HISTORY• 1958: The legacy of Pizza Hut began, when two college-aged brothers from Whichita, Kansas, Frank and Dan Carney opens first Pizza Hut restaurant after borrowing $600 from their mother.• 1959: Pizza Hut is incorporated in Kansas and the first franchise unit opens in Topeka, Kansas.• 1968: International market entered with opening of Pizza Hut restaurant in Canada.• 1969:Red roof adopted for restaurants.• 1972:Pizza Hut, Inc. listed on New York Stock Exchange under the symbol PIZ.• 1973 - Pizza Hut went international.
• 1977:Pizza Hut, Inc. stockholders overwhelmingly approve merger with PepsiCo, Inc. for an undisclosed sum.• 1982 - JV between PepsiCo and Whitbread• 1986:Delivery service, as a new concept, is initiated• 1996:Pizza hut comes to India with a dine in restaurant Banglore that has special vegetarian pizzas.• 1997 - Pepsi Moved aside for Drinks and Tricon Global Came into motion.• 1997:Pizza hut opens a dine-in restaurant in Delhi.• 2002 - Tricon Global became YUM! Brands Inc.• 2006 – WB sold their share of the JV to Yum!• 2007 Pizza hut brought out our Thick n Thin Pizza and began to re-franchise our dine-in restaurants.• 2008 - Bought Godfathers Pizza in Ireland with 28 stores.
Fun Facts• Pizza hut are the worlds largest user of cheese, Over the course of a summer it is estimated that Pizza hut uses a 100 million pounds of cheese. Pizza Hut uses more than 300 million pounds of cheese annually.• Pizza Hut purchases more than 3 percent of all cheese production in the United States , which requires a herd of about 170,000 dairy cows to produce it.• They also use 700.000.000 pounds of pepperoni and 525.000.000 pound of tomatoes in one year.• Gorbachev (the former president of the USSR) also played in a Pizza Hut commercial.• In 2001 Pizza Hut sponsored a pizza delivery to the international space station.• The oldest Pizza Hut that is still functional is in Wichita, Kansas.
MARKETING STRATEGY• Pizza Hut’s Says: We want to satisfy our customer by offering them “The Best”.• Be C.H.A.M.P.S (Cleanliness, Hospitality, Accuracy, Maintenance, Product quality and Speed)• You will Find 3F’s at Pizza Hut ( Fun, Friendly and Familiarity)
MARKETING PROCESS• Understand the Marketing Place, Needs, Wants & Demands• Designing a Customer Driven Strategies• Prepare a Marketing Plan• Building Customer Relationship• Capture value from customers in return
Understand the Market Place,Needs,Wants & Demands:• Being lover of fine food Italians imported this terrific dish to America.• They always add something new to their menu, trying to reach new markets.• They offered many different food items for customers who did not necessarily want pizza.• They are still using the diversification of their pizza according to culture & people regional values.• They offer different varieties of pizza according to customer’s want & purchasing power e.g. The Extreme pizza.
Designing a Customer Driven Marketing Strategy:• Their main strategy that they still follow today is the diversification of products they offer.• Other strategies followed by pizza hut are C.H.A.M.P.S. & 3 F’s.• According to customer’s demand they make their strategies by keeping following points in mind; – Which customer they will serve? – How will they serve these customers?
Which customer they will serve?• They serve their customers on the bases of income level, age through market segmentation.• Their main segment which they has captured are combination of higher incomes & dual career families.• Their maximum market segment is younger generation ranges from 12-30.
How will they serve these customers?• They fulfill their customer’s demand through; – Value proposition – Positioning – Unique selling proposition (USP)
Prepare a Marketing Plan:• They develop best product with the resources available.• Their marketing plan is comprises on 4P’s; – Product – Price – Place – Promotion
Building Customer Relationship:• They build strong relationship with customer by offering them best pizza and they create customer delight through; – Customer Relationship Management (CRM) – Partnership Relationship Management (PRM)
Customer Relationship Management (CRM):• In 1995 they began two customer satisfaction program;• 1-800 customer hot line & a customer call back program.• They’ve full service restaurant as well as delivery services.• Crewmember at pizza hut strive each day to provide ‘customer mania’.• They also offer two products within single price.
CRM@PIZZA HUT• PIZZA HUT GIFT CARD• ONLINE ORDER• REMOVAL OF TRANS FATS• NEW CHILDRENS MENU• STAFF TIPS• PIZZA HUT GOES VOIP• RETENTION AND REWARD• THE OFFER• WITH AXIS BANK DEBIT CARD• WITH CITIBANK DEBIT CARD-1/2 PRICE WEDNESDAY• BUY ANY MEDIUM OR FAMILY PIZZA AND GET THE 2ND PIZZA AT HALF THE PRICE.
Walking the Talk" with YUM! Leadership Principles• Customer Focus - We listen and respond to the voice of the customer.• Belief in People - We believe in people, trusts in positive intentions, encourage ideas from everyone and actively develop a workforce that is diverse in style and background.• Recognition - We find reasons to celebrate the achievements of others and have fun doing it.• Coaching and Support - We coach and support each other.• Accountability - We do what we say, we are accountable, we act like owners.• Excellence - We take pride in our work and have a passion for excellence.• Positive Energy - We execute with positive energy and intensity...we hate bureaucracy and all the nonsense that comes with it.• Teamwork - We practice team together, team apart.
CUSTOMER LOYALTY PROGRAMS• Pizza Hut first time in its history’ introduced a customer satisfaction hotline.• Managers with weekly feedback from their customers’ pizza hut hoped the feedback would strengthen operations within the control of each restaurant manager.• They offer variety of local dishes according to demand and liking of customers for loyalty purpose.