Pizza Hut Marketing Audit

Audio Transcript Auto-generated

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  Pizza Hut was founded on June 15th 1958 in which

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  it a Kansas, and it's a subsidiary of Young Brands

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  incorporated. Since its beginnings, Pizza Hut has grown toe one

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  of the leading pizza delivery companies worldwide.

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  However, in more recent years, the company has begun to

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  face economic challenges, bankruptcy threats and increased location closures.

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  Our marketing audit analyzes factors which make up Pizza Hut's

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  overall brand.

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  Thes factors include Consumer Insights, brand strategy and Pizza Hut's

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  overall marketing strategy, as well as their main competitors.

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  Marking strategies based on these factors, we crafted a plan

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  of action for Pizza Hut to implement.

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  In order to improve their overall sales and their brand

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  image, we interviewed 169 pizza consumers.

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  The majority of these respondents live in suburban communities and

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  are under 25 years old.

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  Respondents were asked about their general views of the pizza

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  delivery industry as well as their perception of Pizza Hut.

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  Pizza Hut is the world's largest company, with over 18,000

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  units. However, our surveys show that most consumers were unfamiliar

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  with other products that are included in Pizza Hut's product

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  mix, such as their wing street wings or Tuscany pastas.

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  In fact, one survey respondent claim that they were really

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  unfamiliar with the Pizza Hut brand and Onley know them

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  for their crust.

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  Further survey research showed that many consumers struggled to identify

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  what Pizza Hut's brand was known for, or their overall

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  brand image and efforts to boost consumer brand awareness.

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  Pizza Hut recently reinstated their retro logo, which they used

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  from 1967 to 1999.

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  However, we believe Pizza Hut should make larger strides to

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  continue engaging consumers with their brand.

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  Furthermore, very few respondents were able to recall any Pizza

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  Hut commercials they had seen.

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  This should be especially concerning to the company, considering the

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  high amount of revenue allocated for advertising campaigns.

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  What overall we compiled survey responses and industry data to

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  present our findings.

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  We found that Pizza Hut's marketing materials communicate that Pizza

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  Hut prides itself on convenient and fast delivery, Pizza Hut

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  insurance, product diversity and equity.

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  And Pizza Hut is the largest pizza company worldwide in

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  terms of unit locations.

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  However, our consumer surveys indicate that pizza brands perpetuate an

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  ancient nostalgia of pizza delivery compared to their competitors.

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  They do not offer a variety of healthy high quality

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  menu options, and they hold a low sense of urgency

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  compared to their competitors in the industry.

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  We developed an overview of Pizza Hut's current branding strategy.

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  Using consumer perception findings and in depth brand analysis.

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  Pizza Hut has built their brand as a leading fast

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  food retailer.

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  But fast food, especially pizza itself being unhealthy has also

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  negatively affected the international franchise.

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  First, they reposition their brand from a traditional fast food

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  restaurant chain to create healthier experiences for their customers, have

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  also lowered their costs and tried to make more budget

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  friendly options for their consumers.

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  Third, they've temporarily changed their name to Pasta Hut to

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  increase restaurant sales and promote their healthier pasta editions.

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  However, this did not go well, and they decided to

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  change their name back.

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  Pizza Hut is an international subsidiary of the Louisville, Kentucky,

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  Young brands, whose main market is the pizza related fast

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  food market.

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  Pizza Hut operates through 18,703 outlets worldwide.

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  The company increased growth by 3.9% from the fiscal year

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  of 2018 to 2019 contributing 18.3% of the total revenue

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  of young brands We found that for Pizza Hut's internal

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  strength, Pizza Hut has a strong brand portfolio.

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  They have the availability to deliver, order, take out or

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  dine in.

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  In most restaurants, Pizza Hut has an online ordering service,

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  and they have adapted to the various cove it 19

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  related rules and offer contact list delivery.

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  Pizza has an active involvement in the community and different

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  charitable organizations.

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  Furthermore, we identified Pizza Hut's internal weaknesses.

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  They have minimal vegan and gluten free options.

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  They lack a high market share with younger consumers.

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  They have a poor product demand forecasting, and they have

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  a high attrition rate compared to their competitors.

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  There has also been a decrease and in store sales

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  due to Kobe 19.

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  In addition, we believe Pizza Hut has numerous external opportunities

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  to take advantage of, including experimenting with the sale of

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  alcohol. There is also an increase in demand for delivery

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  and take out online ordering is becoming more popular.

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  Menu options can brought into include more vegetarian and vegan

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  options, and they can include more snack options to increase

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  sales. Lastly, Pizza Hut has also had a considerable amount

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  of external threats.

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  They shouldn't mater these closely these include increased labor costs,

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  government sanctioned cove, it 19 regulations, intense competition and new

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  forms of delivery.

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  Service is in addition to analyzing Pizza Hut's marketing strategies.

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  We also analyze Pizza Hut's top two competitors and the

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  pizza delivery industry.

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  Domino's and Papa John's Domino's is internal strengths include their

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  strong branding presence, and their brand has been enhanced with

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  different marketing associations, such as their partnership with Coca Cola.

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  They aim to increase their technology innovations, and they offer

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  a broad product mix.

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  Their internal weaknesses include a struggle to operate large franchise

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  numbers and a low staff retention rate.

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  External opportunities for the company include increased take out demand

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  during Coben, 19 restrictions and partnerships with new channels toe

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  order pizza Through lastly, external threats for the company have

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  begun to increase as consumer preferences change costs of materials

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  rise and competition continues to search.

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  Papa John's trademark better ingredients Better Pizza is reflective of

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  their strategy to differentiate themselves from their competitors by emphasizing

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  the quality of their ingredients.

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  They have partnerships with three of the top four food

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  aggregators in the U.

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  S. And they take great strides to provide outstanding customer

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  service. Their areas of weakness include negative media reports and

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  consumer sentiment.

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  As a consequence of statements made by their founder and

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  former spokesperson.

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  They have limited control over their large number of franchises,

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  and their ingredients are limited to only a few providers.

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  Papa John's may take advantage of their opportunities, such as

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  including new, healthier menu options or highlighting their co vid

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  19 outreach via ad campaigns.

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  Their threats include any distribution of the supply chain governmental

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  restrictions due to Cove in 19 as well as the

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  United States.

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  Quick Service restaurant pizza industry being highly competitive and fragmented.

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  We believe that Pizza Hut will tremendously improve their marketing

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  productivity as well as boost their overall brand image if

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  they follow the steps we have created.

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  Step one Pizza Hut should incorporate locally sourced organic ingredients

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  to improve their overall product quality.

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  For example, along with Udi's gluten free crust option, cauliflower

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  crust and pastas should be incorporated into the product lines

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  as additional low carb options.

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  Vegan cheeses should also be incorporated into their product lines

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  to cater to a new group of vegan consumers.

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  These actions will improve their competitive advantage against Papa John's

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  by competing for the freshest ingredients In addition, including these

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  new menu items will attract new consumers to their products.

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  Step two Pizza Hut should improve their delivery availability range

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  and improve their delivery speed.

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  This will increase their delivery distribution channel, which has proven

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  the most popular distribution channel for quick service restaurant pizza.

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  This demand will continue to increase during this era of

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  Cove in 19.

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  So by continuing to use contact list delivery and carry

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  out options, they will better cater to the man's of

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  their consumers.

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  Step three Pizza Hut must increase their marketing on social

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  media platforms.

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  Pizza Hut's advertising currently lacks a competitive edge.

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  They desire 84% of their customers utilize some form of

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  social media.

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  So Pizza Hut should take advantage of this opportunity by

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  implementing more advertisements throughout their consumers.

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  Most popular social media platforms such as Facebook instagram Snapchat

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  in YouTube step for the company should take additional strides

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  to market towards young adults and students.

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  On Lee, 14% of Pizza Hut customers in the second

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  half of 2019 were aged 18 to 24.

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  In order to close this gap and their consumer pool,

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  Pizza Hut should create a more notable image throughout college

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  campuses for consumers of this age often reside.

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  And finally, Step five.

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  Pizza Hut should take additional strides to rebrand their image.

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  Many consumers surveyed believe Pizza Hut's brand has fallen behind

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  in their industry.

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  Pizza huts had angle themselves as the retro brand for

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  the modern world by reminding customers of the favorable nostalgia

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  they felt towards Pizza Hut in the past decades.

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  In 2019 the logo from 1967 to 1999 was reinstated

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  as the official brand loco.

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  However, Pizza Hut should take this even further and emphasize

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  the nostalgic, family friendly brand image by adapting advertisements, menu

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  items and dining atmospheres.

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  In this new covert era way of life, consumers are

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  drawn to family and home connections.

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  Ah, slower pace, down to earth, lifestyle and natural, high

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  quality food.

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  By rebranding Pizza Hut into this image, they will center

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  themselves as the number one pizza delivery brand in the

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  new era.

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  By analyzing all aspects of Pizza Hut, such as their

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  brand image, marketing mix and competition, we believe with the

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  right plan of action, Pizza Hut will make enormous strides

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  and turn themselves around from being a for gotten washed

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  up brand to the number one pizza delivery brand as

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  consumers adapt to a new era of their lives because,

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  of course, no one out pizzas the hut.