Expansion into emerging markets is a key
priority for Pizza
Hut. Its biggest business opportunity is now in
China and by year-end, it expects to have 1,200 Pizza Hut restaurants, with a focus
on casual dining rather than delivery and carry-out.
In the U.S., delivery is the fastest growing
part of the business and, in the last three years, the company has built 600
"Delco" stores to focus on delivery and carry-out. The shift from red roof dining
rooms to a smaller format has opened up more real estate opportunities for Pizza
Hut, and the opportunity to create an exciting and relevant experience in these
new locations is significant.
In order to revitalize the brand image, the
company is debuting a new marketing campaign with a distinct focus on millennials-a
key differentiation from competitors' focus on families. The business strategy
includes more digital initiatives to meet consumer demand for increased
mobility in ordering and receiving deliveries and its partnership with Visa Checkout for
example, enables customers to make payments on any device. As the first pizza
company to offer online ordering in the U.S., Pizza Hut is celebrating "20
Years of Digital Greatness".
This year, also saw the creation of limited
edition delivery boxes in the U.K., featuring an augmented reality offer and,
in the U.S., the brand created an OKCupid profile so fans could
pledge their lifelong commitment--all smart ways to capture the attention of
its target market and drive awareness of the Pizza Hut brand.