🔗 Share this article

Once, Pizza Hut was the favorite for families and friends to enjoy its all-you-can-eat buffet, endless salad selection, and make-your-own dessert.

But a declining number of patrons are choosing the brand currently, and it is shutting down a significant portion of its British 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 one London shopper. “It was like a family thing, you'd go on a Sunday – spend the whole day there.” Today, in her mid-twenties, she states “it's not a thing anymore.”

According to a diner in her twenties, some of the very things Pizza Hut has been recognized for since it opened in the UK in the 1970s are now not-so-hot.

“The manner in which they do their buffet and their salad bar, it appears that they are cutting corners and have lower standards... They provide so much food and you're like ‘How can they?’”

Since food prices have soared, Pizza Hut's buffet-style service has become very expensive to run. As have its locations, which are being sliced from a large number to just over 60.

The company, similar to other firms, has also seen its expenses rise. Earlier this year, labor expenses jumped due to increases in the legal wage floor and an higher rate of employer taxes.

Two diners say they would often visit at Pizza Hut for a date “every now and then”, but now they get delivery from Domino's and think Pizza Hut is “very overpriced”.

Based on your choices, Pizza Hut and Domino's prices are comparable, says a culinary author.

Even though Pizza Hut has pickup and delivery through external services, it is losing out to big rivals which solely cater to off-premise dining.

“Domino's has taken over the takeaway pizza sector thanks to intensive advertising and ongoing discounts that make customers feel like they're getting a bargain, when in reality the original prices are quite high,” explains the analyst.

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

“We absolutely dine at home now more than we eat out,” comments the female customer, reflecting latest data that show a decrease in people frequenting informal dining spots.

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

Additionally, one more competitor to ordered-in pies: the cook-at-home oven pizza.

A hospitality expert, head of leisure and hospitality at a leading firm, notes that not only have supermarkets been selling premium ready-to-bake pizzas for quite a while – some are even selling countertop ovens.

“Lifestyle changes are also contributing in the popularity of quick-service brands,” states the analyst.

The rising popularity of protein-rich eating plans has boosted sales at chicken shops, while affecting sales of high-carbohydrate options, he continues.

As people go out to eat not as often, they may seek out a more upscale outing, and Pizza Hut's classic look with booth seating and red and white checked plastic table cloths can feel more old-fashioned than luxurious.

The “explosion of high-quality pizzerias” over the last 10 to 15 years, such as new entrants, has “dramatically shifted the public's perception of what good pizza is,” says the culinary analyst.

“A thin, flavorful, gentle crust with a few choice toppings, not the overly oily, dense and piled-high pizzas of the past. This, in my view, is what's led to Pizza Hut's downfall,” she comments.

“Why would anyone spend £17.99 on a tiny, mediocre, unsatisfying pizza from a chain when you can get a beautiful, masterfully-made classic pizza for less than ten pounds at one of the many traditional pizzerias around the country?

“It's an easy choice.”

An independent operator, who operates a pizza van based in a regional area says: “The issue isn’t that fallen out of love with pizza – they just want improved value.”

The owner says his flexible operation can offer high-quality pie at affordable costs, and that Pizza Hut had difficulty because it failed to adapt with evolving tastes.

At a small pizza brand in a UK location, owner Jack Lander says the pizza market is broadening but Pizza Hut has neglected to introduce anything fresh.

“You now have individual slices, regional varieties, New Haven-style, sourdough, Neapolitan, Detroit – it's a delightful challenge for a pie fan to discover.”

Jack says Pizza Hut “should transform” as younger people don't have any emotional connection or attachment to the brand.

Gradually, Pizza Hut's share has been divided and spread to its fresher, faster competitors. To keep up its high labor and location costs, it would have to charge more – which commentators say is difficult at a time when personal spending are tightening.

The managing director of Pizza Hut's international markets said the rescue aimed “to safeguard our guest experience and save employment where possible”.

The executive stated its first focus was to keep running at the open outlets and off-premise points and to help employees through the change.

But with so much money going into running its restaurants, it probably cannot to allocate significant resources in its delivery service because the industry is “complicated and using existing external services comes at a price”, analysts say.

However, it's noted, reducing expenses by withdrawing from oversaturated towns and city centres could be a good way to adapt.