Pizza Hut overhauls UK business
Share
Pizza Hut is overhauling its restaurants, menus and customer service proposition in response to increased competition from rivals including Pizza Express.
The restaurant chain is currently trialling a number of initiatives in four “Alpha Hut” concept stores to radically transform its business from a product based to an experience based model.
Jaclyn Schnau, marketing director of brand development, says: “We haven’t kept up with the times. We put the blinders on and said ’customers will still come’ and you know what, they didn’t. We had some real soul searching to do and fundamentally we’ve realised that we have to move from a product based to an experience based offer.”
She adds that Pizza Hut has developed a “motif” for how they want people to feel when they experience Pizza Hut that goes beyond the products and means everything the chain does is embedded in making sure customers feel “uninhibited, embraced and light-hearted”.
It is also trialling a concept called Pizza Parade that could replace its lunchtime buffet offer in a bid to move away from “trough feeding”.
It has been modelled on the practice in upmarket Argentinean restaurants that will see waiters bringing trays of fresh pizza to customers’ tables, instead of having to go to a buffet and collecting the food.
“Once we bring the brand back and make it relevant to them and accessible we are hitting the right chord and people are coming back. People love pizza hut they were just waiting for us to keep up with their life. Eventually the goal is to find out the best way to go forward,” adds Schnau.
Schnau admitted that customer service has been neglected by Pizza Hut in recent years and it has developed a customer service programme called “the handshake” to improve engagement with customers and offer a more intuitive service.
The concepts are a “substantial portion” of Pizza Hut’s budget and if successful could be rolled out nationwide in the next year.
Parent company Yum! Brands reported weak performance for Pizza Hut UK in the second quarter of this year. In contrast, Pizza Express has seen earnings steadily increase and plans to open 200 more outlets.
Readers' comments (10)
Anonymous | Fri, 19 Aug 2011 11:12 am
How about not making the pizzas smaller yet charging the same prices? Maybe then people wouldn't go elsewhere.
Nobody cares about unlimited pasta or "experience", they just want decent portions of good, affordable food. You know, like Pizza Hut used to offer??
Unsuitable or offensive? Report this comment
Anonymous | Fri, 19 Aug 2011 12:27 pm
Lurching from one concept to another...
Unsuitable or offensive? Report this comment
Anonymous | Fri, 19 Aug 2011 12:53 pm
I think that the "unlimited buffet" has always been a main USP for pizza hut, however this does not necessarily appeal to the consumer anymore due to many people being more health conscious! I really like the idea of turning the restaurant into a table service idea where the waiters keep bringing more food out as and when the consumer wants it, however the food will definitely need to be more varied with healthier pizzas, salads and other optional Italian dishes!
Unsuitable or offensive? Report this comment
J Bear | Fri, 19 Aug 2011 1:34 pm
What's keeping people (at least me) away from Pizza Hut isn't the "motif", it's the fact that restaurants are hugely understaffed in order to keep costs down, resulting in absolutely disgusting wait times for service.
Unsuitable or offensive? Report this comment
Anonymous | Fri, 19 Aug 2011 4:15 pm
It will be interesting to see if this direction is the right choice for Pizza Hut. The Pizza Parade concept isn't that different from the buffet option. The only difference is that the staff bring the meal to customers instead of customers going to the meal. I look forward to seeing how the company promotes this concept.
Unsuitable or offensive? Report this comment
Anonymous | Fri, 19 Aug 2011 5:44 pm
the thing that's causing the difference in success between pizza express and pizza hut is the fact that pizza hut pizzas are awful fluffy, doughy, coma inducing cheese overloads whereas pizza express pizzas are, well, italian in style and format. i.e. thin, crunchy crust, fresher toppings. instead of concentrating on 'experience', how about just improving the product itself??
Unsuitable or offensive? Report this comment
Anonymous | Fri, 19 Aug 2011 7:28 pm
The 'Pizza Parade' will not solve Pizza Hut's problems, as many customers in the restaurants that offer this service find it unpleasant and prefer the buffet. In certain stores, for example busy city centre stores, PP will never work because of the volume of staff who will be needed to take the pizzas around, as well as having the normal staff on to look after the customers. It's not at all economically viable.
@ Anon 3 - the pizzas are healthier now than they used to be, and the addition of free unlimited salad is a help in the health dept.
Unsuitable or offensive? Report this comment
M Dunne | Mon, 22 Aug 2011 10:17 am
Pizza Hut has been on a downward spiral for many years, losing a large amount of its take away and delivery business to the likes of Dominos who's process is a million times better - meaning customers recieve their food faster and to a better standard. the restuarants have lost out to the better quality of the likes Pizza Express who have innovative restaurant designs and constantly evolving menu options. Pizza Hut have sat back and expected the world to enjoy their offering while others have innovated and exceeded expectation of customers. Pizza Hut's are generally understaffed and not very nice environments to eat in
Unsuitable or offensive? Report this comment
leah | Sun, 11 Sep 2011 11:46 pm
As an ex employee of pizza hut i have to agree with the comments that pizza hut is hugely understaffed at peak times. The Pizza Parade sounds like a great idea and means the customer will be getting fresher food but will only work if Pizza Hut get behind this 100% and give the stores extra hours to have enough staff available !
Unsuitable or offensive? Report this comment
Anonymous | Wed, 23 Nov 2011 12:31 pm
yes indeed. pizza express seems to appeal very much to middle >upper classes, fresh flower displays on tables -nice lighting cool and relaxing atmosphere / even live music. comfortable waiting areas fine wines, fresh ingredients. Pizza hut on the other hand lost the plot some way back- mostly their restaurants have an air of truckstop about them.they're not in the same game limp salads and fat greasy american style gorge fest pizzas. this aint the 1980s anymore- most pubs do better food and have better decor.
Unsuitable or offensive? Report this comment