How the Country Lost Its Craving for the Pizza Hut Chain

Once, Pizza Hut was the top choice for groups and loved ones to indulge in its all-you-can-eat buffet, help-yourself greens station, and make-your-own dessert.

But a declining number of customers are frequenting the chain these days, and it is closing half of its UK locations after being bought out of administration for the second time this year.

It was common to visit Pizza Hut when I was a child,” notes one London shopper. “It was a regular outing, you'd go on a Sunday – make a day of it.” Today, as a young adult, she comments “it's no longer popular.”

In the view of 23-year-old Martina, certain features Pizza Hut has been famous for since it launched in the UK in the mid-20th century are now not-so-hot.

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

Since grocery costs have soared, Pizza Hut's buffet-style service has become very expensive to run. The same goes for its locations, which are being reduced from a large number to a smaller figure.

The chain, similar to other firms, has also experienced its costs go up. Earlier this year, employee wages rose due to rises in minimum wages and an rise in employer national insurance contributions.

Chris, 36, and Joanne, 29 say they would often visit at Pizza Hut for a date “occasionally”, but now they choose another pizza brand and think Pizza Hut is “very overpriced”.

Based on your selection, Pizza Hut and Domino's rates are similar, notes a food expert.

Even though Pizza Hut does offer pickup and delivery through delivery platforms, it is missing out to larger chains which solely cater to this market.

“Domino's has succeeded in leading the delivery market thanks to intensive advertising and constantly running deals that make customers feel like they're getting a bargain, when in reality the original prices are relatively expensive,” explains the expert.

However for Chris and Joanne it is worth it to get their date night sent directly.

“We definitely eat at home now rather than we eat out,” comments Joanne, echoing recent statistics that show a decrease in people going to informal dining spots.

During the summer months, casual and fast-food restaurants saw a notable decrease in customers compared to the previous year.

Additionally, a further alternative to ordered-in pies: the supermarket pizza.

A hospitality expert, senior partner at a leading firm, points out that not only have grocery stores been offering premium oven-ready pizzas for quite a while – some are even selling home-pizza ovens.

“Shifts in habits are also having an impact in the success of quick-service brands,” comments the expert.

The growing trend of high protein diets has driven sales at chicken shops, while affecting sales of carb-heavy pizza, he notes.

As people dine out less frequently, they may prefer a more upscale outing, and Pizza Hut's retro theme with comfortable booths and nostalgic table settings can feel more dated than luxurious.

The “explosion of artisanal pizza places” over the last several years, including boutique chains, has “fundamentally changed the general opinion of what excellent pie is,” notes the food expert.

“A light, fresh, easy-to-digest product with a few choice toppings, not the excessively rich, thick and crowded pizzas of the past. That, arguably, is what's caused Pizza Hut's struggles,” she comments.
“What person would spend a high price on a modest, low-quality, underwhelming pizza from a chain when you can get a beautiful, masterfully-made Margherita for less than ten pounds at one of the many authentic Italian pizzerias around the country?
“It's a no-brainer.”
Dan Puddle, who owns Smokey Deez based in Suffolk comments: “People haven’t stopped liking pizza – they just want improved value.”

Dan says his flexible operation can offer high-quality pie at affordable costs, and that Pizza Hut struggled because it could not keep up with evolving tastes.

From the perspective of Pizzarova in a UK location, the proprietor says the sector is broadening but Pizza Hut has failed to offer anything fresh.

“You now have slice concepts, London pizza, new haven, fermented dough, Neapolitan, deep-dish – it's a heavenly minefield for a pizza enthusiast to explore.”

Jack says Pizza Hut “must rebrand” as younger people don't have any emotional connection or allegiance to the company.

Over time, Pizza Hut's share has been sliced up and distributed to its more modern, agile rivals. To keep up its expensive staffing and restaurants, it would have to charge more – which industry analysts say is difficult at a time when household budgets are tightening.

The managing director of Pizza Hut's global operations said the acquisition aimed “to safeguard our customer service and protect jobs where possible”.

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

Yet with significant funds going into maintaining its outlets, it may be unable to allocate significant resources in its takeaway operation because the market is “complex and working with existing delivery apps comes at a cost”, experts say.

However, it's noted, cutting its costs by exiting crowded locations could be a effective strategy to adjust.

Jeremy Sanders
Jeremy Sanders

A seasoned gaming enthusiast with over a decade of experience in online casinos, specializing in slot strategies and responsible gaming practices.