Pizza Hut is one of the many victims of a growing consumer trend.
As fast-food prices have increased by roughly 47% over the past decade, some consumers have been dodging fast-food like the flu.
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A recent survey from Datassential revealed that 46% of U.S. consumers have cut their spending on restaurant meals and dining out due to inflation and the increased cost of living. Also, 31% said that they are instead opting to cook food at home in an effort to save money.
Related: Even deals can’t reverse startling trend in the fast-food industry
As this trend continues to grow, many fast-food chains have suffered major blows to their sales and revenues, especially over the past few months.
Pizza Hut, which is owned by Yum Brands (YUM) , recently faced a 4% year-over-year decline in its same-store sales during the third quarter of this year. This contributed to the chain’s total revenues slipping by almost 2%, compared to the same time period in 2023.
Pizza Hut may soon scrap its current store design
Amid the recent decline in sales, Pizza Hut is mulling a revamp of its stores, which it hopes will help attract customers.
The pizza chain has just revealed that it is piloting an ambitious new restaurant design at one of its locations in Plano, Texas, which features “a guest-facing pizza making station” that is located in the middle of the store, according to a recent statement.
Customers will be able to watch workers make their orders, which is a move that Pizza Hut hopes will “showcase the quality and care” that workers put into each order that is made.
In addition, the new restaurant also contains self-service kiosks which will encourage “faster order placement.” The store also has heated cabinets where customers can pick up their orders.
Customers who place orders at the store via drive-thru will also encounter a new “Hut ‘N Go” menu that offers pre-made food that can be ordered and picked up at the window.
Related: Major fast-food chains are starting to face the consequence for high prices
“The digital and tech-driven features of this restaurant design in particular – from order kiosks to self-access pick-up cabinets to the digital drive-thru menu – help guests easily guide their own journey with Pizza Hut and allow our restaurant team members to better serve them,” Shannon Garcia, Pizza Hut’s global franchise markets and global operations president, said in the statement.
Pizza Hut claims that it has already launched the new store design in more than 80 markets worldwide, which has led to elevated sales and increased store traffic at those locations.
Consumers continue to avoid Pizza Hut despite a new meal deal
Pizza Hut’s ambitious new store design comes after its latest value meal deal failed to significantly boost sales at its stores.
In October last year, Pizza launched its $7 Deal Lovers Menu, where customers can choose two or more items “for just $7 each.” The deal was the revamped version of its previous $5 Deal Lover's Menu, and it was introduced after the chain quietly increased some of its prices last year.
More Food + Dining:
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- Even deals can’t reverse startling trend in the fast-food industry
- McDonald’s is facing the brutal aftermath of price increases
Pizza Hut isn’t the only fast-food chain that hasn’t found significant success with boosting its sales after releasing a meal deal.
This summer, McDonald’s unveiled its new $5 Meal Deal which offers a meal that consists of a McChicken, four-piece chicken nuggets or a McDouble, along with fries and a drink for $5. The promotion was expected to expire sometime during the late summer, but it was recently extended after analysts claimed that the deal was struggling to significantly boost traffic in restaurants shortly after it debuted.
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