing third-party platforms comes at a price”, experts say.

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

Jessica Luna
Jessica Luna

Environmental scientist and sustainability advocate passionate about reducing carbon footprints.