You are on page 1of 35






Pizza Hut is one of the flagship brands of Yum! Restaurant Int. which also has KFC, Taco Bell, A&W and Long John Silver’s under its umbrella. It is the world’s largest pizza chain with over 12,500 restaurants across 91 countries. Pizza Hut was started in 1958, by two brothers Frank and Dan Carney in Wichita, Kansas. They had the idea to open a pizza parlor. They borrowed $600 from their mother, and opened the very first Pizza Hut. In 1959, the first franchise unit opened in Topeka, Kansas. Almost ten years later, Pizza Hut was serving one million customers a week in their 310 locations. In 1970, Pizza Hut was put on the New York Stock Exchange under the ticker symbol PIZ. In 1986, Pizza Hut introduced delivery service, something no other restaurant was doing. By the 1990's Pizza Hut sales had reached $4 billion worldwide. In 1998, Pizza Hut celebrated their 40th anniversary, and launched their famous campaign "The Best Pizzas Under One Roof." In 1996, Pizza Hut sales in the United States were over $5 million. The first Indian outlet was opened in June 1996 in Bangalore. In India, Pizza Hut has 139 restaurants across 36 cities. Pizza Hut has been voted the “best family restaurant” for the second year running at the 2007 Tommy’s Parent Friendly Awards. "Pizza Hut is known for quality, innovation and category leadership. RETAIL ENVIRONMENT Out of all the existing pizza chains such as Domino's, Smokin Joe’s, Papa John’s, Pizza Corner, U.S Pizza, Pizza Hut has a dominating market share of 48% of the total market share. However, this forced competitors to look for new methods of increasing their customer bases. They all try to come up with some newer, bigger, better pizza for a low price. But Pizza Hut has always had the first mover advantage. Their marketing strategy in the past has always been to be the first. One of their main strategies that they still follow today is the diversification of the products they offer. 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 ever increasing

number of loyal customers who have made it possible for Pizza Hut to aggressively extend its presence. Pizza Hut is always adding something new to their menu, trying to reach new markets. For example, in 1992 the famous buffet was launched in Pizza Hut restaurants worldwide. They were trying to offer many different food items for customers who didn't necessarily want pizza. Another strategy they used in the past and are still using is the diversification of their pizzas. Pizza Hut is always trying to make a pizza into something slightly different so that customers will think it’s a whole new product. E.g., in 1983, Pizza Hut introduced Pan Pizza, which had a guarantee of being ready to eat in 5 minutes when dining at Pizza Hut restaurants. In 1993, they introduced the "BigFoot," which was two square feet of pizza cut into 21 slices. In 1995, they introduced "Stuffed Crust Pizza," where the crust would be filled with cheese. Currently, they are marketing "The Big New Yorker," trying to bring the famous New York style pizza to the whole country. POSITIONING 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. 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.

This market purchases a lot of pizza each year. This new pizza will have many different competitive advantages. Another competitive advantage is the Pizza Hut brand name.that puts a 'Yum' on every customer's face has allowed it to increase its presence in India to the current 139 restaurants across 36 cities. PRODUCT ASSORTMENT Pizza Hut will offer a new product called "The Extreme" pizza. Pizza Hut will try to establish a market for the product and . "The Extreme" will be introduced on Super Bowl Sunday. new promotions or the introduction of innovative product ranges .Pizza Hut's constant endeavor to provide extra value – whether it is pizzas which are available to suit every price range. Pizza Hut has built a brand name that means quality products and services. 2001." customers will automatically think this is a high quality product. During the introduction stage of the product life cycle. The second competitive advantage is that it has more cheese and toppings than any other pizza on the market. "The Extreme" is a twenty-inch pizza with twice as much cheese and toppings as Pizza Hut's other pizzas. "The Extreme" pizza will target Generation X and Generation Y or people between the ages of 12 and 30. No other pizza restaurant offers a twenty-inch pizza. Since Pizza Hut will be introducing "The Extreme. The first competitive advantage of "The Extreme" is that it is the largest pizza on the market. but very few pizza restaurants actually target them. The final competitive advantage is that this product will be the first pizza to target America's youth.

which is higher than Pizza Hut's competitors. bundle pricing will be used. The high/low pricing strategy has several advantages. Pizza Hut sets a high initial price for its products to send a signal to customers that its products are quality and the service is excellent. Several sales promotions and coupons will be used to lower the price below those competitors.99. The retail price of "The Extreme" pizza should be set at $9. Pizza Hut can sell "The Extreme" to the customers who will pay the higher price to be the first to buy and also to the bargain hunters. Customers will be able to try something new when they purchase "The Extreme" and this exciting experience may bring those customers back to purchase other products. Pizza Hut will be able to sell two products together at a single price to suggest a good value. this strategy will emphasize product and service quality. Since both Pizza Hut and the beverage Mountain Dew are Pepsi subsidiaries. First. but also promote frequent sales to lower the price below them. The high/low retail pricing strategy allows Pizza Hut to charge a price that is above the competition. Pizza Hut will try to build sales and develop a preference for the product. During the growth stage.persuade early adopters to buy. The high/low pricing strategy will also create excitement. . "The Extreme" is expected to begin to decline after one year on the market. Different groups of customers are willing to pay different prices for the same product. Customers can purchase "The Extreme" for $9. Pizza Hut will try to seek differentiation during the maturity stage. PRICE POSITIONING In the past. Pizza Hut has successfully used the high/low pricing strategy when setting the retail price of its products.99 and receive a two-liter bottle of Mountain Dew for free. Finally. this pricing strategy will help segment the market.

Do you eat fast foods? FY students .1.

SY & TY eat fast food .SY students Attitude towards Fast Food 1 YES NO 24 TY students Analysis:Maximum students of FY.youngsters of SPB .

Udhna college like eating fast foods. 2. From where do you like to eat fast food? FY students .

Location of eating Fast Food 4 7 5 Local stall Resaurants 18 Brand Outlet Other SY students Location of eating Fast Food 7 4 Local stall Resaurants 13 Brand Outlet TY students .

Analysis:Students of FY. At what time do you like to eat fast food? Timing of eating Fast Food 4 10 4 10am-12am 1pm-4pm 5pm-9pm 17 after 9pm FY students . SY & TY prefer to eat fast food from restaurants because they are near to their residence and are cheap compared to brand outlets. 3.

Timing of eating Fast Food 5 9 5 10am-12am 1pm-4pm 5pm-9pm 15 after 9pm SY students Timing of eating Fast Food 2 7 2 10am-12am 1pm-4pm 5pm-9pm 13 after 9pm TY students .

4.Analysis:Maximum students of FY. SY & TY prefer to eat fast food between 5-9 pm. What type of fast food do you prefer? FY students .

Type of Fast Food 1 9 8 S outh indian Chinese P unjabi oher 16 SY students Type of Fast Food 1 7 5 South indian Chinese Punjabi other 11 TY students .

So everybody from 15 to 30 years of age like to eat Chinese food. Chinese food is a hit in India in its innovated Indian spicy style. SY & TY prefer to have Chinese. 5.Analysis:Maximum Students of FY. Do you want Pizza Hut in our college canteen? .

Demand Feasibility of PH in college 8 YES No 27 FY students SY students .

Pizza Hut is the most trusted brand of pizzas and hearing the news of opening it in SPB college gave the researchers overwhelming responses. SY & TY prefer to have pizza hut in our college.TY students Analysis:Maximum students of FY. .

6. What would you prefer to eat from Pizza Hut in our college? Types of Dishes 1 5 J ain Dishes Regular 12 Non-v eg FY students Types of Dishes 4 8 J ain Dishes Regular Non-v eg 16 SY students .

SY.Types of Dishes 5 4 J ain Dishes Regular Non-v eg 18 TY students Analysis:Maximum students of FY. Regular dishes refer to as both Jain and non veg included in it so maximum wanted regular dishes. . and TY prefer to have regular dishes from pizza hut in SPB college.

7. Which dishes would you like to include in menu of Pizza Hut in canteen? Demand in menu 3 9 10 5 Pizza Pastas Garlic Bread Soup &Salad FY students Demand in menu 2 4 13 9 Pizza Pastas Garlic Bread Soup &Salad .

SY students Demand of menu 2 1 10 Pizza Pastas 5 Garlic Bread Soup &Salad TY students Analysis:TY & SY students want pizza & FY wants Pasta in the menu of Pizza Hut in SPB college canteen. .

What price range do you prefer for the Pizza Hut items? Price ranges of item 10 10 25-50 50-75 75 abov e 7 FY students .8.

Price ranges of item 8 15 5 25-50 50-75 75 abov e SY students Price ranges of item 5 7 25-50 50-75 75 above 6 TY students .

9. were as SY & TY students can afford price range between 25-50 Rs. If French Fries are included in the menu list would you like to try it? French fries in Pizza hut 3 5 16 3 Definitely try Probably Try Not sure Definatly not try FY students .Analysis:FY students want price range of items between 2550 & 50-75 Rs.

French fries in Pizza hut 4 1 Definitely try 15 8 Probably Try Not sure Definatly not try SY students French fries in Pizza hut 2 5 11 Definitely try Probably Try Not sure TY students .

Analysis:Students of all the years said that they will definitely try French fries if included in Pizza Hut menu list. & 5 according to your importance? Rating of attributes 16 14 12 Price 10 Quality Taste 8 6 10 4 2 2 0 1 2 3 7 8 6 8 7 8 6 6 7 5 1 1 2 4 4 5 1 1 5 5 9 15 11 Variety Av ailability FY students . 3. 2. 10. 4. Rate the following as 1.

Rating of attributes 25 20 Price 15 Quality Taste Variety 10 21 Av ailability 12 5 7 8 1 1 8 12 10 5 4 1 2 2 3 5 1 2 4 8 6 12 4 4 1 1 2 5 4 0 SY students .

taste. variety & availability respectively by all the respondents . quality. Why you don’t want Pizza Hut in our canteen? .TY students Analysis:The importance rated to all the attributes was price. 11.

Reasons of disagreem ent for PH in spb 2 Money Problem 6 Other FY students SY students .

While SY students don’t want as they have money problem and Ty students don’t like pizzas .TY students Analysis:FY students don’t want pizza hut in canteen because of other reasons.

In having understood the pulse of the customers in India. a Salad Bar .CONCLUSION • 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. • Pizza Hut has a unique tradition. What has also given Pizza Hut a competitive edge is that in addition to an extensive range of internationally renowned pizzas like The Italian. which is rung by customers who as they leave wish to thank the servers for yet another memorable visit. a range of soups. • Over the years Pizza Hut has also developed and successfully introduced a range of products especially suited to the Indian palate. • Besides offering an extensive range of vegetarian pizzas.where the customers can make their own fresh salads. Spicy Korma. pastas and desserts. it was the first pizza chain to open a 100% vegetarian restaurant in India in Surat and later in Ahmedabad and Chowpatty. in India the menu offers the option of a complete meal. These products like Chicken Tikka. Pizza Hut has clearly established itself as a brand with an Indian heart. A bell hangs at each Pizza Hut restaurant. Spicy Paneer and the Masala and Tandoori pizzas have been a tremendous success. . the proprietary Pan Pizza and Stuffed Crust. It includes appetizers. where it offers a Jain menu sans all root-based ingredients.

SUGGESTIONS • Maximum students want Pizza Hut in SPB Udhna college so the college should think upon opening it in canteen shortly. • TY students don’t want pizza Hut in our college as they are leaving the college and would miss canteen more . • Maximum students want regular dishes in Pizza Hut.

At what time do you like to eat fast food? . Do you eat fast foods? Yes No Note.BANK COLLEGE OF BUSINESS ADMINISTRATION Demand Feasibility of Pizza Hut in S.OP.P.If your answer is “No” please stop here.B Udhna College Note.ANNEXTURE THE SURAT PEOPLE’S CO.This questionnaire will be used only for academic purpose and the information revealed by you will be kept confidential. From where do you like to eat fast food? Local stalls Restaurants Brand outlet Other__________ 3. 2. 1.

6. What would you prefer to eat from Pizza Hut in our college? .10am-12pm 4pm 9pm 5pm-9pm 1pmafter 4. Do you want Pizza Hut in our college canteen? Yes No Note – If “No” move on to Q-11. What type of fast food do you prefer? South Indian Chinese Punjabi other___________ 5.

Jain Dishes Non.Vegetarian Regular 7. Probably not try. 4. 10. Rate the following as 1. What price range do you prefer for the Pizza Hut items? 75 above 25-50 50-75 Garlic Bread Soups & 9. Probably try. Definitely not try. Which dishes would you like to include in menu of Pizza Hut in canteen? Pizza Pastas Salad 8. 3. & 5 according to your importance? Price . If French Fries are included in the menu list would you like to try it? Definitely try. 2. Not sure.

Quality Taste Variety Availability 11. Suggestions:- Name: Age: - _______________________________ ______________ . Why you don’t want Pizza Hut in our canteen? Don’t like Pizzas Money problem other 12.