Yum! CEO David Gibbs referred to Flynn as a well-capitalized company that brings a strong track record of operational excellence. Those stores have now been sold to new operator Flynn Restaurant Group. More closures are expected in 2021.įeeding into those 2020 shutterings was bankrupted NPC International, which decreased its footprint from 1,200 to 950. Pizza Hut ended 2020 with 17,639 stores, representing a unit decline of 6 percent-it’s the lowest global number since Q3 2018.Īlthough the numbers are significant, it’s in line with expectations as the brand continues its shift toward a more off-premises-friendly asset base, or as Yum! Brands CFO Chris Turner described it, “transition to a healthier and more modern estate.” Closures were largely underperforming stores with lower average-unit volumes. The closures were partially offset by the opening of 682 locations. In 2020, Pizza Hut shed 1,745 restaurants, or 9 percent of the year-ago figure, including 573 closures in Q1 and Q2 combined, and 1,172 total in Q3 and Q4. The chain closed 2019 with 18,703 stores globally. If you happen to drive past a place that was built as a Pizza Hut and then repurposed into something else, you still know it was once Pizza Hut, don't you? That's powerful stuff, and Salon says they're hoping to capitalize on nostalgia to get adults who once ate there as children back with their own children.Pizza Hut’s mission to right-size its footprint may have begun years before the pandemic arrived, but COVID-19 undoubtedly quickened the initiative. A huge part of that is the red roof and the shape of their building. In 2019, Pizza Hut reverted back to some of the old imagery and logos they used in the marketing campaigns that ran from 1967 to 1999.
Advertising had fallen short, they said, but it's entirely possible they're fixing this in one of the most creative ways possible: by capitalizing on that retro feel.
Pizza hut carrickfergus closed update#
They didn't advertise their delivery service, they didn't update their look, and they didn't climb to the top of the highest mountain around and shout they weren't your parents' Pizza Hut anymore, they were your Pizza Hut. In 2018, Pizza Hut exec Artie Starrs said (via Inc.) it was a big problem they'd forgotten to tell customers they'd changed.
Most of the locations that are slated for closure are those geared toward a dine-in clientele, and the plan is to replace them with express locations better geared toward catering to more customers and their desire to be in and out the door with their pizza. When the 500-odd closures were announced (via Nation's Restaurant News), Gibbs added that it wasn't the end for those locations. In other words, Pizza Hut needs to focus less on dine-in and more on what people want, which is to take their pizza with them. The drag dine-in is having on reported same-store sales masks the relative health of delivery and carryout. When Pizza Hut CFO David Gibbs addressed the problem of earnings back in 2018, he had this to say: "The challenge Pizza Hut faces is that it has a large dine-in business. It doesn't take a business major to know that just doesn't add up. At the same time, about half their locations were paying a wait staff and supplying dine-in facilities. According to Restaurant Business, only about 10 percent of Pizza Hut's sales come from dine-in customers.
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