Pizza Hut Marketing Strategy Case Study Example

Pizza Hut Marketing Strategy Case Study Example

Pizza Hut Business Overview 

Headquartered in Plano, Texas Pizza Hut has a total of 18,703. It is the largest Pizza restaurant company in terms of the percentage of market share and the number of outlets worldwide. It provides American-Italian dishes that include pasta, and side dishes. 

It is a subsidiary of Yum, which is the largest restaurant company. The oldest Pizza Hut was located in Athens, Ohio.

Pizza Hut has stores in countries like Finland, France, Spain, Turkey, Peru, Brazil, Germany, South Africa, Venezuela, Costa Rica, and South America. 

Company Tagline – “Your favorites, your Pizza Hut”

Pizza Hut Competitive Advantage in Marketing Strategy

A strong grasp over the Pizza market along with a menu of flavorful dishes offers a competitive edge to the Pizza store chain. The pizza hut digital marketing strategy shows its development in other countries is more likely to boost sales in the future. Pizza Hut is concentrating on driving growth and gaining markets in emerging countries. 

It has a strong parent company, and brands in its portfolio that allow Pizza Hut to exploit the resources and increase its market share. 

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Pizza Hut Customer Analysis in Marketing Strategy 

Customers of Pizza Hut vary geographically all over the world. It has customers from all age groups in developing countries like the United Nations of America and the UK. In India, it has customers, aging between 22 to 40. 

The target market of Pizza Hut 

The Target Market of the new supreme Pizza is the United States of America. Pizza Hut aims to reach out to Asian customers as it feels that these were the people that got less served in the past. 

The UK underwent massive demographic and social changes that had an impact on the demand for fast food. Target customers of the Pizza chain include bachelors, students, and small families. 

Pizza Hut Market Analysis in Marketing Strategy 

Due to a wide variety of fast food items, it becomes challenging for the companies to increase both the customer base and market share. Due to factors like standard of living, literacy and poverty level, and low income per capita it becomes challenging for Pizza Hut to enhance market share in developing countries like the US and UK. 

Pizza Hut outlets are strategically located to serve and meet the needs of local customers. It allows the overall infrastructure cost low. The company offers discounts through online sales channels. It helps the company to

  • Control the operational expenses and labor costs
  • Improve the level of customer experience by offering convenience

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Marketing Mix of Pizza Hut

Like all other businesses, the important goal of the pizza chain is to increase profits and revenue. With the introduction of new products, the company hopes that there will be a rise in overall sales. It will positively impact the quality and services of the company. 

1. Product in Marketing Mix 

Pizza Hut is known for its Italian Products like bread, pizzas, and plates of pasta. Nevertheless, due to competition from Dominos, KFC, and McDonald’s, Pizza Hut launched a new item in the product line. They called it Birizza, which is a new form of biriyani. 

Pizza served by the company is available in sizable portions. They are delicious, including ingredients collected from reliable sources. There is no doubt that people relish the rich taste of crispy kinds of pasta and pizzas served at Pizza Hut. It includes Pizza Hut Delivery that offers home delivery like Dominos.

2. Pricing in Marketing Mix

The pricing Strategy followed by the pizza hut marketing campaign is premium. Pizza Hut is one of the first entrants in India. Moreover, Pizza Hut is aware of the quality of food served at its outlets. Subsequently, the ambiance at the store is better than that of its competitors, serving Italian food items. 

Thus, even though Pizza Hut follows a skimming pricing strategy, people prefer it over its competitors.

Pricing of the prickle supreme Pizza will be

  • £5.99 -for individuals
  • £10.99 -for medium-sized Pizza 
  • £13.99 -for large-size Pizza 

3. People in Marketing Mix 

Pizza Hut offers a comfortable working environment. Employees working at the outlets are flexible enough to adjust to the changing needs of the customers. The company plans to conduct training sessions that would help the employees to boost their skills as per the new product. The company tries to please the employees. 

4. Process in Marketing Mix

Pizza Hut offers only fresh plates of pasta and Pizza. Half of the raw materials used by the company get prepared in the kitchens of Pizza Hut. Once a customer places the order, the dish gets served hot and tasty. Pizza Hut introduced a hot mark on all their packaging delivered by Pizza Hut Delivery. Customers can opt to return the Pizza if it is not served hot. Outlet promises to deliver the orders within 30 minutes. It needs to maintain a slew of drivers for this purpose. 

Physical Evidence 

Pizza Hut is offering full-service restaurants with an ideal dining environment. The new product will get highlighted in the menu, and the Pizza retail chain has sufficient space to accommodate the changes.

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