How the Nation Turned Away from Its Craving for Pizza Hut

Once, Pizza Hut was the go-to for groups and loved ones to enjoy its all-you-can-eat buffet, help-yourself greens station, and ice cream with toppings.

Yet not as many diners are choosing the brand nowadays, and it is reducing 50% of its British restaurants after being bought out of administration for the second occasion this calendar 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 – spend the whole day there.” However, at present, as a young adult, she says “it's no longer popular.”

For 23-year-old Martina, some of the very things Pizza Hut has been famous for since it launched in the UK in the mid-20th century are now outdated.

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

Because food prices have risen sharply, Pizza Hut's buffet-style service has become quite costly to operate. As have its restaurants, which are being reduced from 132 to 64.

The business, similar to other firms, has also faced its costs go up. In April this year, employee wages increased due to rises in minimum wages and an rise in employer national insurance contributions.

Chris, 36, and Joanne, 29 mention they would often visit at Pizza Hut for a date “from time to time”, but now they choose a rival chain and think Pizza Hut is “very overpriced”.

Based on your order, Pizza Hut and Domino's costs are similar, notes a culinary author.

Although Pizza Hut provides pickup and delivery through third-party apps, it is missing out to major competitors which solely cater to this market.

“Another pizza company has succeeded in leading the off-premise pizza industry thanks to aggressive marketing and constantly running deals that make customers feel like they're saving money, when in reality the standard rates are relatively expensive,” says the specialist.

But for Chris and Joanne it is justified to get their evening together brought to their home.

“We definitely eat at home now rather than we eat out,” comments Joanne, echoing recent statistics that show a decrease in people visiting quick-service eateries.

Over the summer, casual and fast-food restaurants saw a notable decrease in customers compared to the year before.

Moreover, another rival to ordered-in pies: the frozen or fresh pizza.

A hospitality expert, head of leisure and hospitality at an advisory group, notes that not only have retailers been selling good-standard oven-ready pizzas for a long time – some are even offering home-pizza ovens.

“Shifts in habits are also having an impact in the success of fast-food chains,” says Mr. Hawkley.

The rising popularity of high protein diets has driven sales at chicken shops, while reducing sales of carb-heavy pizza, he adds.

As people visit restaurants not as often, they may look for a more premium experience, and Pizza Hut's retro theme with comfortable booths and traditional décor can feel more retro than luxurious.

The “explosion of artisanal pizza places” over the last 10 to 15 years, for example popular brands, has “completely altered the public's perception of what excellent pie is,” says the culinary analyst.

“A crisp, airy, digestible pizza with a select ingredients, not the overly oily, dense and piled-high pizzas of the past. That, arguably, is what's led to Pizza Hut's downfall,” she comments.
“What person would spend a high price on a modest, low-quality, underwhelming pizza from a large brand when you can get a gorgeous, skillfully prepared Margherita for less than ten pounds at one of the many traditional pizzerias around the country?
“It's an easy choice.”
A mobile pizza vendor, who operates Smokey Deez based in a regional area comments: “People haven’t fallen out of love with pizza – they just want better pizza for their money.”

The owner says his flexible operation can offer high-quality pie at reasonable rates, and that Pizza Hut had difficulty because it was unable to evolve with evolving tastes.

At a small pizza brand in a UK location, the founder says the sector is expanding but Pizza Hut has failed to offer anything new.

“Currently available are by-the-slice options, regional varieties, New Haven-style, sourdough, traditional Italian, deep-dish – it's a delightful challenge for a pizza-loving consumer to try.”

He says Pizza Hut “needs to reinvent itself” as younger people don't have any sense of nostalgia or loyalty to the brand.

In recent years, Pizza Hut's customer base has been divided and allocated to its trendier, more nimble rivals. To maintain its costly operations, it would have to increase costs – which commentators say is challenging at a time when household budgets are tightening.

The managing director of Pizza Hut's overseas branches said the buyout aimed “to protect our guest experience and save employment where possible”.

The executive stated its immediate priority was to continue operating at the remaining 64 restaurants and off-premise points and to support colleagues through the restructure.

However with significant funds going into operating its locations, it probably cannot to invest too much in its delivery service because the market is “complicated and working with existing delivery apps comes at a expense”, commentators say.

Still, experts suggest, lowering overhead by exiting oversaturated towns and city centres could be a smart move to evolve.

Sarah Hancock
Sarah Hancock

A seasoned product manager with over a decade of experience in the industry, passionate about innovation and customer satisfaction.