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The legacy of Pizza Hut began in 1958,
when two college students from
Wichita, Kansas, were approached
by a family friend with the idea of opening
a pizza parlor. After borrowing $600 from
their mother, they purchased some secondhand
equipment and rented a small building
on a busy intersection in their hometown.
The result of their entrepreneurial efforts
was the first Pizza Hut restaurant and the
foundation for what would become the
largest and most successful pizza chain in the
world.
Building the leading pizza company has
required innovation, a commitment to quality,
and dedication to service and value. What
has also characterized Pizza Hut’s business
through more than four decades of success
are the qualities of entrepreneurship, growth
and leadership. Pizza Hut franchisees, for
instance, exemplify the entrepreneurial spirit
which launched the system. Through their
interest and initiative, the Pizza Hut system
was able to rapidly develop new territories
in the United States as well as overseas.
Pizza Hut’s development on the international
front is a good indication of the growth that
has characterized the system. After the
opening of the first international restaurant in
Canada in 1968, Pizza Hut restaurants began
appearing all over the globe from Mexico,
Australia and Europe to Africa and even
the Far East. An indication of Pizza Hut’s
rapid growth is that in 1977 the 3000th unit
opened in Arlington, Texas and 3 years and
1000 units later, in 1980, the 4000th unit
opened. The 10,000th unit opened in 1993
in Sao Paulo, Brazil with soccer legend Pele
kicking a ball through the front door.
A significant milestone was in 1977 when
Pizza Hut was acquired by one of the true
giants of international business - PepsiCo,
Inc. In October 1997, PepsiCo spun off its
restaurant businesses (Pizza Hut, KFC and
Taco Bell) and Tricon was founded. With the
addition of two more brands to its portfolio
– A&W and Long John’s Silver, in 1999,
Tricon was re-christened Yum! Restaurants
International that soon became the world’s
largest restaurant chain, which currently has
over 30, 000 restaurants in more than 100
different countries.
Pizza Hut’s famous Red Roof made its
foray into India with a dine-in restaurant in
June 1996. While it started with six units
in its first year, an overwhelming demand
for its distinct pizzas and trademark dining
experience made it possible for it to register
a double-digit growth.
Product
Worldwide and in India, Pizza Hut has come
to become synonymous with the ‘best pizzas
under one roof’. This is because at Pizza
Hut the belief is that every pizza has its own
magic, thus making it a destination product
– which everyone seeks. It is this belief that
has ignited the passion to create, innovate
and serve the finest product the industry has
to offer, while setting standards for others to
strive to replicate.
Pizza Hut is committed to providing
uncompromising product quality, offering
customers the highest value for money and
giving service that is warm, friendly and
personal. A critical factor in Pizza Hut’s
success has been its unique dining experience.
Crewmembers at Pizza Hut strive each day to provide ‘customer mania’ - the kind of
service that ensures that every visit of the
customer is a memorable one.
In fact, to ensure stringent international
bench-marks in the quality of products
and services at all its restaurants across the
world, Pizza Hut has a mystery shopper
program in which an unknown official visits
a restaurant and evaluates it on certain
defined parameters called C.H.A.M.P.S. that
stand for Cleanliness, Hospitality, Accuracy,
Maintenance, Product quality and Speed.
Based on the report submitted by the
official, the restaurants are rated and in the
rare case of finding under performers, they
are kept under strict vigil.
A critical factor in Pizza Hut’s success has
been a menu that has constantly evolved and
expanded to cater to the changing needs and
specific preferences of customers in different
parts of the world. In having understood the
pulse of the customers in India, Pizza Hut has
clearly established itself as a brand with an
Indian heart. Besides offering an extensive
range of vegetarian pizzas, it was the first pizza
chain to open a 100% vegetarian restaurant
in India in Surat and later in Ahmedabad
and Chowpatty, where it offers a Jain menu
sans all root-based ingredients. Over the
years Pizza Hut has also developed and
successfully introduced a range of products
especially suited to the Indian palate. These
products like Chicken Tikka, Spicy Korma, Spicy Paneer and the Masala and Tandoori
pizzas have been a tremendous success.
What has also given Pizza Hut a competitive
edge is that in addition to an extensive range
of internationally renowned pizzas like The
Italian, the proprietary Pan Pizza and Stuffed
Crust, in India the menu offers the option of a complete meal. It includes appetizers, a
Salad Bar - where the customers can make
their own fresh salads, a range of soups,
pastas and desserts.
Market
Pizza Hut was among the first multinational
brands to enter the food retail sector in India.
When the first Pizza Hut restaurant opened
in Bangalore the quick service industry was
at a nascent stage and the pizza category
was dominated by a sole regional player who
had a marginal presence. Pizza Hut went on
to play a significant role in pioneering and
developing this category in India.
Since then the market has sustained
considerable growth. A dramatic shift
in lifestyle trends, substantial increase in
disposable income, a burgeoning middle
class and the entry of a significant number
of international and national players has
contributed to a boom in the industry. The market has become greatly competitive and
the customer has become more discerning
and adventurous. This however has not
affected Pizza Hut’s comfortable reign over
the Indian pizza industry and the everincreasing
number of loyal customers who
have made it possible for Pizza Hut to
aggressively extend its presence.
Achievements
Pizza Hut is the world’s largest pizza chain
with over 12, 500 restaurants in more
than 91 countries, serving over 1.7 million
pizzas to nearly 4 million customers across
the world every day. The acknowledged
worldwide leader of the pizza industry since
1971, Pizza Hut has established itself as the
market leader of the category in India with a
48% share (internal survey).
Pizza Hut’s constant endeavour to provide
extra value – whether it is pizzas which
are available to suit every price range, new
promotions or the introduction of innovative
product ranges - that puts a ‘Yum’ on every
customer’s face - has allowed it to increase its
presence in India to the current 70 restaurants
across 18 cities. Pizza Hut plans to scale up
its presence to 100 restaurants by this yearend.
While consolidating its presence in the
metropolitans, this aggressive expansion will
involve Pizza Hut entering smaller cities like
Cochi, Nasik, Lucknow and Madurai .
Pizza Hut has built a reputation of excellence
that has earned it the loyalty of its customers
and respect of industry experts. Not only
have the offerings from Pizza Hut been
voted number one in countless customer
surveys, Pizza Hut’s accomplishments as an
innovative business leader have been cited
by publications such as Restaurant Business,
Fortune and The Wall Street Journal.
Recent Developments
As a part of its continuing efforts to provide
its customers with maximum value in India,
Pizza Hut launched the Tandoori range
of pizzas, which have a distinct Indian
flavour and offer an innovative and exciting
combination of toppings. These pizzas are
served with a sliver of lemon to enhance
the overall experience of relishing each
scrumptious mouthful. Pizza Hut’s leadership
in innovation was further reinforced with the
introduction of the Chicken Stuffed Crust
pizza last year, which has a ring of succulent
chicken baked right into the crust making it
the most delightful experience. The latest
offering from the Pizza Hut stable was the
delicious Chettinad pizza, a mouthwatering
combination of the world’s best pizzas with
strong flavours of the Chettinad region. An initiative from Pizza Hut that met with
tremendous success was the ‘Kids Eat Free’
promotion, which was introduced last year
to coincide with the summer vacations.
This was the first time in India that a quick
restaurant chain offered a free pizza to all
children, 12 years and below.
Promotions
The strength of Pizza Hut’s success globally lies in a marketing strategy that builds
connections with customer’s everyday in
different parts of the world. Many customer
service initiatives have been uniquely
developed for India and have been greatly
instrumental in building an emotional
bond with the customer. For instance the
crewmembers at Pizza Hut break into a
Boogie at restaurants in Delhi and Mumbai
and do the Bhangra in Chandigarh and
Amritsar. While a bell hangs at each Pizza
Hut restaurant, which is rung by customers
who as they leave wish to thank the servers
for yet another memorable visit.
In India, eating out is perceived as a form
of entertainment. Which is why Pizza Hut
servers not only serve our customers great
food, they also sing and dance for them. And
many of Pizza Hut’s customers would, we
are certain, love to participate in this process.
Giving them an opportunity to showcase their talent – we conceived the Jig n Jeeto
contest. Organized in Delhi for the first time,
it received a phenomenal response with
super star Fardeen Khan judging the show.
Pizza Hut hopes to continue this contest as a
tradition for the years to follow.
Pizza Hut’s communication has also always
struck a chord with the Indian customer.
Its very first television commercial in India
featured a boy and girl, who meet at a Pizza
Hut restaurant in a traditional arranged
marriage setting. They lose their inhibitions
when the pizza arrives. When the sequel
went on air featuring the same couple, now
married, with the girl’s father consoling her
over a pizza as her bridegroom waits outside
the restaurant to escort her after their
wedding - the customer’s involvement was
so complete that several wrote in to inquire
whether the couple had children!
The more recent campaign that was launched
with the introduction of the Tandoori pizzas
featured a typical Indian wedding procession
abandoning the bridegroom when enticed by
delicious aromas from a Pizza Hut restaurant.
While the famous ‘Good times start with
great pizzas’ slogan has been prominent in
the communication ,the focus has remained on the best and most distinct pizzas.
Brand Values
Pizza Hut is all about giving a unique
and unforgettable dining experience by
offering the best and most distinct pizzas
and impeccable service, in a relaxed and
friendly ambience. Pizza Hut is fun, friendly
and familiar – it gives a sense of belonging,
of comfort and an experience that allows
friends and families to share a good time over
great pizzas – wherever and whenever. The
truth about Pizza Hut pizzas is that they act
like a catalyst, a bonfire that brings people
together.
Things you did not know about Pizza Hut
The dough for the crust, is made out of whole
meal flour and not of plain flour (maida), as is
largely believed and is kneaded several times
a day at each Pizza Hut restaurant. For the
delicious toppings only freshly cut vegetables
and whole unprocessed meat is used.
Pizza Hut holds the record for the world’s
largest pizza (six feet in diameter), which was
baked and served at the grand opening of a
Fort Worth, Texas Pizza Hut restaurant.
Pizza Hut uses more than 700 million pounds
of whole wheat each year, representing the
annual yield from nearly 500,000 acres of
wheat and it uses more than the equivalent
of 525 million pounds of tomatoes annually.
If the slices of the more than 700 million
pounds of pepperoni used per year by Pizza
Hut were to be laid side by side, they would
create a path that would stretch around the
world twice and go to the moon! n |
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