BACKGROUND OF THE PIZZA HUT
1.0 INTRODUCTION
1.1 BACKGROUND OF THE PIZZA HUT Introduction of Pizza Hut was started in 1958, by two brothers in Wichita and Kansas. Frank and Dan Carney had the idea to open a pizza parlor. They borrowed $600 from their mother and opened the first Pizza Hut. In 1959, the first franchise unit opened in Topeka, Kansas. Almost ten years later, Pizza Hut would be 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 has 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 which is "The Best Pizzas Under One Roof." In 1996, Pizza Hut sales in the United States were over $5 million. Out of all the existing pizza chains, Pizza Hut had the largest market share, 46.4%. However, Pizza Hut's market share has slowly eroded because of intense competition from their rivals Domino's, Little Caesar's and newcomer Papa John's. Home delivery was a driving force for success, especially for Pizza Hut and Domino's.
However, this have force the competitors to look for new methods of increasing their customer bases. Many pizza chains decided to diversify and offer new non-pizza items such as buffalo wings and Italian cheese bread for the customers. The current trend in pizza chains today is the same. They all try to come up with some newer, bigger, better, pizza for a low price. Besides, offering special promotions and new pizza variations are popular today as well. For example, chicken is now a common topping found on pizzas.
In the past, Pizza Hut has always had the first mover advantage. Their marketing strategy in the past has always been to be first. One of their main strategies that they still follow until today is the diversification of the products they offer. Pizza Hut is always adding
1.1 BACKGROUND OF THE PIZZA HUT Introduction of Pizza Hut was started in 1958, by two brothers in Wichita and Kansas. Frank and Dan Carney had the idea to open a pizza parlor. They borrowed $600 from their mother and opened the first Pizza Hut. In 1959, the first franchise unit opened in Topeka, Kansas. Almost ten years later, Pizza Hut would be 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 has 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 which is "The Best Pizzas Under One Roof." In 1996, Pizza Hut sales in the United States were over $5 million. Out of all the existing pizza chains, Pizza Hut had the largest market share, 46.4%. However, Pizza Hut's market share has slowly eroded because of intense competition from their rivals Domino's, Little Caesar's and newcomer Papa John's. Home delivery was a driving force for success, especially for Pizza Hut and Domino's.
However, this have force the competitors to look for new methods of increasing their customer bases. Many pizza chains decided to diversify and offer new non-pizza items such as buffalo wings and Italian cheese bread for the customers. The current trend in pizza chains today is the same. They all try to come up with some newer, bigger, better, pizza for a low price. Besides, offering special promotions and new pizza variations are popular today as well. For example, chicken is now a common topping found on pizzas.
In the past, Pizza Hut has always had the first mover advantage. Their marketing strategy in the past has always been to be first. One of their main strategies that they still follow until today is the diversification of the products they offer. Pizza Hut is always adding