SYMBIOSIS CENTRE FOR DISTANCE LEARNING (SCDL)

Symbiosis Bhavan, 1065‐B Gokhale Cross Road,

Model Colony, Pune‐411016
Website: www.scdl.net

Name of the Program : Post Graduate Diploma in Business Administration

Specialization : CUSTOMER RELATIONSHIP MANAGEMENT

Name of the Student : AJOY KUMAR PRADHAN

Registration Number : 202008976

Active Email ID : ajay_pradhan@outlook.com

Mobile Number : +91 9886331771

Name of Topic : PROJECT REPORT ON “CUSTOMER’S SATISFACTION

LEVEL OF PIZZA HUT”

1
 DECLARATION

I AJOY KUMAR PRADHAN a student of MBA respectively hereby declare that the
Research Project Report on “CUSTOMER’S SATISFACTION LEVEL OF PIZZA HUT”
is the outcome of my own work and the same has not been submitted to any other University/
Institute for the award of any degree or any Professional diploma.

(Signature of Student)

Date: …………………
Place: ………………..

2
 CERTIFICATE BY THE GUIDE

Certified that the work incorporated in this Project Report “CUSTOMER’S

SATISFACTION LEVEL OF PIZZA HUT” submitted by AJOY KUMAR PRADHAN is
her original work and completed under my supervision. Material obtained from other sources
has been duly acknowledged in the Project Report.

(Signature of Guide)

Roll Number :- 201906519

Date: …………………
Place: ………………..

3
 PROJECT REPORT ON

“CUSTOMER’S SATISFACTION LEVEL OF

PIZZA HUT”

Submitted to:

SYMBIOSIS CENTRE FOR DISTANCE LEARNING (SCDL) IN

PARTIAL FULFILMENT, OF POST GRADUATE DIPLOMA IN

BUSINESS ADMINISTRATION (PGDBA –]

Submitted By: AJOY KUMAR PRADHAN

PGDBA -
SYMBIOSIS CENTRE FOR DISTANCE LEARNING (SCDL)

4
 ACKNOWLEDGEMENT

We are delighted to present the " Customer Relationship Management " project study as
part of the "Post-Graduate Diploma in Business Administration" Programme. We'd like to
thank all the people who have given us constant support.

I express my sincere appreciation to the Director and Professor of the Project Guide and to all
those who have directed and supported us indirectly in planning this project.

We also want to extend our appreciation to all College of Management staff and our
colleagues, who gave moral support, a conducting work atmosphere and the much-needed
inspiration to finish the project in time and a special thank you to my parents who are integral
to the project.

Thank you.

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TABLE OF CONTENT

EXECUTIVE SUMMARY 7-8

INTRODUCTION 10

 Product 11-14
 Needs wants and demands 15-33
 Marketing mix of pizza hut 34-39
 Pizza hut franchising network in india 40-444
 Names awarded to pizza hut 45-49
 Slogans 50-53
 SWOT 54-56
 Future plans 58
 Corporate social responsibilities of pizza hut 60
 Customer satisfaction in 7 steps 61-63
 Comparison between dominos and pizza hut 64-66
LITRATURE REVIEW 67
RESEARCH METHODOLOGY 68-70
DATA ANALYSIS 71-77
RECOMMENDATIONS AND SUGGESTION 78-79
CONCLUSION 80
LIMITATION 81
BIBLIOGAPHY 82
ANNEXTURE 83-86

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 EXECUTIVE SUMMARY

The research report includes our research about Pizza Hut to analyze the most important

element for its profitability. In this research we conducted a customer analysis in which

we asked the customers their preferences for going to any fast food restaurant. We also

asked them about their experiences in Pizza Hut, every time they visit there. This helped

us making a broad perception about the future sales and profitability of Pizza Hut and

what Pizza Hut needs to do to maintain its image and retain the customers.

Pizza emerged sometime in the middle Ages. It was used to describe both the sweet

and saltypies that were becoming popular among Italian aristocracy. Pizza is basically a

mealprepared in a plate made of bread. There are four main components of a basic

pizza pie.They are crust, sauce, cheese and toppings.

Two brothers, mom and $600 turned into the recipe for the world's largest pizza

companyin 1958, when a family friend with the idea of opening a pizza parlor

approached the twocollege-age brothers in Kansas. The result of their efforts was the

first Pizza Hut and the foundation for what would become the largest and most

successful pizza restaurant in theworld.

There are different objectives of every organization. In order to achieve these objectives

different targets are set. Targets pass down the hierarchy depending on the nature of the

business. Therefore, in order to achieve the objectives, management decides ondifferent

strategies. These strategies are divided into many sub-parts and are useful for
7
therunningof the business. The employees and the management know what they have

to achievethrough the targets which have been set to them and the strategies they have

adoptedhelp them know the way they will achieve the objectives. Similarly, Pizza Hut

has differenttargets set to them and they have adopted different strategies to

successfully achieve thetargets set. These targets are set by the RSC i.e. the restaurant

support centre in india.

These targets are passed on to the RGM (restaurant general manager) and he passes

them to the workforce. These targets fall within the organizational structure in which

thereare many people who have different targets to achieve. In order to successfully

achievethe targets they need to co-operate and work in a friendly environment.

During the past four decades Pizza Hut has built a reputation for excellence that has

earned the respect of consumers and industry experts alike. Building a leading pizza

company has required relentless innovation, commitment to quality and dedication to

customer service and value. The qualities of entrepreneurship, growth and leadership

have characterized Pizza Hut’s business through more than four decades of success.

Through the strength of its heritage, its culture and its people and franchisees, Pizza Hut

looks forward to more success in future.

The detail analysis of marketing process and marketing mix of Pizza Hut. Product and

services they are offering to the customers. What are the prices of the products? The

8
promotion deals of the Pizza Hut and their distribution strategies. The buying behavior
of

the customer towards the Pizza Hut. What are the habits and they evaluate beforebuying

pizzas.

By developing a PEST and SWOT Analysis,we can determine what its distinctive

competencies area. This will help determine what the organization should be in business

for, what its mission should be.There are some points, which Pizza Hut should

followtohave an effective market share,also can gain more customers and have more

profits. This can result in making the bestfood chain in the food industry.

9
 INTRODUCTION

PIZZA is an oven-baked, flat, disc shaped bread usually topped with tomato sauce and

mozzarella and then a selection of meats, salamis, seafood, cheeses, vegetables and
herbs

depending on taste and culture.

Originating in Neapolitan cuisine, the dish has become popular in many different parts
of

the world. A shop or restaurant that primarily makes and sells pizzas is called a

"pizzeria". The phrases "pizza parlor", "pizza place" and "pizza shop" are used in the

United States. The term pizza pie is dialectal, and pie is used for simplicity in some

contexts, such as among pizzeria staff.

Pizza Hut is an American restaurant chain and international franchise based in Addison,

Texas[1] (a northern suburb of Dallas), offering different styles of pizza along with side

dishes including pasta, buffalo wings, breadsticks, and garlic bread. Pizza Hut is a

subsidiary of Yum! Brands, Inc., the world's largest restaurant company,[2] with

approximately 34,000 restaurants, delivery-carry out units, and kiosks in 100 countries.

Pizza Hut is relocating its headquarters to Legacy Office Park in nearby Plano when the
lease on its current building, which it has occupied since 1995, expires at the end of
2010. The company broke ground on its
new headquarters building on February 25, 2010.

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PRODUCTS

Pizza Hut sells pizzas in four different sizes: personal (individual serving), small,
medium and large, though most stores have done away with the small size. A variety of
toppings are available, plus "specialty" styles, including Meat Lovers, Pepperoni Lovers,
Cheese Lovers, Veggie Lovers, Double Cheeseburger, Supreme, Super Supreme and the
newly introduced Pizza Mia. The pan pizza has a thicker crust than most other
commercially available pizzas.

Pizza Hut also sells Stuffed Crust pizza, with the outermost edge wrapped around a coil

of mozzarella cheese; Hand-Tossed, more like traditional pizzeria crusts; Thin 'N Crispy,

a thin, crispy dough which was Pizza Hut's original style; Dippin' Strips pizza, a pizza
cut

into small strips that can be dipped into a number of sauces; and The Edge pizza, where

the toppings nearly reach to the edge of the pizza. There was also formerly a crust that

was not as thick as Pizza Hut's pan pizza, and not as thin as its thin crust. This crust was

used on the Full House XL pizza and discontinued in 2007.[9]

Pizza Hut experiments with new products frequently, with less successful ones being

discontinued. These include the initially popular two-foot by one-foot square cut pizza

Bigfoot, the 16" Big New Yorker, made with a sweet sauce, the Chicago Dish Pizza and

Sicilian pizza, the latter also offered in 2006 as Lasagna Pizza. Other products Pizza Hut

has offered are the "P'zone", Pizza Hut's version of the calzone; the Cheesy Bites pizza,

similar to the Stuffed Crust pizza except the crust has been divided into 28 bite-sized

pieces that can be pulled apart; and the Insider pizza, where a layer of cheese is in

11
between two layers of dough. Another limited time offer was a Double Deep pizza with

double the toppings and 50% more cheese, with the crust wrapped over the top to hold in

all the toppings. In 1985 Pizza Hut introduced the Priazzo[10], a two-crusted Italian pie

that resembled a deep-dish pizza. Varieties included Priazzo Milano, a blend of Italian

sausage, pepperoni, beef, pork fillings, a hint of bacon, mozzarella and cheddar cheese;

Priazzo Florentine, a light blend of five cheeses with ham and a touch of spinach, and

Priazzo Roma, stuffed with pepperoni, mushrooms, Italian sausage, pork filling, onions,

mozzarella and cheddar cheese. The double-crusted pie was topped with a layer of
tomato

sauce and melted cheese. The Priazzo was introduced by a $15 million advertising

campaign, but proved too labor-intensive and was removed from the menu several years

later.

In addition to pizza, also sold is garlic cheese bread (not in all locations), plus a number

of side dishes including bread sticks, cheese sticks, cinnamon sticks, mozzarella sticks,

onion rings, chicken wings (some stores have integrated with another chain known as

WingStreet which offers a wide variety, such as Buffalo Burning Hot, Buffalo Medium,

Buffalo Mild, Honey BBQ, Spicy BBQ, Garlic Parmesan, Cajun, Spicy Asian) boneless
wings,

chicken munchers, jalapeño poppers, Quepapas (potato bites filled with

cheese and jalapeño flavor), a basket of taters or tater tots and fried apple pies.
Depending on the

individual restaurant size, Pizza Huts also may offer pasta dinners such

as spaghetti and Cavatini – a mixture of Cavatelli (shells), Rotini (spirals), and Rotelle

12
(wheels).

A new, upscale concept was unveiled in 2004, called "Pizza Hut Italian Bistro".
Unveiled

at fifty locations nationwide, the Bistro is similar to a traditional Pizza Hut, except that

new, Italian themed dishes are offered, such as penne pasta, chicken pomodoro, toasted

sandwiches and other foods. Instead of black, white, and red, Bistro locations feature a

burgundy and tan motif.[ Pizza Hut Bistros still serve the chain's traditional pizzas and

sides as well. In some cases, Pizza Hut has replaced a "Red Roof" location with the new

concept.

A new version of Pizza Hut pizza, named Pizza Mia which is lightly cooked and topped,

was introduced in 2007. The product is aimed at the cost sensitive consumer segment
and

is priced similarly to the Domino's 555 deal, where each pizza is priced at five dollars if

purchased in bulk of three or more. In comparison, a Pizza Hut medium sized, hand-

tossed pepperoni pizza is internationally priced at $10.24 (Dallas, Texas 1/1/2009). The

Pizza Mia comes in only one size (medium) and extra toppings range from $1.25 to

$1.49. One slice of Pizza Hut pepperoni Pizza Mia weighs 83 grams, while one slice of

Pizza Hut pepperoni hand-tossed pizza weighs 96 grams.

Pizza Hut on May 9, 2008, created and sold in Seattle, Denver, and Dallas, “The

Natural”, a new all-natural multi grain crust sweetened with honey, a red sauce of
organic

tomatoes and topped all-natural cheese (or with all-natural chicken sausage and roasted

red peppers). A medium Natural pizza with one topping sold for $9.99. This was

discontinued on October 27, 2009 in the Dallas market. It has since launched a

13
nationwide advertising campaign. Also in 2008, Pizza Hut created their biggest pizza

ever, the Panormous Pizza. It has 16 pieces.

Pizza Hut introduced the Big Eat Tiny Price Menu on June 21, 2009. It features new

Pizza Rolls, the P'Zone Pizza, new Personal Panormous Pizza, and the Pizza Mia Pizza,

each item starting at $5.00 or $5.99.

Pizza Hut introduced stuffed pan pizza on August 23, 2009 with $10.99 for one toppings

and specialty for $13.99. Unlike regular stuffed crust cheese is not inside the crust, just

pressed into the pan crust.

Understanding the market place

It consists of five steps:

 Needs , wants & demands

 Marketing offer

 Customer value & satisfaction

 Exchange & relationship

 Market

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 NEEDS ,WANTS AND DEMANDS :

Need:

To eat something good its customer need and pizza hut fulfill their need according to

theirexpectations and fulfill the desire of hunger.

Wants:

Mainly pizza of pizza hut is not the basic need of people but it is a want of those who

wantsome extra or they want to celebrate some specific occasion, and they celebrate

thesewith pizza hut.

Demand:

Pizza hut also give considerable and proper attention to demands of people. In new

product development, pizza hut considers demands of people specially. There areseveral
steps to

go through before they launch a new product.

The first step is to carry out research to find out:

  What people think about pizzas (what role do they play in people's lives, when do

 they eat them and so on)?

 What do they like about pizzas?

 What do they dislike about pizzas?

 What do they want from pizzas?

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Marketing offer:

Pizza hut creates a market offer very much according to market. It is offered to satisfy

need or want. The information is collected together and used to create ideas for

prototypes. The ideas are tested first, before they make any pizzas.

Customer value & satisfaction:

Pizza hut create certain expectations among its customers, is fulfilling it accurately, and

get a good image in minds of customers. Its customers are satisfied by its quality as it

satisfies their expectations. They give basic priority to their customers.

Exchange & relationships:

Pizza hut has maintained very good relationships with its customers. It believes on

exchange through relationships. They create relationships by offering the best product

and best services to their customers for example they are offering to their customers

home delivery services & providing products according to customer’s requirement.

Market:

Pizza hut is entering in global as well as local market. Being that Pizza Hut holds the

mostmarket in the pizza industry all around the world, they perceived quality and service

of thecompany will help to ensure a better than average chance at a successful

introduction of anew product. The pizza industry firms are famous for introducing new

products to sparkshort-term sales in available marketplaces. Pizza Hut as stated earlier

has been verysuccessful at accomplishing this in different markets. The introduction of a

16
product thatkeeps with today's trends is also important to reduce the risk of failure. In

recent years,there has been an increase in the marketing of products with an extreme

twist to them.Mountain Dew, which is a brand name owned by Pizza Huts parent

company, PepsiCo, hasbeen very successful at repositioning itself to this segment of the

market, which hassparked new interest in the soft drink. Many other imitators have

followed their exampleand have been successful as well. Pizza Hut has the resources

available to research andimplement a new product with great success in globally

marketplace.

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1. CUSTOMER DRIVEN MARKETING
STRATEGY:

Pizza Hut’s marketing strategy is very simple: “we want to satisfy our customer
boffering

them the best.” Their main segment which they have captured is combination of higher

incomes & dual career families. Their maximum market segment is younger generation

ranges from 12-30.

Another big strength and even a competitive advantage is the fact that they have a full

service restaurant as well as delivery services. Most of Pizza Hut's competitors do not

haverestaurants. Because of the restaurant, Pizza Hut can market to different segments

thatother pizza chains cannot. For example, Pizza Hut can market to families much

easier thanDomino's or Little Caesar's. Pizza Hut offers a sit-down, conversational type

restaurantwhere families can take their children for birthday parties. Pizza Hut's broad

selection ofproducts also makes it easier for them to market to different market

segments.

The other two strategies followed by Pizza Hut are C.H.A.M.P.S (Cleanliness,

Hospitality,Accuracy, Maintenance, Product quality and Speed) and 3F’s (Fun, Friendly

& Familiar).

These two strategies have really helped Pizza hut to evolve out as a market leader with

acompetitive advantage

2. MARKETING PLAN THAT DELIVERS SUPER IOR

VALUE
Marketing plan is the set of controllable tactical marketing tools that the pizza hut blends

to produce the product. Pizza hut develop best product with the resources available.

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 Marketing plans made to gain a competitive advantage over its rivals in a market.

Hence, all the businesses need to adopt business level strategies in order to

compete in a competitive environment. If we look at the India market, there

are no large competitors of Pizza Hut but unlimited small competitors exist in the

market. The threat of competitors is very low as there is no international food

chain offering pizza in Pakistan at present. Therefore, present strategies adopted

by Pizza Hut are keeping in consideration the present competition. Whereas, in

future this competition will increase and Pizza Hut will have to change all its

business level strategies in order to compete with its rivals. In very near future

Dominos is opening its first branch in Delhi. This would be a threat for Pizza

Hutand hence, the strategies would be changed. Response it wants in the

targetmarket.

It consists of everything it can do, to influence the demand for its

They follow the marketing plan to fulfill their goals and target. So the marketing plan

comprises on 4P’s;

 PRODUCT

 PRICE

 PLACE

 PROMOTION

Products of pizza hut are goods and services, that they offer to target market to satisfy

19
 theneeds and wants of customer. Their products are based on variety, quality, design,

features, brand name and services. Price is s et by pizza hut, when product is launched

inmarket. They negotiate the price with each customer-offering discount. They adopt,

pricing strategy to hold maximum share of market by maximizing profit. Place is set of

activities that make the product available to target customer. Pizza hut refers to the best

place to offer program. Their outlets are located in almost 100 countries including

India. Promotion is used to communicate the feature and benefit of product. Pizza

hutpromotes its product through advertising, sales promotion, personal selling and
public

relations.

3. BUILD RELATIONSHIP &CUSTOMER

SATISFACTION

They build strong relationship with customer by offering them best pizza. They create

customer delight through;

Customer Relationship Management (CRM)

Partner Relationship Management (PRM)

 Customer relationship management (CRM):

Pizza hut build and maintain profitable customer relationships by delivering superior

customer value and satisfaction. In 1995, Pizza Hut began two customer satisfaction

programs:a. 1-800 number customer hotlines and a customer callback program. These

wereimplemented to make sure their customers were happy, and always wanted to

return. They have full service restaurant as well as delivery services.

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 Partner Relationship Management (PRM)

Pizza hut is working closely with partners in inside departments and outside the

businessunit to jointly bring greater value to customers. They’ve inside & outside

partners’ e.g.customers, competitors, suppliers, functional department etc. Functional

departmentcorporate & focus on an area such as marketing, HR. In 1977 Pepsi co

bought pizza hut &1982 they stared joint venture with Whitbread. In 2006 Whitbread
sold

their share of jointventure to YUM! Brands Inc. Pizza hut UK Ltd was now 100%
owned

by Yum!

4 CAPTURE VALUE IN RETURN

Pizza hut is committed to providing uncompromising product quality offering customers

the highest value for money & giving service that is warm, friendly & personal. They
also

follow social factors to maintain their image through corporate social responsibility. All

theemployees’ back-of-the-house i.e. the kitchen assistants are trained accordingly.

They aregiven extra classes in order to meet the quality standards set by Pizza Hut

around theworld. Different quality management staff is also there at Pizza Hut. The

shiftmanagers have the task to observe whether the quality standards are met or

not,whereas there are a total quality management department at the main office .

This department has the task to implement quality standards, by this way

they create value in minds of customers providing best of best in market.

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Advertising

Pizza Hut's Pan Pizza.

Pizza Hut ad

Pizza Hut's very first ad was "Putt Putt to Pizza Hut". It starts with a man apparently

ordering take-out and driving his 1965 Mustang JR to Pizza Hut, while some of the

townspeople start chasing him. He picks up his pizza and goes to his house, when all of

the people who were chasing him start eating all the pizza except the man who ordered
it.

Frustrated, he calls Pizza Hut again.

Until early 2007, Pizza Hut's main advertising slogan was "Gather 'round the good
stuff",

and is currently "Now You're Eating!". Pizza Hut does not have an official international

mascot, but at one time, there were commercials in the United States called 'The Pizza

Head Show.' These commercials ran from 1993 to 1997 and were based loosely on the

22
Mr. Bill shorts from Saturday Night Live in the 1970s. The ads featured a slice of pizza

with a face made out of toppings called 'Pizza Head'. In the 1970s Pizza Hut used the

signature red roof with a jolly man named "Pizza Hut Pete". Pete was on the bags, cups,

balloons and hand puppets for the kids. In Australia during the Mid to late 1990s, the

advertising mascot was a delivery boy named Dougie, with boyish good looks who,
upon

delivering pizza to his father, would hear the catchphrase "Here's a tip: be good to your

mother".

Pizza Hut sponsored the 1989 film Back to the Future Part II, and offered a free pair of

futuristic sunglasses, known as "Solar Shades", with the purchase of Pizza Hut pizza.

Pizza Hut also engaged in product placement within the film itself, having a futuristic

version of their logo with their trademarked red hut printed on the side of a miler

dehydrated pizza wrapper in the McFly family dinner scene, and appear on a storefront
in

Hill Valley in the year 2015.

The 1990 NES game Teenage Mutant Ninja Turtles II: The Arcade Game, came with a

coupon for a free pizza. The game was filled with Pizza Hut advertising and pizza that

would refill the character's life.

In 1994, Donald Trump and ex-wife Ivana Trump starred in a commercial. The ending
of

the commercial showed Ivana Trump asking for the last slice, to which Donald replied,

"Actually dear, you're only entitled to half", a play on the couple's recent divorce.

23
In 1995, Ringo Starr starred in a Pizza Hut commercial which also featured The

Monkees. Rush Limbaugh also starred in a Pizza Hut commercial the same year, where

he boasts that "nobody is more right than me," yet he states that for the first time he will

do something wrong, which was to participate in Pizza Hut's then "eating pizza crust

first" campaign regarding their stuffed crust pizzas.

Talk show host Jonathan Ross, co-starred in an ad with American model, Caprice

Bourret. They were used to advertise the stuffed crust pizza, with Jonathan Ross saying

"Stuffed Cwust", to which is a play on Jonathan's pronunciation of 'R's.

Another UK ad shows British Formula One driver Damon Hill visit a Pizza Hut

restaurant and order a pizza, with famous F1 commentator Murray Walker visiting with

him, and narrating as though it was a Formula One race. As Hill is about to finish his

meal, Walker, in a play on Hill's 1994 & 1995 seasons where he was runner up in the

Formula One World Championship both won by Michael Schumacher, shouts "And Hill

finishes second, again!" at which Hill grabs Walker by his shirt and shakes him angrily,

Walker proclaiming, in his usual tones, "He's lost it! He's out of control!"

Following England's defeat to Germany on penalties in the semi-finals of Euro 96,

Gareth

Southgate, Stuart Pearce and Chris Waddle featured in an advert. The advert shows

Southgate wearing a paper bag over his head in shame as he was the one, who missed
the

crucial penalty against the Germans. Waddle and Pearce, who both missed penalty kicks

in Italia 90 are ridiculing him, emphasising the word 'miss' at every opportunity. After

Southgate finishes his pizza he takes off his paper bag, heads for the door and bangs his

24
head against the wall. Pearce responds with, "this time he's hit the post".

In 1997, former Soviet Union Premier Mikhail Gorbachev starred in a Pizza Hut

commercial to raise money for the Perestroyka Archives. In recent years, Pizza Hut has

had various celebrity spokespeople, including Jessica Simpson, the Muppets, and
Damon

Hill and Murray Walker. Recent commercials have Queen Latifah providing the

voiceover. Also in 1997, Pizza Hut, reunited "greatest of all time boxer" Muhammad Ali

with trainer Angelo Dundee in a sentimental made for Super Bowl commercial.

Pizza Hut sponsored the first space pizza delivery in 2001, and paid for their logo to

appear on a Russian Proton rocket in 2000.[19]

In Australia, 2006 saw the introduction of a mascot in Pizza Hut's advertising – "Pizza

Mutt", a small dog who delivers pizzas. The mascot was dumped after just two ads.

Early 2007 saw Pizza Hut move into several more interactive ways of marketing to the

consumer. Utilizing mobile phone SMS technology and their MyHut ordering site, they

aired several television commercials (commencing just before the Super Bowl)

containing hidden words that viewers could type into their phones to receive coupons.

Other innovative efforts included their "MySpace Ted" campaign, which took advantage

of the popularity of social networking, and the burgeoning user-submission marketing

movement via their Vice President of Pizza contest.

.As of October 2009, Pizza Hut is now advertising its WingStreet brand on a nationwide

basis, having met its internal requirement of 80% of stores having the product available

(both corporate and franchised).

25
Pasta Hut

Pasta Hut logo (2008–present)

On April 1, 2008, Pizza Hut in America sent emails to customers advertising that they

now offer pasta items on their menu. The email (and similar advertising on the
company's

website) stated "Pasta so good we've changed our name to 'Pasta Hut'." The name
change

was a publicity stunt held in conjunction with April Fools' Day, extending through the

month of April, with the company's Dallas headquarters changing its exterior logo to

Pasta Hut.[20] This name change was also used to promote the new Tuscani Pasta line and

new Pizza Hut dine-in menu. The first Pasta Hut advertisement has the original Pizza
Hut

restaurant being imploded and recreated, but when they construct the new building, the

sign saying "Pasta Hut" is placed on the building.

Australia

On January 19, 2009, Pizza Hut started a six-week online vote in Australia as to whether

Pizza Hut should become Pasta Hut. They are also co-branding two stores with the Pasta

Hut logo. Advertising for the new brand involved the production team creating a set of a

restaurant called "Toscani's". As the TV suggests, the diners in the fictional restaurant,

complete with signage and secret recording equipment; the customers were unaware
they

26
were eating pasta from Pizza Hut.[21]

United Kingdom

In the United Kingdom on January 19, 2009, Pizza Hut had announced that the Pasta
Hut

trial had ended and that the names of all stores previously converted to Pasta Hut would

be converted back to Pizza Hut. This was due to Pizza Hut's online poll, where the
results

showed that 81% had chosen to keep the name Pizza Hut, 19% chose to change the
name

to Pasta Hut. Consequently the name will change back, but the menus will continue to
include pasta.[22]

Costa Rica

In Costa Rica, Aside from the Pizza Hut restaurants, there is another brand called "PHD

Pizza Delivered Hot by Pizza Hut", this brand is only for food courts at malls and for

express delivery. This was created to compete on the "fast food" market while
restaurants

will concentrate in casual food.

Sponsorship

In the early 1990s, as part of PepsiCo's sponsorship of The NewsHour with Jim Lehrer

(and its former moniker, "The MacNeil/Lehrer NewsHour"), Pizza Hut was included in
the

acknowledgment alongside Taco Bell and KFC, which PepsiCo owned at the time.

In 2000, Pizza Hut was a part-time sponsor of Galaxy Motorsports' #75 Ford in the then

NASCAR Winston Cup Series, driven by Wally Dallenbach Jr.

27
Pizza Hut was the shirt sponsor of English football club Fulham F.C. for the 2001–02
season.

Terry Labonte drove selected events with Pizza Hut as the primary sponsor of his #44
car in 2005.

Pizza Hut purchased the naming rights to Major League Soccer club FC Dallas' stadium,

Pizza Hut Park, prior to its opening in 2005.

In March 2007, Pizza Hut partnered with Verizon Wireless to offer a free LG mobile
phone

with the purchase of a Cheesy Bites Pizza.

Pizza Hut is a sponsor of the Newcastle Vipers ice hockey team for the 2007/08 EIHL
season

in the UK.

Pizza Hut is a sponsor of Children's Joy Foundation In The Philippines.

Pizza Hut takes great pride and care to provide its customers with the best food and
dining experience in the quick-service restaurant business. It has its outlets in many parts

of India in different cities :

Delhi

Mumbai

Kolkatta

Chandigarh

Noida

28
 Chennai

Banglore

Cochin

Pune

Jaipur
Jodhpur

Pizza hut has been a renowned restaurant since 1958. it has maintained its

quality and goodwill since then. It has also been awarded as the best restaurant chain

internationally.

The history of Pizza Hut comes a long way from 1958.

On May 31st 1958, the first Pizza Hut restaurant opened in Wichita, Kansas, started by

two college aged brothers who borrowed $600 from their mother. In 1959, Pizza Hut got

incorporated in Kansas and the first franchise unit opened in Topeka, Kansa.In 1964 The

basic freestanding design of Pizza Hut was adopted. In 1966 Pizza Hut’s first Home

Office was built in Wichita, Kansas to handle the business of now 145 Pizza
Restaurants.

In 1967 Nine- inch tall Pizza Pete dolls became available at all Pizza Huts restaurants.

In 1969, the familiar top roof was adopted for Pizza Huts restaurants.

In 1971, Pizza Hut became the number one Pizza restaurant chain in the world in both

sales and number of restaurants. In 1972, Pizza Hut Inc. was listed on the New York

29
Stock Exchange under the symbol PIZ, and restaurant number 1000 opened in Wichita,

Kansas. Pizza Huts goes International as a restaurant opened in Costa Risa. In 1976, The

100th International Pizza restaurant opened in Australia while the entire number reaches

2000 restaurants. In 1977, Pizza Hut Stakeholders merged with Pepsi Co. In 1983, Pizza

Hut celebrated its 25th Anniversary. In 1986, Pizza Huts started its Home Delivery

service. In 1995, Pizza Hut launched its Stuffed Crust Pizza, which immediately set

company’s sales records. In 2007, Pizza Hut offered online ordering at all of their
65,000

locations. In 2008, Pizza Hut introduced Total Mobile Access- the ability for customers

to order by text messaging or using their web enabled cell phones.

PIZZA HUT IN INDIA

Pizza have come a long way from the initial days when some of these fast food giants
like

KFC were attacked, to the situation where no mall in the country is complete without the

presence of these food outlets. Though many of them made their initial entry with their

international menu but today after staying here for many years their

30
 menu has changed to serve the Indian palate.

First among them was McDonalds which changed its kitchen and menu to suit Indian

tastes, on which I have written earlier too, link. But the same is being followed by Pizza
hut , a

look at their menu shows us how many special exclusive Indian pizzas they have ,

for vegetarians they a host of Panner offerings and for Non-vegetarians the Kabaab and

Chicken Tikka Pizzas.

Pizza Hut Outlets - India

Pizza Hut - Bangalore

 Banaswadi
5th B cross, H.R.B.R Layout, 3rd block, Kammanahalli Main Road - Pizza Hut
 Bangalore G.P.O.
Brigade Road - Pizza Hut
 Basaveswara Nagar
LIC Colony - Pizza Hut
 Dharmaram College
Hosur Road - Pizza Hut
 More

Pizza Hut - Chennai

31
 Tharamani
Ascendes - Food Court Ground Floor Tharamani - Pizza Hut
 T. Nagar
Sir Thiyagaraya Road, Pondy Bazzar - Pizza Hut
 Mylapore
Dr. Radhakrishnan Salai - Pizza Hut

Pizza Hut - Delhi

 Greater Kailash I
M Block Market - Pizza Hut
 Gurgaon
Udyog Vihar - Pizza Hut Helpline
 Hauz Khas
Grater Kailash I - Pizza Hut
 More

Pizza Hut - Hyderabad

 Jubilee Hills
Madhapur - Pizza Hut
 Banjara Hills
Road No. 12, A.C. Guards - Pizza Hut

Pizza Hut - Kolkata

 Bidhan Nagar
Salt Lake - Pizza Hut
 Circus Avenue
Camac Street - Pizza Hut
 More

Pizza Hut - Mumbai

 I.I.T. Powai
Hiranandani Business Park - Pizza Hut
 Pune H.O.
Convent Street - Pizza Hultflat

Other Pizza Outlets

 Domino's Pizza India

 Pizza Corner India

32
 MARKETING MIX OF PIZZA HUT

A)Product: Pizza Hut should offer a new product called "The

Extreme" pizza. "The Extreme" is a twenty-inch pizza with twice as much

cheese and toppings as Pizza Hut's other pizzas. This new pizza will have

many different competitive advantages. The first competitive advantage of

"The Extreme" is that it is the largest pizza on the market. No other pizza

restaurant offers a twenty-inch pizza. The second competitive advantage is

that it has more cheese and toppings than any other pizza on the market.

Another competitive advantage is the Pizza Hut brand name. Pizza Hut has

built a brand name that means quality products and services. Since Pizza Hut

will be introducing "The Extreme," customers will automatically think this is

a high quality product. The final competitive advantage is that this product

will be the first pizza to target America's youth. "The Extreme" pizza will

target Generation X and Generation Y or people between the ages of 12 and

30. This market purchases a lot of pizza each year, but very few pizza

restaurants actually target them. "The Extreme" will be introduced on Super

Bowl Sunday, 2001. During the introduction stage of the product life cycle,

Pizza Hut will try to establish a market for the product and persuade early

adopters to buy. During the growth stage, Pizza Hut will try to build sales and

develop a preference for the product. Pizza Hut will try to seek differentiation

during the maturity stage.

33
B)Price In the past, Pizza Hut has successfully used the high/low pricing

strategy when setting the retail price of its products. The high/low retail

pricing strategy allows Pizza Hut to charge a price that is above the

competition, but also promote frequent sales to lower the price below them.

The retail price of "The Extreme" pizza should be set at $9.99, which is higher

than Pizza Hut's competitors. Several sales promotions and coupons will be

used to lower the price below those competitors. Since both Pizza Hut and the

beverage Mountain Dew are Pepsi subsidiaries, bundle pricing will be used.

Customers can purchase "The Extreme" for $9.99 and receive a two-liter

bottle of Mountain Dew for free. Pizza Hut will be able to sell two products

together at a single price to suggest a good value. The high/low pricing

strategy has several advantages. First, this pricing strategy will help segment

the market. Different groups of customers are willing to pay different prices

for the same product. 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.

The high/low pricing strategy will also create excitement. 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. Finally, this strategy will emphasize product and service quality.

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.

C)Promotion: The main theme that will be used to promote "The Extreme" is

youth. Fun, excitement, danger, and even the term "extreme" all appeal to our
34
target market. Mountain Dew, which has already successfully appealed to this

target market, will be included in "The Extreme" promotions. The main

promotion will be a coupon to purchase "The Extreme" for $9.99 and receive

a free two-liter bottle of Mountain Dew. The objectives of this promotion are

to introduce a new product, stimulate demand, change the short-term behavior

of the customers, and encourage repeat or greater usage by current customers.

This promotion will be distributed mainly by mail, but also by fliers on

college campuses around the country in order to reach the target market. "The

Extreme" will be introduced on Super Bowl Sunday, 2001, in a television

commercial. Although Super Bowl television ads are expensive, Pizza Hut has

enough financial resources for one. This commercial will be similar to the

current Mountain Dew advertising campaign. Several young people will be

performing exciting, high-risk activities such as snowboarding, rock climbing,

and bungee jumping. The young people will then eat "The Extreme" and drink

Mountain Dew. There will also be similar ads in magazines that are popular

with the target market such as Surfer, Snowboarding, YM, and Maxim. This

advertising campaign will create awareness of the new product in our target

markets.

D)Distribution: The type of distribution channel used by Pizza Hut is the direct

channel. The direct channel is successful when there is an extremely large

market that is geographically dispersed. The direct channel is also useful when

there are a large number of buyers, but a small amount purchased by each.

Pizza Hut uses three different methods of selling its products directly to the
35
market. The first method of distribution used by Pizza Hut is delivery.

Customers can call Pizza Hut ahead of time, place an order, and the order is

delivered to the customer's home. Another method of distribution is for

customers to dine-in. Customers can go to the nearest Pizza Hut, place an

order, and either leave with the order or eat at the restaurant. One of Pizza

Hut's largest competitive advantages is its restaurant style facility. Pizza Hut

offers a clean place to sit down and enjoy the variety of pizzas, salads, and

sandwiches in a fun, family atmosphere. The third method of distribution is!

online ordering. Customers can now go on the Internet and place an order.

This method is useful because it allows customers to view the entire menu,

download any special coupons, and order without having to disclose any

credit card numbers. The market coverage for "The Extreme" will be

nationwide. Customers all over the country will be able to order "The

Extreme" by one of the three distribution methods.

8)Control Stage First, we will address who will be responsible for the control

measures we plan to take. The Marketing Vice President in the Corporate

Headquarters, the local/regional Marketing Vice Presidents and the Pizza Hut

restaurant managers will all play a role in being responsible for the control.

Our success or failure will be determined in a couple of ways. One main way

is to compare results to our objectives. If our objectives are not met, steps to

meet them will be taken in the future. We will also look at profits, sales

revenue, unit volume of the "Extreme Pizza" promotions used. If our budget

36
allows, perhaps we could give a survey to our customers and get some direct

feedback about our new pizza. Ongoing research is essential for our success.

Since our plan is for one year, we feel that every 3 months we should do some

type of evaluation and control to see how we are doing. Also, during the

maturity state of the product life cycle, we will improve the quality and

distinguish ourselves well from competitors. Hopefully, this process of control

will be monitored on a monthly basis.

Pizza Hut has a successful history of introducing new products to increase

sales and reach new customers. This introduction of new products to the

market on a regular basis is what makes Pizza Hut the leader in their industry.

The level of success that the "Extreme Pizza" will bring Pizza Hut depends

heavily on the correct promotions mix. As we had stated earlier, the segment

of the market that we have targeted is a very diverse group. This means that

the promotion of the product must be done in a diverse fashion. This will

result in a more expensive advertising campaign than in past campaigns, but

the potential for a successful product will cover the costs and bring in

The advertising campaign is going to be budgeted to use 8% of projected

sales. We are forecasting that the introduction of the Extreme Pizza will

increase sales by 7%. This forecast is based upon other new products that

Pizza Hut has introduced and the impact that they have had on Pizza Huts

revenues. A 7% increase in sales for Pizza Hut will bring a total of $547

million dollars in revenue, making the advertising budget $43.76 million. This

kind of advertising budget will allow for a mass media blitz of promotions
37
featuring our new "Extreme Pizza". Our target market spends many hours a

day in front of the TV and computer, so the constant messages being played

will allow our product to generate a high level of awareness. The advertising of the

product is very important but the promotion of this product along side Mountain Dew

will help to put our product in a more specific category. Mountain Dew has targeted our

target market for several years and is by far one of the leaders in this market. With this

in mind promotions with Mountain Dew will be crucial to the success of the "Extreme

Pizza". With competition being so strong in this industry the threat of imitation products

will surely be a problem to be dealt with. Pizza Hut will however have the first mover

advantage with this product. With the entry of imitation products into the market, Pizza

Hut will have to adjust its mixes to accommodate change. The promotions may have to

be bigger and better than

the competition, or the product may need to be altered to give it that little bit of an edge

over the competition. For example stuffing the crust with cheese or giving a free topping

with the purchase would help give Pizza Hut an edge over the competition. Basically,

Pizza Hut will need to remain flexible in the maturity stages of the product life cycle in

an attempt to continue to be the market leader. Overall, this is a product that is not much

unlike any of the other new pizza's that Pizza Hut has introduced. What makes this new

product so exciting is the marketing plan that is directing the product at a new segment.

We are taking a large pizza with a lot of toppings and marketing it as an "Extreme

Pizza" to a generation of younger adults that are consumed by this marketing tool. This

is what will make this a success.

38
PIZZA HUT’S FRANCHISING NETWORKS IN INDIA

The Pizza Hut franchise stepped into the Indian fast food market by opening a dine-in

restaurant at Bangalore in 1996. The pizza franchise soon expanded itself in India and

now has the KFC brand beneath its umbrella. The fast food franchise was the first

international fast food firm to make an entry into the Indian scene and has thus
pioneered

the Indian pizza market.

The menu provided at the Pizza Hut franchise is that of a complete meal. Customers are

considered as honoured guests at the fast food franchise and are treated accordingly. It is

the customer satisfaction provided by the specialty food franchise that enabled it to

position itself at the top of the Indian fast food market.

The fast food franchise also ensures that it adds an Indian touch to all the varieties of

pizzas that it makes available to Indian customers. Various delicious combinations are

tested at the Indian Pizza Hut franchisee outlets by blending the original menu with

Indian favourites to make fresh salads, garlic based breads, soups, yummy pastas and

delicious desserts.

The employees of the restaurant support centre of the Pizza Hut fast food franchise
which

functions in New Delhi works hard to place Pizza Hut at the top of Indian market. The

support centre takes care of finance, legal and marketing sides of the Indian operations
of

Pizza Hut franchisees.

39
Globalization of fast food industry

McDonald's in Moscow

In 2006, the global fast food market grew by 4.8% and reached a value of 102.4 billion

and a volume of 80.3 billion transactions.[19] In India alone the fast food industry is

growing by 40% a year.[20]

McDonald's is located in 126 countries and on 6 continents and operates over 31,000

restaurants worldwide.[21] On January 31, 1990 McDonald’s opened a restaurant in

Moscow, and broke opening day records for customers served. The Moscow restaurant
is

the busiest in the world. The largest McDonald’s in the world is located in Beijing,

People's Republic of China.]

There are numerous other fast food restaurants located all over the world. Burger King

has more than 11,100 restaurants in more than 65 countries. KFC is located in 25

approximately 39,129 restaurants in 90 countries as of May 2009[ the first non-US

with 100 locations in China. Taco Bell has 278 restaurants located in 12 countries

besides the United States.

40
Criticism

Fast food chains have come under fire from consumer groups, such as the Center for

Science in the Public Interest, a longtime fast food critic over issues such as caloric

content, trans fats and portion sizes. In 2001, Eric Schlosser's investigative work Fast

Food Nation provided Americans with a detailed look at the culture of fast food from

rangeland to the range top. In 2002, Caesar Barber attempted to sue a number of fast
food

restaurant chains for making him obese. The suit never went to court. Social scientists

have highlighted how the prominence of fast food narratives in popular urban legends
suggests

that modern consumers have an ambivalent relationship (characterized by guilt)

with fast food, particularly in relation to children. This guilt is projected onto

processed food, where bizarre tales of contamination and lax standards are widely

believed.

Some of the concerns have led to the rise of the Slow Food, or local food movements.

These movements seek to preserve local cuisines and ingredients, and directly oppose

laws and habits that favor fast food choices. Proponents of the slow food movement try
to

educate consumers about what its members considers the richer, more varied and more

nourishing tastes of fresh, local ingredients that have been recently harvested.

41
Pizza in India

Pizza is a emerging fast food in Indian urban areas. With the arrival of branded pizza

such as Domino's and Pizza Hut in early to mid 1990s, it has reached almost all major

cities in India by 2010 Pizza outlets serve pizzas with several India based toppings like
Tandoori

Chicken and Paneer. Indian pizzas are generally made more spicy, compared to their
western

counterparts, to suit Indian taste. Along with Indian variations, more

conventional pizzas are also eaten. Pizzas available in India range from localized basic

variants available in neighborhood bakeries to gourmet pizzas with exotic and imported

ingredients available at specialty Italian restaurants.

Health issues

Pizza can be high in salt, fat and calories. There are concerns about negative health

effects.[15] Pizza Hut has come under criticism for the high salt content of some of their

meals which were found to contain more than twice the daily recommended amount of

salt for an adult.[16]

European nutrition research on the eating habits of people with cancer of the mouth,

oesophagus, throat or colon showed those who ate pizza at least once a week had less

chance of developing cancer, they found. Dr Silvano Gallus, of the Mario Negri Institute

for Pharmaceutical Research in Milan,[17] who led the research said: "We knew that

tomato sauce could offer protection against certain tumors, but we did not expect pizza
as

a complete meal also to offer such protective powers." Nicola O'Connor, of Cancer

42
Research UK, told BBC News Online: "This study is interesting and the results should

probably be looked at in the context of what we already know about the Mediterranean

diet and its association with a lower risk of certain types of cancer.

"The secret is probably lycopene, an antioxidant chemical in tomatoes, which is thought

to offer some protection against cancer, and which gives the fruit its red color.

"But before people start dialing the local pizza takeaway, they should consider that some

pizzas can be high in saturated fat, salt and calories". In contrast to the classic Italian

pizza used in the research, most UK pizza takeaway varieties are often loaded with high

fat cheeses and fatty meats, a high intake of which can contribute to obesity, itself a risk

factor for cancer. "Our advice is to enjoy selected Italian pizza (i.e., healthy pizza) in

moderation as part of a balanced diet that includes plenty of vegetables and fruit."

Italian Carlo La Vecchia, a Milan-based epidemiologist said Italian pizza lovers should

not see the research as a license to indulge their fondness for pizza food. "There is

nothing to indicate that pizza is the only thing responsible for these results." He

continued: "Pizza could simply be indicative of a lifestyle and food habits, in other
words

the Italian version of a Mediterranean diet." A Mediterranean diet is rich in olive oil,

fiber, vegetables, fruit, flour and freshly cooked food - including traditional Italian

healthy pizza.

43
NAMES AWARDED TO PIZZA HUT

For ten of the last twelve years, Pizza Hut was named Best Pizza Chain in America in

the"Choice in Chains" national consumer survey published annually by Restaurants &

Institutions Magazine.In 1997 Consumer Reports named Pizza Hut the best pizza chaiin

America and in 2000and 2003, The Dallas Business Journal named Pizza Hut "The Best

Company to Work For"in Dallas/Fort Worth.Restaurants & Institutions' "2001 Choice

inChains" survey called Pizza Hut the numberone national pizza chain in America.

44
 ENVIRONMENTAL FACTORS

Pizza Hut environment factors we explained with the help of PEST Analysis.

PEST (Political, Economic, Social & Technological)

I. POLITICAL ISSUES :

Political issues include regulatory framework operating in judicial system, which may

affect the business in different ways. Political factors, which may affect pizza hut, are

fiscal policy, monetary policy, tax laws and changes, IP protection, copyrights and

security laws.

In globally locations, pizza hut has to follow rules and regulations according to
legislation

of that country.

II. ECONOMIC FACTORS :

Economic factors include GDP rate and GDP growth, exchange rates, unemployment

levels, skilled labor, education levels, infrastructure and healthcare. If GDP of the

country is high then this is green signal for the business as per capita income of the

people will be increased and they will spend more money. In our study, we came to

know that most ofthe people in last year’s spend more and they visit pizza hut very

often.When inflation rateincreases buying power of people decreases and they spend

less on eating pizza.

III.

45
SOCIAL FACTORS:

Social factors include demographics, income distribution, social stability, consumerism,

discretionary income, savings rate, fashion, foods and trends. Pizza hut is a

multinational and it is originated from America so the organization is overwhelmed by

western culture. There are social forms of society, which consist of Upper class, middle

class, middle upperclass, lower class. Every country has its own cultural norms, values,

beliefs and religion, which can affect the pizza hut according to its location.

IV. TECHNOLOGICAL FACTORS:

Technological factors include new technologies, material technologies, process

technologies, information technologies, commercial technologies, government

incentives

and energy costs. Now a day’s technology is improving day by day so as baking and

heating ovens will be of new and efficient technology and will provide efficient service.

Due to new technology, there are new ways of marketing like internet; telemarketing
and

pizza hut can advertise its products with much more faster pace. Computer based

customer data that is MIS (managing information system) helps in collecting customer

data, daily transactions, future forecasting and decision making. New vehicles will make

its service more efficient.

46
Pizza Hut’s segmentation

Pizza hut is mainly targeting its market on the base of multiple segmentation

(Geographical, Demographical & Psychographic segmentation). Pizza Hut has its

franchises in Delhi, Mumbai ,Kolkatta,Noida ,Banglore,etc. These franchises are made

on the bases ofgeographical segments. They have focused on the income and lifestyle

of the customers.

Main segments, which Pizza hut has captured, are the combination of higher incomes

and dual career families, due to higher income consumer have more disposable income,

allowing them to eat out more often.Pizza Hut maximum market segment is younger

generations. These generation rangesfrom 12 to 30, the overall spending of these

generations is mostly on non-essential items,the higher amount of spending has been

done on eating out.

Pizza Hut has made different or varieties of pizzas. Such as hot and spicy pizza, Seekh

Kabab and Tikka pizzas, which are not found in Western countries? The help of

geographical segment makes these pizzas.

On the occasions, such as in Ramadan month, Pizza Hut gives offers in Sehri and Iftari.

This segment is called behavioral segment. Giving offers on the special purpose to gain

more sales and increase profits. The pricing strategy will also help segment the market.

Different groups of customers are willing to pay different prices for the same product.

47
 TARGET MARKET

Pizza hut has targeted its market by targeting families who like to go out for dinner once

in a week. And by this Pizza Hut have made different offers and varieties of different

pizzas and prices to attract them. They have made an excellent services and clean

environment for the families to sit and enjoy their time with the pizzas. Pizza Hut has

made delivery services for those customers who like to have pizzas in their home with

their families or friends.

They are targeting everyone whereas their competitors target a certain gender or age.

pizza hut targets a wide range of customers. This is because they want to make the

mostmoney.

They have many competitors and they are bound to try everything to cope up tops. Their

competitors are everywhere. There are just a few that are main competitors and pizzahut

always try to be the best and get the most money by making their products quality better.

They try to offer something different with their product as well. They offer a range of

stuffed crusts to try and attract customers. They also do vegetarian options with meet

freepizzas and a salad and pasta bar. Not a lot of restaurants offer a salad and a pasta

bar.This is another competitive edge to attract or customers. Spending habits of college

freshmen also indicates a high percentage of money being spent on non-essential items.

VALUE PROPOSITION

Pizza hut decides how they will serve their customers, how they will differentiate and

position themselves in the marketplace? Therefore, they promise to deliver the different

set of benefits and values to consumers to satisfy their needs. They serve customers by

delivering their products at doorstep. Pizza Hut also has to meet up the inspirational
value
48
proposition for its pizzas in smaller towns, which is again very tricky.

POSITIONING

A critical factor in Pizza Hut's success has been its unique dining experience.
Positioning

involves implanting the brand’s unique benefits and differentiation in customers’ minds.

Pizza hut have made many advertisements in which they have differentiate their pizzas

inquality, uniqueness, taste and by also offering varieties of pizzas. They have

broadcastedtheir advertisements through Newspaper, Television, Radio, and Billboards.

WheneverPizza Hut offers news deals, then they gives advertisements to radio or

television and theymake billboards and place where their customers are.

Pizza Hut was among the first multinational brands to enter the food retail sector in

INDIA. When the first Pizza Hut restaurant opened in INDIA the quick service

industrywas at a nascent stage and the pizza category was dominated by a sole regional

playerwho had a marginal presence. Pizza Hut went on to play a significant role in

pioneeringand 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. They use strong

49
 brand image and high price for high quality products for positioning their positive image
in

the minds of customers.

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. In this way

pizza hut, position itself in its customers mind.

SLOGANS

Pizza hut make their slogans by finding unique features of their products to position

themselves. Slogans create positive image in customer’s mind. Their slogans are

matchedwith their product quality and services. Followings are the some slogans of

pizza hut;

 “Share the good times”

 “We have Pizza”

 “Now you’re eating”

 Making it great!

 You'll love the stuff we're made of.

 The best pizzas under one roof.

 Gather 'round the good stuff.

50
 UNIQUE SELLING PROPOSITION

Competitive advantage is the Pizza Hut’s brand name. Pizza Hut has built a brand name

that means quality products and services. They make and sell their product according to

place, regional values and norms. They always follow the customer need, want and

demand, to make their product more reliable in customer mind. Pizza hut through quality

and quick services always maximize their market share. That is why their product is

unique in all around the world.

“Pizza Hut- Fresh, hot pizza delivered in thirty minutes or less

- or it is free”

BUYING BEHAVIOUR OF
CUSTOMERS

There are certain buying habits of the customers. According to the buying behavior of

thecustomers, there are four types of buying decision behavior. Which are;

 Complex buying behavior

 Dissonance-Reducing Buying Behavior

 Habitual Buying Behavior

 Variety-Seeking Buying Behavior

Customers of Pizza Hut are different in buying the pizzas. Customer follows variety

seekingbuying behavior in buying the pizza. When buying pizza they may hold some

51
beliefs,choose a brand without much evaluation then evaluate type of pizza during

consumptionbut next time he/she may pick another type of pizza of boredom or simply
to

trysomething different. Brand switching occurs for the sake of variety rather than cause

ofdissatisfaction. This is the situation characterized by low involvement but

perceivedbranddifferences.

Pizza Hut has made good reputation of their products and services towards their

customers. However, as customers attitude of buying is variety seeking buying behavior.

Pizza Hut is a restaurant of pizzas, and there are many competitors who are also

differentiating their pizzas and services to attract customers. Therefore, by

this,customersneed some changes according to their taste and those brands, which are

giving moreoffers with the pizzas.

Those customers who have beliefs on the Pizza Hut are loyal with them. They are not

switching their brand and only trying different pizzas. However, who are not loyal with

their taste

CUSTOMER LOYALITY PROGRAMES”

What is a Loyal Customer: Customers with a long record of purchases from a

preferredprovider caused by their psychological and emotional bond with that provider.

52
PIZZA HUT’S CUSTOMER LOYALTY PROGRAMES

In response to increasing competition and declining sales’ pizza hut began a

comprehensive customer loyalty initiative in 1995.through marketing research the

company aimed to improve guest satisfaction and unit level execution at over 37000

company owned stores and about 200 franchised restaurants. By presenting restaurants

managers with weekly feedback from their customers’ pizza hut hoped the feedback

would strengthen operations within the control of each restaurant manager. The plan

itselfwas comprised of two components; customer service 1-800 number and a customer

loyalty survey.

1-800 customer service number:

For the first time in its history’ pizza hut introduced a customer satisfaction hotline. The

1-800 numbers was visibly posted inside stores and on individual pizza boxes and was

designed to address all questions, problems, and complaints a customer might have

about the product or service.

53
SWOT ANALYSIS
1.Strengths :

Pizza Hut is the market leader in providing different products of pizzas as there are no

competitors in this sector. There good image makes the organization more strong. Pizza

Hut is providing good taste, quality products with qualified staff, good atmosphere and

hygienic environment. They are specialized in pizzas. Motivation level of staff is

veryhigh

which make the organization more prosperous. They are ISO (International Standard

Organization) certified. They have enough resources for operating different activities of

the organization. They are providing free home delivery service. They have created

monopoly in this sector. Another big Strength and even a Competitive Advantage is the

fact that they have a full service restaurant as well as delivery services. For example,

Pizza Hut can market to families much easier than Domino's or Little Caesar's.

2. Weaknesses:

However, the fact that Pizza Hut does have a restaurant to run is also a weakness.

PizzaHut has higher overhead costs, due to the restaurant that other competitors do not

haveto deal with. Another result of higher overhead costs is higher prices Pizza Hut must

charge. Obviously, Pizza Hut is not the low cost producer. They rely on their quality

pizzaand good service to account for their higher prices. They are providing less range

ofproducts comparatively with high prices. It’s some more weaknesses are;

54
They are more focused on Western taste instead of Eastern. It gives less parking

facilities,its advertisements are very less, it has still fewer outlets and it is working less

for socialwelfare.
3. Opportunities:

New markets can be explored and new opportunities they can gain. Pizza Hut can come

upwith the new products considering the Eastern taste of the people as like McDonalds.

Diversification of new products can increase their market share. They can reduce their

prices because of more resources. It should avail these opportunities. More outlets

shouldbe open, Broader Sitting Area, More Attractive Environment; Attractive offers

should beintroduced, ordering Online System.

4. Threats:

Pizza Hut's number one threats are from their competitors. Currently,

Their closest competitor is Domino's Pizza who is working to open their Branch at

india. Domino's main competitive advantage over Pizza Hut is their Lower price.

Little Caesar's who is establishing their self in India and might move to India is

another one of Pizza Hut's competitors, right behind Domino's in market share.

Little Caesar's is famous for offering large quantities of pizza for less money.

New entrance like Dominos pizza in Pakistan market can affect their market share.

Other local restaurants can affect their market share by providing pizzas with lower

price. Social factors can affect their image as a Western organization, Instant Fast

55
FUTURE PLANS

According to Yum! Restaurants International, India is amongst the top five

growth markets for Pizza Hut Pizza Hut is also experiencing double-digit

growth in India and hence is confident about expanding its

operations in India.Pizza Hut hopes to increase the number of Pizza

Hut outlets in India to 130 by the end of 2005 from the present figure of 95.

The expansion programme will make Pizza Hut the fastest growing western

restaurant chain in India. In addition, Yum! plans Pizza Hut to be in 35 cities

by end of 2005, and 55 cities by end of 2006.

CORPORATE SOCIAL RESPONSIBILITIES OF PIZZA HUT

Yum! Brands, Inc. is the world's largest restaurant company, and the parent company of

franchises like Taco Bell, Pizza Hut, KFC, A&W. On December 9th, they released their

firstCorporate Responsibility Report titled; “Serving the World.” It is good, actually –

informative and interesting with an attractive lay-out. The report covers a number of

areas within the company, which connect to corporate responsibility with one primary
focus:

efforts to alleviate world hunger. Apparently, they are doing a good job of it. Business

Week has named Yum! Brands as one of the "Top 15 Companies for In-Kind Corporate

Philanthropy."

Here are a couple of the year’s amazing accomplishments Yum! Listed in their report:

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 1.6 million People saved from starvation last year.

36 million dollars donated to the United Nation's World Food Programmed and other

hunger relief agencies.

In India Pizza Hut play following roles for social point of view;

Pizza hut also raise funds for IDP’S.

PIZZA HUT also creates funds and goods for earthquake victims.

Customer Satisfaction in 7 Steps

1. Encourage Face-to-Face Dealings

This is the most daunting and downright scary part of interacting with a

customer. If you're not used to this sort of thing it can be a pretty nervewracking

experience. Rest assured, though, it does get easier over time. It's important

to meetyour customers face to face at least once or even twice during the course

ofa project.

2. Respond to Messages Promptly & Keep Your Clients Informed

This goes without saying really. We all know how annoying it is to wait days

for a response to an email or phone call. It might not always be practical tdeal

withall customers' queries within the space of a few hours, but at least email

57
 orcall themback and let them know you've received their message and you'll

contactthem about itas soon as possible. Even if you're not able to solve a

problem right away, let thecustomer know you're working on it.

3. Be Friendly and Approachable

A fellow Site Pointer once told me that you can hear a smile through the

phone. This is very true. It's very important to be friendly, courteous and to

make yourclients feel like you're their friend and you're there to help them out.

Therewill betimes when you want to beat your clients over the head repeatedly

with ablunt object- it happens to all of us. It's vital that you keep a clear head,

respond to yourclients'wishes as best you can, and at all times remain polite and

courteous.

4. Have a Clearly-Defined Customer Service Policy

This may not be too important when you're just starting out, but a clearly

defined customer service policy is going to save you a lot of time and effortin the

long run. If a customer has a problem, what should they do? If the first option

doesn'twork, then what? Should they contact different people for billing and

technicalenquiries? If they're not satisfied with any aspect of your customer

service,whoshould they tell? There's nothing more annoying for a client than
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 beingpassed fromperson to person, or not knowing who to turn to. Making sure

they knowexactly whatto do at each stage of their enquiry should be of utmost

importance. Somake sureyour customer service policy is present on your site –

- and anywhere else imay beuseful.

5. Attention to Detail (also known as 'The Little Niceties')

Have you ever received a Happy Birthday email or card from a company you

were a client of? Have you ever had a personalized sign-up confirmation

email for aservice that you could tell was typed from scratch? These little niceties

canbe timeconsuming and aren't always cost effective, but remember to do them.

Even if it's as small as sending a Happy Holidays email to all your customers,

it's something. It shows you care; it shows there are real people on the otherend

ofthat screen or telephone; and most importantly, it makes the customer

feelwelcomed,wanted and valued.

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6. Anticipate Your Client's Needs & Go Out Of Your Way to Help Them Out

Sometimes this is easier said than done! However, achieving this supreme

level of understanding with your clients will do wonders for your working

relationship.

7. Honour Your Promises

It's possible this is the most important point in this article. The simple

message: when you promise something, deliver. Clients don't like to be

disappointed.Sometimes, something may not get done, or you might miss a

deadlinethrough nofault of your own. Projects can be late, technology can fail

and subcontractorsdon'talways deliver on time. In this case a quick apology and

assurance it'll beready ASAPwouldn't go a miss.

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COMPARISON BETWEEN DOMINOS AND PIZZA HUT

In that all-important moment of deciding to order pizza, the debate over Pizza Hut or

Domino's is likely to arise. Both Pizza Hut and Domino's are top

 contenders for a piece of pizza pie market share, and compete with creative

incentives to make ordering pizza a cinch. With Pizza Hut's recent introduction of

mobile order-by-text services, and Domino's clever pricing strategies to encourage

bulk orders, it's a close tie when it comes to satisfying your pizza needs.

Still, it's the taste and quality of that slice that counts when it comes to making the

final choice; since both franchises offer similar menu options and pricing, a slice by

slice comparison of the standard variety - the classic cheese - and breadsticks might

makyour decision easier:

PizzaHutCheesePizza

The classic hand tossed Pizza Hut cheese pizza is made with a soft and pillowy

dough. The crust is made with herbs and extra oil, giving it a 'buttery' flavor and

adding some substance to the pie when your toppings are all gone. Leftover crust can

easily be dipped into marinara sauce or ranch dip. The cheese content is higher than

most, and a mozzarella/3-cheese blend is satisfying and flavorful.

Nutritional information: One slice of the medium Pizza Hut cheese pizza contains 240

calories and 10 grams of fat; you'll also get 20% of your daily calcium requirements

in one slice, and 12 grams of protein.

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Domino'sCheesePizza

Domino's Pizza stands apart from the competition with its classic hand-tossed pizza

dough recipe, tangy sauce, and high cheese content. Domino's pizza is chewy and the

dough is a simple recipe with no extra flavorings or enhancements. For those who add

pepperoni or sausage, neither offers an exceptionally spicy flavor, and may disappoint

those looking for bold and zesty flavors.

Nutritional information: One slice of the classic 14" Domino's Cheese pizza contains

272 calories, 9 grams of fat, and 12 grams of protein. Each serving also gives you

14% of your daily calcium requirements.

Pizza Hut Breadsticks

One order of classic breadsticks contains five pieces, and breadsticks with cheese are

available for just $1 more. The original breadsticks are covered with a light butter

garlic sauce and are chewy, flavorful, and on the salty side. They're best paired with

Pizza Hut's tangy marinara sauce.

Nutritional information: Each regular breadstick contains 150 calories and 6 grams of
fat.

Domino'sBreadsticks

Domino's breadsticks are baked to a golden brown, and are similar in texture and

consistency as a focaccia bread found at your local supermarket. Unfortuantely, they

don't offer much flavor even though they are covered with dried herbs and a light

brushing of oil. Each 8-piece order comes with a side of marinara sauce, but they do

taste just like the crust of the pizza. If you tend to discard your pizza crust, these

62
breadsticks aren't for you.

Nutritional information: Each breadstick contains 130 calories and 7 grams of fat.

63
PIZZA HUT SALES

64
 LITERATURE REVIEW

It was a pioneer research that I conducted and there was both primary as well as

secondary data was used information was also collected by interaction with people

who used to visit pizza hut.

RESEARCH METHODOLOGY

PROBLEM DEFINITION

 Statement of the problem:

Customer’s satisfaction level of Pizza Hut”

 Background of the problem:

Pizza Hut has always been successful in delivering the best fast- food. It has

gained many customers throughout the world and has always been working on

customer- retention. This research is conducted as Pizza Hut wants to know

the preferences of their current valued customers so that they can serve them

in a more satisfactory way and improve their overall performance.

RESEARCH DESIGN

The research we conducted is descriptive as well as theoretical in nature.

INFORMATION NEEDS

 Data collection:

There was secondary data available in this context for Pizza Hut. We

65
 collected primary data from people.

 Scaling Technique:

We used the non-comparitive scaling technique in our questionnaires.

 Questionnaire Development:

While developing the questionnaire, I focused mainly on questions that

showed the preference of the fast-food customers with respect to food quality,

price, environment, services, etc. and could give us a clear impact of the most

preferred element.

 Pre- testing:

In pre-testing we got the questionnaires filled by 100 people from within our

population. There was no problem faced by the population and they found the

questionnaire easy to understand and fill and we could also figure out the

results from the answers. Thus, we felt no need of any change in the

questionnaire.

 Sampling Techniques:

The sampling technique used by us in this research is Judgmental Sampling.

 Sample:

We took sample size of 100 people

 Method:

We analyzed the results by making pie charts for all questions.

66
DATA ANALYSIS

Q1). Do you like fast food?

yes 77
No 23

It was observed that 77% people like fast food as compared to 23%

people who were not to fond of fast food.

67
Q2).Which of the following joints do you prefer?

KFC 25
Mc Donalds 23
Pizza Hut 48

It was found out that more people were fond of visiting Pzza Hut than any other joint.

68
 Q3) Have you ever visited pizza hut?

Yes 68
No 32

It was observed that more than 32% people had never visited pizza hut before.

69
Q4) Which factors affect your preference while choosing a place for hostelling?

Physical Interior Service Food Price

environments quality

25 23 11 18 16

It was observed that people preferred the quality of food over other

factors while choosing a place for hostelling.

70
Q5).Do you think pizza hut offers variety of food?

70
60
50
40
Series1
30
20
10
0
yes no

Yes 68
No 32

It was found that 68% thought that pizza hut offered variety of food .

71
Q6) Do you visit pizza hut as it has a good brand image?

no

Series1

yes

0 20 40 60 80

Yes 62
No 38

This shows that people did’nt merely visit pizza hut because of its image but

because it served good food.

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Q7) Do you think pizza hut delivers the best food?

70
60
50
40
Series1
30
20
10
0
yes no

Yes 64

No 36

People who visited pizza hut felt that the food delivers was good as compared to few
who didn’t like the food served at pizza hut.

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Q8).Are you satisfied with the ingredients used in the food items?

Yes 68

No 42

After analysis it was found out that most people were not satisfied with the ingredients
used in the pizzas.

74
Q9)Do you think pizza hut is consistent with its food qualities whenever you go?

Yes 74

No 26

Most people felt that pizza hut offered consistently good food while some people felt

that the quality of the toppings, cheese etc were not good at times.

75
Q10) Are you satisfied with the services of pizza hut ?

50

40

30
Series1
20

10

0
yes no

yes 50

No 50

People had mixed feelings about the services offered by pizza hut.

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Q11).do you think that the preparation of food in pizza hut is hygienic?

60
50
40

30 Series1
20
10
0
yes no

Yes 55

No 45

Some people who are regular visitors of pizza hut felt that the preparation of food in

pizza hut was at times unhygienic.

77
Q12).are you satisfied by the prices charged by pizza hut?

yes 64
no 36

Around 64% people felt that the prices charged by pizza hut were unreasonable.

78
Q13) Are you satisfied with the home delivery of pizza hut?

yes 82

no 18

It was seen that people were satisfied with the home delivery of pizza hut

While some people felt that delivery was not done on time.

79
 RECOMMENDATIONS

There are some points, which Pizza Hut must follow to have more customers and

increase sales and profit in the market and in order to finish the threats.

 Pizza Hut should focus on more advertisements, as in India , they are not making

advertisements. They should telecast their advertise more and on the right time when

their loyal customers and the target customers are watching the television. By this,

they are positioning their products in their customers’ minds. They should make an

attractive one in which they are differentiating their pizzas in quality, taste and tells

that how nutrition and healthy meals they are offering.

 More advertisements of Pizza Hut is been watched by the customer then the

Variety seeking buying behavior of the customer will also decrease. The customers will

Become loyal to it.

 They should make discounts cards or the membership cards for the loyal customers.

80
 Those customers who mostly go once in a week or after two weeks.

 They should reduce their price as compare to the competitors’ price and if not then

they should differentiate their product in their quality and taste. They should also tell

that they are using more toppings and cheese.

 They must sponsor more concerts and games held in india, as they do not do. By

this, they will make a good reputation to towards their customers.

 They should make stalls in the universities and colleges when there are some parties

held. In the stalls, they must offer pizzas in student discounted prices.

 In order to move effectively into the rapidly progressing world of social responsibility,
it

is time for business’ to expand their vision.

 They should make its own website in which customers can place an online order.

Customers can now go on the Internet and place an order. This method is useful

because it allows customers to view the entire menu, download any special coupons

,and order without having to disclose any credit card number.

81
 CONCLUSION

Pizza Hut has many targets, which it has achieve in a given period. The time-period is

mostly a year. Therefore, in order to fulfill the targets different strategies are adopted by

Pizza Hut. It can be concluded that these strategies have been successful and there is

flexibility in the strategies, as they can be changed with the changes in the market

conditions as well as the targets.

 Need to be just a step ahead…in sync with the consumer’s perception of value.

 Customers move to the lower cost provider when marketers stop giving them reasons

not to.

 “Never before, never again”

 “Strategy is only as good as its execution”

 Not just product, but an experience.

 Its strategies are successful and there is flexibility in the strategies, as they
can

be changed with the changes in the market conditions as well as the targets.

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 LIMITATIONS

There were certain limitations that we faced while doing this project. These limitations

Include.

 The limited time.

 Limited budget.

 Resistance of people to fill the questionnaires.

 To gather adequate information about Pizza Hut from its management.

83
 BIBLIOGRAPHY

 PRIMARY DATA

Data was collected through questionnaires and by one to one interaction with

people who regularly visited pizza hu.t

 SECONDRY DATA

www.pizzahut.com

www.google.com

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 QUESTIONNAIRE

Name:……………………………………………
Contact number:………………………………………
Address:………………………………………………………

1. Do you like Fast Food?

 Yes
 No

2. Which of the following joints do you prefer?

 KFC
 Mc Donald’s
 Pizza Hut

3. Have you ever visited Pizza Hut?

 Yes
 No

4. Which factors affect your preference while choosing any place for hostelling?

 Physical environment
 Interior
 Service
 Food Quality
 Price

5. Do you think that Pizza Hut offers enough variety of food?

 Yes
 No

6. You visit Pizza Hut as it has a good Brand Image?

 Yes
 No

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 7. Do you think Pizza Hut delivers the best food in town?

 Yes
 No

8. Are you satisfied with the ingredients used in its food items?

 Yes
 No

9. Do you think Pizza Hut is consistent in its food quality whenever you go?

 Yes
 No

10. Are you satisfied with the service of Pizza Hut When you dine in?

 Yes
 No

11. Do you think that the preparation process of food in Pizza Hut is hygienic?

 Yes
 No

12. Are you satisfied with the prices charged by Pizza Hut?

 Yes
 No

13. Are you satisfied with the Home Delivery Service of Pizza Hut that the food
delivered is of the same quality as when you dine in?

 Yes
 No

14. Any suggestions

……………………………………

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