Report on Pizza Hut Essay

During the preceding(a) four decades pizza pie chanty has built a reputation for excellence that has earned the respect of consumers and industry experts alike. Building a leading pizza pie club has required relent slight(prenominal) innovation, commitment to bore and dedication to customer divine dish out and value. The qualities of entrepreneurship, growth and leadership keep characterized pizza field hutchs c whollying through much than four decades of success. Through the strength of its heritage, its civilisation and its passel and franchisees, pizza pie chanty looks forward to more success in future.There be divergent objectives of every transcription. In bon ton to progress to these objectives various targets atomic number 18 qualify. Targets pass down the hierarchy depending on the nature of the moving in. Therefore, in narrate to achieve the objectives, management decides on polar st targetgies. These strategies argon divided into more sub-parts and are helpful for the running of the descent. The employees and the management k straight off what they wear to achieve through the targets which overhear been represent to them and the strategies they defy get intoed help them know the way they impart achieve the objectives.Similarly, pizza pie hutch has different targets set to them and they have adopt different strategies to successfully achieve the targets set. These targets are set by the RSC i. e. the wash upery support nubble in Karachi. These targets are passed on to the RGM (restaurant general manager) and he passes them to the workforce. These targets f both within the organizational structure in which in that location are many people who have different targets to achieve. In order to successfully achieve the targets they need to co-operate and work in a friendly environment. contri thoe of concern Sciences, Peshawar Pakistan rogue 4 bailiwick and selling Strategies of pizza pie army hut HISTORY OF pizza pie About pizza, Some go forth tell you Italy. Thats wrong. What you know as pizza came into vogue nearly the time of Napoleon and the cut revolution. Italians, known to be lovers of fine viands and wines perfected and imported this terrific dish to America. From here it right away endeared itself to mass harvest-festivalion and re-export to the rest of the world. Bon appetite INTRODUCTION & HISTORY OF PIZZA HUT In 1958, crude(a) and Dan Carney had an idea for a great local pizza restaurant in Wichita Kansas.The sm every last(predicate) 25 initiate restaurant only had room for 9 letters on the sign the building looked like a hut so pizza pie Hut was born Fifteen years later, we generateed the commencement exercise base UK restaurant and since then weve become the biggest Pizza Company on the planet, Let see listen Pizza Hut Story from them 1958 Frank and Dan Carney open the first Pizza Hut in Wichita, Kansas. 1972 1000 restaurants are open throu ghout the USA. 1973 Pizza Hut went international with restaurants in Japan, Canada & England. The first UK Pizza Hut opened in Islington, London.1977 PepsiCo bought Pizza Hut. 1980 Pan Pizza was posed. 1982 The UK joint venture started between PepsiCo and Whitbread. 1984 Over 50 restaurants so out-of-the-way(prenominal) in the UK. 1986 By now, at that place were 100 restaurants in the UK and 5000 worldwide. 1987 An average of one restaurant opened apiece week in the UK. 1988 The UKs First Delivery Unit was opened in Kingsbury, London. 1992 There were 9,000 restaurants in 84 countries. 1993 There were 300 restaurants and economy stores in the UK. 1994 10,000 Pizza Huts were open for business. 1997 PepsiCo decided to focus on their drinks business.As a result, Tricon Global Restaurants was born, creating the largest restaurant brand in the World. Tricon became the partner company with Whitbread. 1999 Pizza Hut had over 400 restaurants, employing 14000 people. 2002 Tricon Global b ecame YUM Brands Inc. 2006 Whitbread sold their parcel of the joint venture to Yum Brands Inc. Pizza Hut UK Ltd was now 100% owned by Yum 2008 We bought Godfathers Pizza in Ireland with 28 stores. pioneer of precaution Sciences, Peshawar Pakistan varlet 5 Report and Marketing Strategies of Pizza Hut Pizza Huts Mission Statement.We hit pride in making a perfect pizza and providing courteous and helpful service on time all the time. every(prenominal) customer says, Ill be back We are the employer of choice fling team members opportunities For Growth, Advancement, And Rewarding Careers in a Fun, Safe Working Environment. P. E. A. R. L. S ? PASSION for excellence in Doing everything ? EXECUTE with positive energy and urgency. ? ACCOUNTABLE for growth in customer satisfaction and profitability. ? RECOGNIZE the feat of others and have fun doing it. ? LISTEN and more importantly, respond to the voice of the customer.Institute of Management Sciences, Peshawar Pakistan Page 6 Report and Marketing Strategies of Pizza Hut COMPARATIVE STRATEGY This forced competitors to look for raw methods of change magnitude their customer bases. Many pizza chains decided to diversify and offer untested nonpizza items such as Buffalo wings, and Italian cheese bread. The current trend in pizza chains at once is the same. They all try to come up with some soreer, bigger, dampen, pizza for a low monetary value. Offering special promotions and new pizza variations are popular today as well.For example, chicken is now a common overstep found on pizzas. In the past, Pizza Hut has always had the first mover advantage. Their grocery storeing dodging in the past has always been to be first. adept of their main(prenominal) strategies that they still follow today is the diversification of the products they offer. Pizza Hut is always adding something new to their menu, trying to reach new foodstuffs. For example, in 1992 the famous replication was launched in Pizza Hut restau rants worldwide. They were trying to offer many different food items for customers who didnt necessarily want pizza.Another schema they used in the past and are still using is the diversification of their pizzas. Pizza Hut is always trying to come up with some innovative way to require a pizza into something slightly different different enough that customers leave behind think its a whole new product. For example, lets look at some of the pizzas Pizza Hut has marketed in the past. In 1983, Pizza Hut introduced their Pan Pizza, which had a guarantee of being ready to eat in 5 minutes when dining at Pizza Hut restaurants. In 1993, they introduced the Bigfoot, which was two square feet of pizza cut into 21 slices.In 1995, they introduced Stuffed Crust Pizza, where the crust would be filled with cheese. In 1997, they marketed The Edge, which had cheese and toppings all the way to the edge of the pizza. Currently, they are marketing The Big bare-ass Yorker, trying to bring the fam ous New York ardor pizza to the whole country. Lastly, Pizza Hut has always valued customer service and satisfaction. In 1995, Pizza Hut began two customer satisfaction programs a UAN (in USA 1-800) number customer hotline and a customer call-back program. These were implemented to limit sure their customers were happy, and always wanted to return.In our plan, we volition first deem a situation analysis of current and relevant environmental conditions that affect our plan. Next, we will give a brief analysis of the current fast food industry, and any trends or changes that might pass on in the future. Institute of Management Sciences, Peshawar Pakistan Page 7 Report and Marketing Strategies of Pizza Hut Institute of Management Sciences, Peshawar Pakistan Page 8 Report and Marketing Strategies of Pizza Hut ENVIRONMENTAL AND INTERNAL compendium OF PIZZA HUT In our visit to Pizza Hut we conducted research on PEST (Political, Economic, sociable and Technological) Analysis.In the i nternal analysis of Pizza Hut we have considered elevate of the Company. PEST (Political, Economic, Social & Technological) i. policy-making ISSUES Political issues include regulatory frame work operating in judicial system which whitethorn affect the business in different ways. There are not many political factors in Peshawar affecting Pizza Hut as is lack of argument. Factors such as laws on business employment, contaminant and taxation apply on the organization which it has to follow regarding the rules. ii. ECNOMIC FACTORSIf the countys economy is better so the gross domestic product of the country will be broad(a), this is a green signal for the business as the per capita income of the people will be cast upd and they will spend more money. In our survey we came to know that most of the people in the beginning of the months spend more and they visit pizza hut very often. When the inflation rate adjoins the speak to of raw material to a fault adjoins and this leads towa rds high prices of the products and vice versa. iii. SOCIAL FACTORS Pizza hut is a multinational and it is basically originated from America so the organization is overwhelmed by western culture.There are tender forms of society which consist of Upper class, middle class, middle upper class, lower class and lower class. Every country has cultural norms, values, beliefs and religion which back affect the organization. iv. TECHNOLOGICAL FACTORS Now a days technology is improving so as baking and heating ovens will be of new and businesslike technology and will provide efficient service. Due to new technology there are new ways of marketing like internet telemarketing and the organization potentiometer buoy advertise their products with much more faster pace.Computer based customer data that is MIS (managing information system) helps in collecting customer data, unremarkable transactions, future forecasting and decision making. New vehicles will make for their service more effic ient. Institute of Management Sciences, Peshawar Pakistan Page 9 Report and Marketing Strategies of Pizza Hut SWOT ANALYSIS Every organization has its strengths, weakness, opportunity and threats. So, the SWOT analysis for pizza hut is as under 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, tone products with qualified lag, good ambience and hygienic environment. They are specialized in pizzas. Motivation take of staff is very high 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 exhaust home delivery service. They have created monopoly in this sector.Another big Strength and even a emulous Advantageis the fact that they have a full service restaurant as we ll as delivery services. Most of Pizza Huts competitors do not have restaurants. Because of the restaurant, Pizza Hut mess market too many different segments that other pizza chains dischargenot. For example, Pizza Hut can market to families much easier than half masks or Little Caesars. Weaknesses However, the fact that Pizza Hut does have a restaurant to run is also a weakness. Pizza Hut has higher(prenominal) budget items costs, delinquent to the restaurant that other competitors dont have to deal with.Another result of higher overhead costs is higher prices Pizza Hut must show. Obviously, Pizza Hut is not the low cost producer. They rely on their flavour pizza and good service to account for their higher prices. They are providing less range of products comparatively with high prices. They are more focused on Western taste instead of Eastern. Opportunities New markets can be explored and new opportunities they can absorb. Pizza Hut can come up with the new products consi dering 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. Threats Pizza Huts number one threats are from their competitors. Currently, Their closest competitor is eye masks Pizza who is working to open their Branch at Karachi. Dominos main matched advantage over Pizza Hut is their Lower price. ii. Little Caesars who is establishing their self in India and might move to i. Institute of Management Sciences, Peshawar Pakistan Page 10 Report and Marketing Strategies of Pizza Hut Pakistan is another one of Pizza Huts competitors, right behind Dominos in market share.Little Caesars is famous for offering large quantities of pizza for less money. iii. New entrance like Dominos pizza in Pakistan market can affect their market share. iv. Other local restaurants can affect their market share by providing pizzas with lower price. v. Social factors can affect their image as a Western organization. SEGMENTATION 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 holds the most market share in the Pizza industry, the perceived feel and service of the company will help to ensure a better the average fortune at a successful introduction of a new product. The introduction of a product that keeps with today trends is also important to reduce the risk of failure. Pizza Hut utmost market segment is young generations. These generation ranges from 12 to 30, the overall outlay of these generations is largely on non essential items, the higher amount of spending has been done on eating out.POSITIONING Pizza Hut was among the first multinational brands to enter the food retail sector in Pakistan. When the first Pizza Hut restaurant opened in Karachi the mobile service industry was at a nascent stage and the pizza category was dominated by a sole regional calculateer who had a marginal presence. Pizza Hut went on to play a significant role in pioneering and developing this category in Pakistan. Worldwide and in Pakistan, Pizza Hut has come to become synonymous with the exceed 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, plot setting standards for others to touch to replicate. Pizza Hut is committed to providing uncompromising product smell, offering customers the highest value for money and giving service that is warm, friendly and personal. Institute of Management Sciences, Peshawar Pakistan Page 11 Report and Marketing Strategies of Pizza Hut.A scathing factor in Pizza Huts success has been its unique dining experience. Crew members 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. Pizza Huts constant enterprisingness to provide extra value whether it is pizzas which are available to suit every price range, new promotions or the introduction of innovative product ranges that puts a Yum on every customers face has allowed it to increase its presence in Pakistan to the current 38 restaurants across 9 cities.Institute of Management Sciences, Peshawar Pakistan Page 12 Report and Marketing Strategies of Pizza Hut Market Targeting Pizza hut targeted market defines them as a family product. This is because they dont really directly market their customers. They are target everyone whereas their competitors target a authoritative gender or age. But pizza hut targets a wide range of customers. This is because they want to make the most money and who blames them. 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 pizza hut will always try to be the best and get the most money by making their products better quality faultlessly also cheaper. They try to offer something different with their product as well. They offer a range of stuffed crusts to try and pluck customers. They also do vegetarian options with meet free pizzas and a salad and pasta bar. not a lot of restaurants offer a salad and a pasta bar. This is another competitive idea to attract or customers. STRATEGIES ADOPTED BY PIZZA HUTA businesss strategy is the kind of decisions and actions that are taken by the business to achieve its goals. A business has a variety of goals and objectives. every(prenominal) businesses need to organize their business activities in order to achieve their business objectives. Running a business involves planning the current as well as future activities. Hence, in order to achieve the business objecti ves, all business organizations adopt different strategies. Similarly, Pizza Hut has adopted many strategies which help achieve the targets set by the main office to the local store opened at Peshawar.Changes are the external as well as internal environment has led Pizza Hut rethink their past strategies and has therefore designed new strategies after noticing the changes in the environment. These environmental changes are seen through the PEST and SWOT analysis. After considering all the factors Pizza Hut has decided upon the strategies and their current strategies are divided into five main categories and further have sub-parts. These strategies are Functional Strategies These are strategies designed to improve the efficiency of a businesss operations.They often focus on an force field, such as marketing, human resource etc. every business organizations adopt strategies at functional level as once the functional objectives are achieved, corporal objectives become easy. In ord er to make the functional strategy efficient, Pizza Hut has do all the functional departments co-operate with each other. Institute of Management Sciences, Peshawar Pakistan Page 13 Report and Marketing Strategies of Pizza Hut Total Quality Management (TQM) This is the most important for a food chain like Pizza Hut. All the employees backof-the-house i. e. the kitchen assistants are trained jibely.They are given extra classes in order to meet the quality standards set by Pizza Hut around the world. This strategy is important in order to live up to the CHAMPS. This strategy is strictly implemented in Pizza Hut in order to fulfill the quality standards. assorted quality management staff is also there at Pizza Hut. The shift managers 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 in Karachi. This department has the task to implement quality standards and know whether they are achieved or not.Business Level dodging Business level strategies are 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 take a look at the Pakistani 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 Karachi. This would be a threat for Pizza Hut and hence, the strategies would be changed. Pricing Strategy The level of competition a business faces determines its pricing strategy. Sometimes a business has the scope to set its price and sometimes a business cannot. When a business has the scope to set its price there is a number of pricing strategies or policies it might choose.As there are no such competitors of Pizza Hut which could compete with the quality of pizza produced at Pizza Hut, therefore, the pricing strategy adopted by Pizza Hut is market skimming. Pizza Hut has adopted this pricing strategy as they want to hold maximum share of the market by maximum profit. This is a comfortable era for Pizza Hut, as there are no competitors and hence, Pizza Hut is free to charge any price they want. They are charging higher prices due to the uniqueness of the product. They satisfy the target market as the food quality is deserving the price paid.The pricing strategy is not just to get the worth Institute of Management Sciences, Peshawar Pakistan Page 14 Report and Marketing Strategies of Pizza Hut of quality but also to gain maximum profits before any competitor enters because then Pizza Hut will have to change its pricing strategy. Although the prices would be lowered with the new entrants in the market but not to a greater extent as the quality food products are not home-produced. They are imported from different countries keeping in view the best quality. Institute of Management Sciences, Peshawar Pakistan Page 15 Report and Marketing Strategies of Pizza HutMarket Share As there are tons of Pizza Suppliers Globally Providing Services in different part of the World, but Pizza Hut is the One who got the Bigger Market Share Globally. This is the Survey taken by www. survey. com that Pizza Hut is having 48% of overall Pizza Market in the World. After that Dominos is leading with a percentage of 20% while the rest 32% is divided in the Remaining Pizza Providers Globally. MARKET SHARE OTHERS 32% PIZZA HUT PIZZA HUT 48% DOMINOS OTHERS DOMINOS 20% Institute of Management Sciences, Peshawar Pakistan Page 16 Report and Marketing Strategies of Pizza Hut FOUR PS OF MARKETING.PRODUCT Product refers to the actual program you are planning. The goal of pizza hut is to develop the best product with the resources available. Pizza Hut sells pizzas in four different sizes personal (an individual serving), small, medium and large, though most stores have done away from with the small size. A variety of toppings are available, plus peculiarity 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 .so their products have help them to retain their customers and to increase them . they provide their customers with complete nutrition plan and healthy food is guaranteed. The nutrition plan also clear tells diabetes patients can use what range of food at pizza hut. Over weight patients are also satisfied and the pizza with less cholesterol ca n be ordered.This encourages the customers to visit pizza hut sooner than going elsewhere. As pizza hut has to boost its sales in the existing markets, so they the new food products are introduced in all branches line-byline because all branches are operated in co-operation with one another. different products for different regions are also developed as there are choice differences. Pizza hut offers a long list of products and never afraid to offer new products like in Peshawar according to market they introduce the very first Chapli Kabab Pizza which was very healthy product by Pizza hut in this region. There are a lot many products according to different geographical places. Like in India they have got there vegetable pizzas, which has a large market there and not the Cow Meat Pizza. Institute of Management Sciences, Peshawar Pakistan Page 17 Report and Marketing Strategies of Pizza Hut.PRICE . As there are no such competitors of Pizza Hut which could compete with the quality of pizza produced at Pizza Hut, therefore, the pricing strategy adopted by Pizza Hut is market skimming. Pizza Hut has adopted this pricing strategy as they want to hold maximum share of the market by maximum profit. This is a golden era for Pizza Hut, as there are no competitors and hence, Pizza Hut is free to charge any price they want. They are charging higher prices due to the uniqueness of the product. They satisfy the target market as the food quality is worth the price paid.The pricing strategy is not just to get the worth of quality but also to gain maximum profits before any competitor enters because then Pizza Hut will have to change its pricing strategy. Although the prices would be lowered with the new entrants in the market but not to a greater extent as the quality food products are not home-produced. They are imported from different countries keeping in view the best quality. First, this pricing strategy will help segment the market. Different groups of customers are wi lling to pay different prices for the same product.The high/low pricing strategy will also create excitement. The pricing strategy adopted by Pizza Hut is market skimming. Pizza Hut has adopted this pricing strategy as they want to hold maximum share of the market by maximum profit. This product will emphasize product and service quality stick/DISTRIBUTION It refers to the best place to offer program. That is the place where it is located and through what enchants are we distributing programs and the competitive advantage lies in distribution. The pizza hut Peshawar is situated out of the market area near legions Stadium and Shami road.This site has been chosen keeping in view the following factors. It is in an out of centre location on retail or Leisure Park with good parking accessibility. Secondly the catchment area is of a specified minimum size and within a given drive time to the site. dispersal 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 market. Institute of Management Sciences, Peshawar Pakistan Page 18 Report and Marketing Strategies of Pizza Hut i. The first method of distribution used by Pizza Hut is Home. Office delivery. Customers can call Pizza Hut ahead of time, place an order, and the order is delivered to the customers home. can go to the nearest Pizza Hut, place an order and either leave with the order or eat at the restaurant. One of Pizza Huts 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. ii. Another method of distribution is for customers to dine-in. Customers iii. The t hird method of distribution is to order Online. Selective County Customers can now go on the Internet and place an order for Pizza. 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. Institute of Management Sciences, Peshawar Pakistan Page 19 Report and Marketing Strategies of Pizza Hut PROMOTIONThe objectives of 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. Pizza hut uses many promotional strategies. The main promotion is a coupon to purchase. This promotion is also distributed mainly by mail, but also by fliers on college campuses around the country in order to reach the target market. They are using billboards on main sprout places to get there customer. They are also distributing door to door brochures to capture more and more customers. Pizza huts also using marketing techniques.These are the strategies Pizza hut is using for its marketing. Pizza huts trys to attract the younger generation as their main market segment. Apart from this Pizza Hut is using intense marketing strategies they are also giving ads in magazines. Advertising camping will creates sense of the products in our target markets. Institute of Management Sciences, Peshawar Pakistan Page 20 Report and Marketing Strategies of Pizza Hut CONCLUSION Pizza Hut has many targets which it has achieve in a given period of time. 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. Institute of Management Sciences, Peshawar Pakistan Page 21 Report and Marketing Strategies of Pizza HutREFERENCES Mr. Amir Zeb, Shift Manager, Pizza Hut, Peshawar Mr. Hamad Zeb, Shift Manger, Pizza Hut, Peshawar Lower staff of Pizza Hut, Peshawar Google Search Engine www. definitions. com www. answers. com www. about. com www. wikipedia. org www. pizzahut. com Institute of Management Sciences, Peshawar Pakistan.