How the Nation Lost Interest in Its Craving for Pizza Hut

In the past, Pizza Hut was the top choice for groups and loved ones to feast on its unlimited dining experience, endless salad selection, and self-serve ice-cream.

Yet fewer customers are choosing the restaurant nowadays, and it is shutting down a significant portion of its UK restaurants after being bought out of administration for the second time this year.

“We used to go Pizza Hut when I was a child,” explains Prudence. “It was like a family thing, you'd go on a Sunday – make a day of it.” But now, in her mid-twenties, she comments “it's fallen out of favor.”

For a diner in her twenties, some of the very things Pizza Hut has been famous for since it started in the UK in the mid-20th century are now less appealing.

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

Since ingredient expenses have increased significantly, Pizza Hut's all-you-can-eat model has become very expensive to maintain. The same goes for its outlets, which are being cut from over 130 to 64.

The company, similar to other firms, has also experienced its costs increase. Earlier this year, labor expenses increased due to increases in the legal wage floor and an higher rate of employer national insurance contributions.

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

According to your selection, Pizza Hut and Domino's costs are similar, explains a culinary author.

Even though Pizza Hut has off-premise options through third-party apps, it is falling behind to big rivals which solely cater to the delivery sector.

“Another pizza company has managed to dominate the off-premise pizza industry thanks to intensive advertising and frequent offers that make consumers feel like they're finding a good deal, when in reality the original prices are relatively expensive,” explains the expert.

However for these customers it is worth it to get their special meal sent directly.

“We absolutely dine at home now more than we eat out,” comments Joanne, matching latest data that show a decline in people visiting quick-service eateries.

In the warmer season, casual and fast-food restaurants saw a six percent decline in patrons compared to the year before.

Moreover, one more competitor to pizza from eateries: the cook-at-home oven pizza.

An industry leader, global lead for leisure at a leading firm, explains that not only have retailers been providing high-quality oven-ready pizzas for years – some are even selling countertop ovens.

“Lifestyle changes are also having an impact in the success of fast-food chains,” comments Mr. Hawkley.

The rising popularity of low-carb regimens has increased sales at grilled chicken brands, while hitting sales of high-carbohydrate options, he notes.

Because people go out to eat more rarely, they may seek out a more high-quality meal, and Pizza Hut's retro theme with comfortable booths and red and white checked plastic table cloths can feel more old-fashioned than premium.

The “explosion of high-quality pizzerias” over the last decade and a half, for example popular brands, has “fundamentally changed the public's perception of what quality pizza is,” notes the culinary analyst.

“A thin, flavorful, gentle crust with a select ingredients, not the massively greasy, heavy and overloaded pizzas of the past. This, in my view, is what's resulted in Pizza Hut's downfall,” she states.
“Why would anyone spend £17.99 on a modest, low-quality, underwhelming pizza from a chain when you can get a stunning, expertly crafted classic pizza for a lower price at one of the many authentic Italian pizzerias around the country?
“It's a no-brainer.”
A mobile pizza vendor, who runs a small business based in a regional area says: “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 accessible prices, and that Pizza Hut had difficulty because it could not keep up with changing preferences.

According to an independent chain in a UK location, the founder says the pizza market is broadening but Pizza Hut has failed to offer anything fresh.

“You now have by-the-slice options, regional varieties, New Haven-style, fermented dough, wood-fired, deep-dish – it's a heavenly minefield for a pie fan to explore.”

The owner says Pizza Hut “should transform” as newer generations don't have any emotional connection or loyalty to the chain.

Gradually, Pizza Hut's market has been sliced up and spread to its fresher, faster competitors. To sustain its high labor and location costs, it would have to charge more – which experts say is difficult at a time when household budgets are tightening.

A senior executive of Pizza Hut's overseas branches said the buyout aimed “to ensure our dining experience and protect jobs where possible”.

The executive stated its immediate priority was to keep running at the open outlets and takeaway hubs and to help employees through the transition.

However with so much money going into operating its locations, it probably cannot to invest too much in its takeaway operation because the sector is “complicated and partnering with existing external services comes at a price”, analysts say.

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

Alfred Hodges
Alfred Hodges

A tech enthusiast and writer passionate about exploring emerging technologies and their impact on society.