Why the Country Turned Away from Its Taste for Pizza Hut

Once, Pizza Hut was the top choice for families and friends to indulge in its eat-as-much-as-you-like offering, endless salad selection, and self-serve ice-cream.

But a declining number of customers are frequenting the chain currently, and it is reducing 50% of its UK locations after being rescued from insolvency for the second instance this year.

It was common to visit Pizza Hut when I was a child,” says Prudence. “It was like a family thing, you'd go on a Sunday – spend the whole day there.” However, at present, aged 24, she says “it's no longer popular.”

According to 23-year-old Martina, certain features Pizza Hut has been known and loved for since it opened in the UK in the seventies are now outdated.

“The manner in which they do their buffet and their salad bar, it feels like they are lowering standards and have reduced quality... They provide so much food and you're like ‘How can they?’”

Because ingredient expenses have soared, Pizza Hut's unlimited dining format has become increasingly pricey to maintain. Similarly, its outlets, which are being sliced from over 130 to 64.

The company, in common with competitors, has also experienced its expenses go up. This spring, labor expenses jumped due to higher minimum pay and an rise in employer social security payments.

Two diners explain they frequently dined at Pizza Hut for a date “occasionally”, but now they get delivery from another pizza brand and think Pizza Hut is “not good value”.

Depending on your choices, Pizza Hut and Domino's rates are close, says a food expert.

While Pizza Hut provides takeaway and deliveries through external services, it is missing out to larger chains which solely cater to off-premise dining.

“Domino's has succeeded in leading the off-premise pizza industry 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 on the higher side,” notes the expert.

But for Chris and Joanne it is worth it to get their evening together sent directly.

“We definitely eat at home now instead of we eat out,” comments one of the diners, echoing current figures that show a drop in people visiting informal dining spots.

Over the summer, quick-service eateries saw a notable decrease in patrons compared to the previous year.

Moreover, a further alternative to ordered-in pies: the supermarket pizza.

Will Hawkley, global lead for leisure at a leading firm, notes that not only have retailers been offering good-standard prepared pies for quite a while – some are even selling home-pizza ovens.

“Lifestyle changes are also having an impact in the popularity of fast-food chains,” says the analyst.

The rising popularity of low-carb regimens has driven sales at poultry outlets, while reducing sales of high-carbohydrate options, he continues.

As people go out to eat less frequently, they may look for a more premium experience, and Pizza Hut's classic look with booth seating and traditional décor can feel more old-fashioned than luxurious.

The rise of premium pizza outlets” over the last 10 to 15 years, including boutique chains, has “completely altered the consumer view 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. That, I think, is what's resulted in Pizza Hut's decline,” she comments.
“Why would anyone spend £17.99 on a modest, low-quality, underwhelming pizza from a franchise when you can get a beautiful, masterfully-made traditional pie for a lower price at one of the many authentic Italian pizzerias around the country?
“It's a no-brainer.”
Dan Puddle, who owns a small business based in a regional area explains: “The issue isn’t that lost interest in pizza – they just want improved value.”

He says his adaptable business can offer high-quality pie at reasonable rates, and that Pizza Hut had difficulty because it was unable to evolve with evolving tastes.

At Pizzarova in Bristol, the proprietor says the industry is expanding but Pizza Hut has failed to offer anything fresh.

“Currently available are by-the-slice options, artisanal styles, New Haven-style, artisan base, wood-fired, rectangular – it's a delightful challenge for a pie fan to try.”

He says Pizza Hut “needs to reinvent itself” as the youth don't have any emotional connection or loyalty to the company.

In recent years, Pizza Hut's market has been sliced up and spread to its trendier, more nimble rivals. To maintain its expensive staffing and restaurants, it would have to increase costs – which commentators say is difficult at a time when personal spending are tightening.

A senior executive of Pizza Hut's global operations said the rescue aimed “to protect our guest experience and protect jobs where possible”.

He said its first focus was to keep running at the surviving locations and delivery sites and to support colleagues through the change.

Yet with large sums going into maintaining its outlets, it probably cannot to spend heavily in its takeaway operation because the industry is “complex and partnering with existing external services comes at a cost”, analysts say.

But, he adds, lowering overhead by leaving oversaturated towns and city centres could be a effective strategy to adjust.

Angela Cardenas
Angela Cardenas

A seasoned digital nomad and travel writer, sharing insights from years of remote work and global adventures.

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