How the Country Turned Away from Its Taste for Pizza Hut

In the past, Pizza Hut was the favorite for families and friends to indulge in its unlimited dining experience, help-yourself greens station, and ice cream with toppings.

However a declining number of diners are choosing the restaurant these days, and it is closing a significant portion of its UK restaurants after being acquired following financial trouble for the second instance this year.

“We used to go Pizza Hut when I was a child,” says Prudence. “It was a regular outing, you'd go on a Sunday – make a day of it.” However, at present, in her mid-twenties, she says “it's fallen out of favor.”

For a diner in her twenties, the very elements Pizza Hut has been famous for since it started in the UK in the mid-20th century are now not-so-hot.

“How they do their buffet and their salad station, it appears that they are cheapening on their quality and have inferior offerings... They're giving away so much food and you're like ‘How can they?’”

Because grocery costs have risen sharply, Pizza Hut's buffet-style service has become very expensive to maintain. As have its outlets, which are being cut from over 130 to a smaller figure.

The business, like many others, has also seen its expenses increase. In April this year, staffing costs jumped due to higher minimum pay and an higher rate of employer social security payments.

Chris, 36, and Joanne, 29 say they used to go at Pizza Hut for a date “occasionally”, but now they choose a rival chain and think Pizza Hut is “not good value”.

Based on your selection, Pizza Hut and Domino's costs are comparable, notes a food expert.

Although Pizza Hut provides off-premise options through third-party apps, it is losing out to big rivals which focus exclusively to off-premise dining.

“Domino's has managed to dominate the delivery market thanks to strong promotions and frequent offers that make consumers feel like they're finding a good deal, when in reality the standard rates are quite high,” says the analyst.

Yet for the couple it is justified to get their date night brought to their home.

“We absolutely dine at home now instead of we eat out,” says Joanne, echoing recent statistics that show a drop in people frequenting casual and fast-food restaurants.

Over the summer, informal dining venues saw a notable decrease in diners compared to the previous year.

Additionally, another rival to ordered-in pies: the supermarket pizza.

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

“Lifestyle changes are also playing a factor in the success of quick-service brands,” says the analyst.

The growing trend of high protein diets has driven sales at poultry outlets, while hitting sales of dough-based meals, he notes.

Since people dine out more rarely, they may prefer a more upscale outing, and Pizza Hut's American-diner style with vinyl benches and traditional décor can feel more old-fashioned than luxurious.

The “explosion of premium pizza outlets” over the last 10 to 15 years, including new entrants, has “dramatically shifted the general opinion of what quality pizza is,” explains the food expert.

“A crisp, airy, digestible pizza with a carefully curated additions, not the excessively rich, thick and crowded pizzas of the past. That, I think, is what's resulted in Pizza Hut's struggles,” she states.
“Why would anyone spend nearly eighteen pounds on a modest, low-quality, underwhelming pizza from a large brand when you can get a beautiful, masterfully-made classic pizza for under a tenner at one of the many real Italian restaurants around the country?
“It's a no-brainer.”
A mobile pizza vendor, who runs a pizza van based in a county in England comments: “People haven’t stopped liking pizza – they just want higher quality at a fair price.”

Dan says his adaptable business can offer high-quality pie at accessible prices, and that Pizza Hut had difficulty because it failed to adapt with evolving tastes.

From the perspective of an independent chain in Bristol, owner Jack Lander says the pizza market is broadening but Pizza Hut has failed to offer anything new.

“Currently available are individual slices, regional varieties, new haven, fermented dough, Neapolitan, Detroit – it's a wonderful array for a pizza-loving consumer to explore.”

The owner says Pizza Hut “needs to reinvent itself” as newer generations don't have any sense of nostalgia or attachment to the company.

Over time, Pizza Hut's share has been divided and allocated to its fresher, faster alternatives. To maintain its expensive staffing and restaurants, it would have to charge more – which commentators say is challenging at a time when personal spending are tightening.

The managing director of Pizza Hut's international markets said the buyout aimed “to safeguard our customer service and protect jobs where possible”.

He said its first focus was to maintain service at the remaining 64 restaurants and off-premise points and to support colleagues through the transition.

Yet with significant funds going into operating its locations, it may be unable to allocate significant resources in its takeaway operation because the market is “difficult and working with existing external services comes at a cost”, analysts say.

However, it's noted, cutting its costs by leaving oversaturated towns and city centres could be a smart move to adjust.

Heather Lee
Heather Lee

A seasoned content strategist with over a decade of experience in digital marketing and SEO optimization.