Why the Nation Turned Away from Its Appetite for the Pizza Hut Chain

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

But a declining number of patrons are frequenting the restaurant nowadays, and it is reducing half of its British outlets after being acquired following financial trouble for the second occasion this calendar year.

I remember going Pizza Hut when I was a child,” notes a young adult. “It was a regular outing, you'd go on a Sunday – turn it into an event.” Today, aged 24, she states “it's fallen out of favor.”

According to 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 less appealing.

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

Because food prices have soared, Pizza Hut's all-you-can-eat model has become very expensive to maintain. Similarly, its restaurants, which are being cut from 132 to 64.

The business, like many others, has also faced its operating costs go up. Earlier this year, employee wages rose due to higher minimum pay and an increase in employer taxes.

Two diners explain they would often visit at Pizza Hut for a date “from time to time”, but now they get delivery from a rival chain and think Pizza Hut is “too expensive”.

Depending on your selection, Pizza Hut and Domino's rates are close, says a food expert.

While Pizza Hut does offer takeaway and deliveries through third-party apps, it is losing out to big rivals which specialize to off-premise dining.

“The rival chain has managed to dominate the delivery market thanks to aggressive marketing and frequent offers that make customers feel like they're finding a good deal, when in reality the base costs are on the higher side,” says the analyst.

Yet for these customers it is acceptable to get their special meal brought to their home.

“We definitely eat at home now more than we eat out,” comments one of the diners, echoing recent statistics that show a decrease in people visiting informal dining spots.

In the warmer season, informal dining venues saw a notable decrease in patrons compared to the year before.

Additionally, one more competitor to restaurant and takeaway pizzas: the supermarket pizza.

Will Hawkley, global lead for leisure at a leading firm, points out that not only have supermarkets been offering high-quality oven-ready pizzas for quite a while – some are even selling pizza-making appliances.

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

The rising popularity of low-carb regimens has increased sales at poultry outlets, while affecting sales of dough-based meals, he adds.

As people visit restaurants more rarely, they may prefer a more premium experience, and Pizza Hut's retro theme with booth seating and traditional décor can feel more old-fashioned than upmarket.

The “explosion of high-quality pizzerias” over the last 10 to 15 years, including boutique chains, has “fundamentally changed the public's perception of what quality pizza is,” explains 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 decline,” she states.
“Why would anyone spend £17.99 on a modest, low-quality, underwhelming pizza from a large brand when you can get a beautiful, masterfully-made classic pizza for less than ten pounds at one of the many real Italian restaurants around the country?
“It's a no-brainer.”
An independent operator, who owns Smokey Deez based in a county in England comments: “The issue isn’t that stopped liking pizza – they just want improved value.”

He says his adaptable business can offer high-quality pie at affordable costs, and that Pizza Hut faced challenges because it was unable to evolve with changing preferences.

According to a small pizza brand in Bristol, the founder says the industry is diversifying but Pizza Hut has not provided anything new.

“You now have by-the-slice options, regional varieties, New Haven-style, fermented dough, Neapolitan, rectangular – it's a delightful challenge for a pie fan to try.”

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

Over time, Pizza Hut's customer base has been sliced up and distributed to its trendier, more nimble competitors. To sustain its expensive staffing and restaurants, it would have to increase costs – which experts say is challenging at a time when household budgets are tightening.

The leadership of Pizza Hut's overseas branches said the rescue aimed “to safeguard our dining experience and protect jobs where possible”.

He said its immediate priority was to keep running at the surviving locations and takeaway hubs and to assist staff through the change.

Yet with large sums going into maintaining its outlets, it probably cannot to spend heavily in its delivery service because the industry is “difficult and partnering with existing delivery apps comes at a price”, commentators say.

However, it's noted, lowering overhead by exiting oversaturated towns and city centres could be a good way to adapt.

Samantha Taylor
Samantha Taylor

A passionate horticulturist with over a decade of experience in urban farming and sustainable agriculture.

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