🔗 Share this article

Once, the popular pizza chain was the favorite for parents and children to indulge in its eat-as-much-as-you-like offering, help-yourself greens station, and ice cream with toppings.

Yet a declining number of patrons are visiting the brand these days, and it is closing a significant portion of its UK outlets after being acquired following financial trouble for the second instance this calendar year.

I remember going Pizza Hut when I was a child,” explains a young adult. “It was like a family thing, you'd go on a Sunday – spend the whole day there.” However, at present, as a young adult, she states “it's fallen out of favor.”

According to 23-year-old Martina, certain features Pizza Hut has been famous for since it started in the UK in the mid-20th century are now less appealing.

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

Since ingredient expenses have soared, Pizza Hut's all-you-can-eat model has become very expensive to maintain. Similarly, its locations, which are being cut from over 130 to a smaller figure.

The chain, similar to other firms, has also experienced its expenses increase. This spring, employee wages jumped due to increases in the legal wage floor and an increase in employer taxes.

Chris, 36, and Joanne, 29 say 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 “not good value”.

According to your order, Pizza Hut and Domino's costs are similar, notes a food expert.

While Pizza Hut does offer takeaway and deliveries through third-party apps, it is falling behind to larger chains which solely cater to the delivery sector.

“Domino's has taken over the delivery market thanks to strong promotions and constantly running deals that make consumers feel like they're finding a good deal, when in reality the original prices are quite high,” notes the analyst.

However for these customers it is worth it to get their evening together brought to their home.

“We predominantly have meals at home now instead of we eat out,” comments the female customer, reflecting current figures that show a decrease in people frequenting casual and fast-food restaurants.

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

There is also one more competitor to ordered-in pies: the frozen or fresh pizza.

Will Hawkley, head of leisure and hospitality at a major consultancy, notes that not only have retailers been selling high-quality ready-to-bake pizzas for quite a while – some are even promoting pizza-making appliances.

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

The rising popularity of protein-rich eating plans has increased sales at chicken shops, while reducing sales of carb-heavy pizza, he adds.

As people go out to eat less frequently, they may seek out a more upscale outing, and Pizza Hut's retro theme with comfortable booths and traditional décor can feel more retro than upmarket.

The “explosion of artisanal pizza places” over the last several years, including popular brands, has “fundamentally changed the public's perception of what quality pizza is,” explains the culinary analyst.

“A light, fresh, easy-to-digest product with a select ingredients, not the massively greasy, heavy and overloaded pizzas of the past. This, in my view, is what's caused Pizza Hut's decline,” she states.

“Who would choose to spend £17.99 on a modest, low-quality, underwhelming pizza from a large brand when you can get a stunning, expertly crafted Margherita for under a tenner at one of the many real Italian restaurants around the country?

“The decision is simple.”

An independent operator, who operates a pizza van based in a county in England explains: “It's not that fallen out of love with pizza – they just want improved value.”

He says his mobile setup can offer high-quality pie at reasonable rates, and that Pizza Hut had difficulty because it failed to adapt with new customer habits.

At Pizzarova in a UK location, owner Jack Lander says the industry is broadening but Pizza Hut has not provided anything new.

“Currently available are slice concepts, regional varieties, thin crust, fermented dough, Neapolitan, Detroit – it's a delightful challenge for a pizza-loving consumer to explore.”

Jack says Pizza Hut “should transform” as the youth don't have any sense of nostalgia or allegiance to the company.

Over time, Pizza Hut's customer base has been fragmented and distributed to its fresher, faster alternatives. To maintain its costly operations, it would have to raise prices – which experts say is challenging at a time when personal spending are decreasing.

The leadership of Pizza Hut's global operations said the rescue aimed “to safeguard our customer service and retain staff where possible”.

The executive stated its key goal was to keep running at the surviving locations and takeaway hubs and to help employees through the transition.

However with large sums going into maintaining its outlets, it likely can't afford to spend heavily in its delivery service because the industry is “complicated and partnering with existing delivery apps comes at a expense”, experts say.

Still, experts suggest, lowering overhead by withdrawing from oversaturated towns and city centres could be a smart move to adapt.