H&C News has reported previously on the efforts being made by Pizza Hut since it became independent from its then owners in the USA back in 2012. Here, we take another look at the continuing and successful transformation taking place.
Taken for granted or overlooked by many, though always popular, Pizza Hut recently hosted a press visit at its much-changed venue on London’s Strand. It has taken real strides forward since the opening of its Crawley site in 2013, rejuvenating the concept and strengthening its appeal both to young families and to millennials. This is no easy feat if you consider what has been described as the ‘ferocious competition’ in the UK’s casual dining sector.
How does it work?
Pizza Hut is focusing on a combination of investment in the restaurants, menu development, and people training – the customer welcome and experience.
82 restaurants out of an estate of 275 have now been developed, and the results so far are said to be exceeding expectations and flowing through: sales YTD are up 5%, and more detail on overall results will emerge over the coming months.
The refurbished restaurants are clearly leading the way, delivering:
- 40% of EBITDA
- 35% of sales
- 30% of the estate
And 50% of the estate is scheduled to have been refurbished by the end of this year at a cost that ranges from £60k up to £600k for the ‘flagship’ locations that deliver higher returns.
Investment in the restaurants
As can be seen from the pictures of Pizza Hut Strand (the 64th to receive the treatment), there is a great deal of change in look and layout:
- The frontage has been opened out, allowing customers to see into the attractive interior layout, complete with booths
- Similarly, signage and branding is strong and clear
- Table layout and utilisation has been much improved, with tables for 2, 4 and 6 reducing waiting time, and growing volumes
- And the interior has become bright and modern throughout – from the comfortable booths and seating, to the self-serve drink machines, to the bar (in some outlets).
Overall, it makes a very different impression – attractive not only to young families, but to a far wider demographic.
And – it is proving to work both for existing customers as well as in attracting new (or returning) customers.
The developing menu
Pizza Hut remains an American pizza brand – not Italian – and builds on that strength, offering Favourites, American Legends and Chef’s Specials in a choice of 4 crusts that gives customers great varirty, which they can stretch still further by inventing their own pizza.
The newly introduced Philly Cheese Steak Cheesy Bites (see below) is just one of the new, popular choices.
And, of course, ‘sharing’ is easy: pizza is sliced and always easy to share amongst a family or group.
Starters
Whilst Garlic Bread remains an all-time favourite, Spicy BBQ Ribs and Alabama Style Popcorn Shrimp have attracted new customer supporters – and proved popular with the press also!
Desserts
For those with a sweet tooth, Pizza Hut has long been famed for its Ice Cream Factory and the unlimited choices its offers – to adult delight, as well as children’s.
Now, there are even more alluring choices that are proving a big hit with customers. Try the Death by Chocolate Waffle (above), or the Salted Caramel Hot Cookie Dough – they both had members of our party murmuring praise, between mouthfuls!
Transformation in progress
Speaking to members of the Pizza Hut senior management team, it’s clear that the challenge of transforming what was a ‘tired’ brand into one that can not only match but outperform the competition is one that is relished.
Of course, it’s easier to enjoy such a process when the results of a great deal of hard work are feeding through: from revitalised outlets, to enlarged and rejuvenated menus, to new and returning customers. And the improved trading figures reinforce the message: this is a process that is working on multiple levels.
In the ‘ferocious’ world of casual dining – consider the pizza options alone – there will be no time to rest on any laurels. But for a team that has introduced so much – and who expected to see cocktails in Pizza Hut? – anticipating and meeting the next challenges has become part of its DNA.