🔗 Share this article

At one time, Pizza Hut was the go-to for parents and children to enjoy its eat-as-much-as-you-like offering, help-yourself greens station, and ice cream with toppings.

But a declining number of customers are visiting the brand nowadays, and it is reducing half of its British outlets after being bought out of administration for the second time this year.

It was common to visit Pizza Hut when I was a child,” says one London shopper. “It was like a family thing, you'd go on a Sunday – make a day of it.” Today, in her mid-twenties, she comments “it's no longer popular.”

According to 23-year-old Martina, some of the very things Pizza Hut has been recognized for since it opened in the UK in the 1970s are now outdated.

“The manner in which they do their all-you-can-eat and their salad bar, it appears that they are cutting corners and have lower standards... 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 outlets, which are being reduced from a large number to just over 60.

The company, like many others, has also experienced its operating costs rise. This spring, staffing costs jumped due to increases in the legal wage floor and an increase in employer social security payments.

A couple in their thirties and twenties say they frequently dined at Pizza Hut for a date “from time to time”, 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 close, says a culinary author.

While Pizza Hut provides off-premise options through third-party apps, it is missing out to larger chains which specialize to the delivery sector.

“Another pizza company has managed to dominate the delivery market thanks to intensive advertising and constantly running deals that make consumers feel like they're getting a bargain, when in reality the original prices are quite high,” says the specialist.

But for the couple it is justified to get their special meal sent directly.

“We absolutely dine at home now more than we eat out,” comments Joanne, reflecting current figures that show a decrease in people frequenting quick-service eateries.

Over the summer, quick-service eateries saw a six percent decline in diners compared to the year before.

Moreover, another rival to restaurant and takeaway pizzas: the supermarket pizza.

An industry leader, global lead for leisure at an advisory group, explains that not only have grocery stores been offering good-standard oven-ready pizzas for a long time – some are even selling home-pizza ovens.

“Shifts in habits are also having an impact in the popularity of casual eateries,” comments the analyst.

The increased interest of high protein diets has boosted sales at chicken shops, while affecting sales of high-carbohydrate options, he notes.

As people go out to eat less frequently, they may look for a more premium experience, and Pizza Hut's American-diner style with vinyl benches and nostalgic table settings can feel more dated than premium.

The “explosion of premium pizza outlets” over the last several years, such as popular brands, has “fundamentally changed the general opinion of what good pizza is,” explains the culinary analyst.

“A crisp, airy, digestible pizza with a carefully curated additions, not the massively greasy, heavy and overloaded pizzas of the past. That, arguably, is what's caused Pizza Hut's struggles,” she comments.

“Why would anyone spend £17.99 on a tiny, mediocre, unsatisfying pizza from a chain when you can get a stunning, expertly crafted classic pizza for under a tenner at one of the many traditional pizzerias around the country?

“The decision is simple.”

A mobile pizza vendor, who operates Smokey Deez based in a county in England explains: “The issue isn’t that fallen out of love with pizza – they just want better pizza for their money.”

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

From the perspective of Pizzarova in Bristol, owner Jack Lander says the sector is broadening but Pizza Hut has failed to offer anything new.

“There are now individual slices, London pizza, new haven, sourdough, Neapolitan, rectangular – it's a delightful challenge for a pizza-loving consumer to explore.”

The owner says Pizza Hut “should transform” as the youth don't have any sense of nostalgia or attachment to the chain.

Gradually, Pizza Hut's share has been sliced up and spread to its more modern, agile alternatives. To maintain its high labor and location costs, it would have to raise prices – which commentators say is difficult at a time when household budgets are tightening.

The leadership of Pizza Hut's international markets said the rescue aimed “to protect our customer service and protect jobs where possible”.

He said its immediate priority was to maintain service at the open outlets and takeaway hubs and to help employees through the transition.

However with significant funds going into operating its locations, it may be unable to invest too much in its delivery service because the sector is “difficult and working with existing third-party platforms comes at a price”, experts say.

However, it's noted, cutting its costs by leaving crowded locations could be a good way to adapt.