Why the Public Lost Interest in Its Taste for Pizza Hut

At one time, Pizza Hut was the go-to for parents and children to feast on its eat-as-much-as-you-like offering, unlimited salad bar, and make-your-own dessert.

Yet not as many customers are choosing the brand nowadays, and it is shutting down half of its UK locations after being rescued from insolvency for the second time this year.

“We used to go Pizza Hut when I was a child,” explains a young adult. “It was a regular outing, you'd go on a Sunday – spend the whole day there.” Today, in her mid-twenties, she states “it's no longer popular.”

In the view of a diner in her twenties, the very elements Pizza Hut has been famous for since it started in the UK in the 1970s are now outdated.

“The manner in which they do their buffet and their salad station, it seems as if they are cheapening on their quality and have inferior offerings... They offer so much food and you're like ‘How is that possible?’”

As food prices have soared, Pizza Hut's buffet-style service has become quite costly to run. The same goes for its outlets, which are being sliced from a large number to just over 60.

The business, in common with competitors, has also faced its expenses rise. This spring, staffing costs jumped due to rises in minimum wages and an increase in employer taxes.

A couple in their thirties and twenties mention they used to go at Pizza Hut for a date “every now and then”, but now they order in Domino's and think Pizza Hut is “not good value”.

Depending on your order, Pizza Hut and Domino's prices are close, notes a culinary author.

Even though Pizza Hut does offer off-premise options through third-party apps, it is falling behind to big rivals which solely cater to this market.

“Domino's has managed to dominate the takeaway pizza sector thanks to strong promotions and ongoing discounts that make shoppers feel like they're saving money, when in reality the base costs are on the higher side,” explains the expert.

Yet for these customers it is worth it to get their evening together delivered to their door.

“We predominantly have meals at home now more than we eat out,” explains Joanne, matching recent statistics that show a drop in people frequenting casual and fast-food restaurants.

In the warmer season, quick-service eateries saw a notable decrease in diners compared to the previous year.

There is also another rival to ordered-in pies: the supermarket pizza.

An industry leader, global lead for leisure at an advisory group, explains that not only have retailers been selling good-standard ready-to-bake pizzas for quite a while – some are even offering pizza-making appliances.

“Lifestyle changes are also contributing in the popularity of casual eateries,” states the expert.

The growing trend of high protein diets has boosted sales at grilled chicken brands, while affecting sales of carb-heavy pizza, he notes.

Since people go out to eat not as often, they may look for a more premium experience, and Pizza Hut's retro theme with booth seating and nostalgic table settings can feel more old-fashioned than premium.

The growth of premium pizza outlets” over the last 10 to 15 years, such as popular brands, has “fundamentally changed the public's perception of what excellent pie is,” explains the food expert.

“A light, fresh, easy-to-digest product with a select ingredients, not the excessively rich, thick and crowded pizzas of the past. That, I think, is what's caused Pizza Hut's decline,” she comments.
“Why would anyone spend a high price on a modest, low-quality, underwhelming pizza from a franchise when you can get a beautiful, masterfully-made classic pizza for less than ten pounds at one of the many authentic Italian pizzerias around the country?
“The decision is simple.”
An independent operator, who runs Smokey Deez based in a county in England comments: “It's not that lost interest in pizza – they just want improved value.”

He says his adaptable business can offer high-quality pie at accessible prices, and that Pizza Hut faced challenges because it could not keep up with changing preferences.

At Pizzarova in a city in southwest England, the founder says the industry is diversifying but Pizza Hut has failed to offer anything fresh.

“You now have individual slices, regional varieties, New Haven-style, artisan base, Neapolitan, rectangular – it's a delightful challenge for a pie fan to try.”

The owner says Pizza Hut “must rebrand” as the youth don't have any fond memories or attachment to the company.

Over time, Pizza Hut's customer base has been fragmented and distributed to its more modern, agile alternatives. To sustain its expensive staffing and restaurants, it would have to charge more – which experts say is difficult at a time when household budgets are tightening.

The managing director of Pizza Hut's international markets said the rescue aimed “to protect our guest experience and retain staff where possible”.

The executive stated its first focus was to continue operating at the open outlets and off-premise points and to help employees through the transition.

But with so much money going into maintaining its outlets, it likely can't afford to allocate significant resources in its delivery service because the market is “complicated and using existing third-party platforms comes at a expense”, analysts say.

Still, experts suggest, lowering overhead by withdrawing from oversaturated towns and city centres could be a good way to adjust.

Henry Johnston
Henry Johnston

A passionate traveler and storyteller who finds magic in every corner of the world, sharing insights and experiences to inspire wanderlust.