Wichita, Kansas, U.S. Pizza Hut is an American multinational restaurant chain and international franchise founded in 1958 in Wichita, Kansas by Dan and Frank Carney.
The ‘Pizza Hut’ franchise was started in the United States of America. It was founded by Frank and Dan Carney in Wichita, Kansas. Write Your Answer
Which country owns pizza?
That did start in Italy. Specifically, baker Raffaele Esposito from Naples is often given credit for making the first such pizza pie. Historians note, however, that street vendors in Naples sold flatbreads with toppings for many years before then.
How did Pizza Hut begin?
Pizza Hut was founded in 1958 by brothers Dan and Frank Carney in their hometown of Wichita, Kansas. When a friend suggested opening a pizza parlor—then a rarity—they agreed that the idea could prove successful, and they borrowed $600 from their mother to start a business with partner John Bender.
Is Pizza Hut a franchise UK?
Pizza Hut is a restaurant franchise specialised in pizza.
Please note that Pizza Hut are currently not recruiting any new franchisees in the UK.
|Number of units worldwide (excluding UK)||16,507|
When did Pizza Hut go international?
Pizza Hut went international in 1970, and within a year it had become the world’s largest pizza chain. In just one more year, they crossed the million-dollar mark in the U.S. market, were listed on the New York Stock Exchange, and made its first common stock offer.
When did pizza start in America?
It wasn’t until the 1960s that pizza delivery in the US really started to take off. This coincided with the growing availability of private vehicles in American homes, and soon, restaurant owners were training employees to be delivery drivers, guaranteeing that food would be delivered in 30 minutes or less.
When did Pizza Hut start franchising?
NPC traces its history back to 1962, when it opened its first Pizza Hut franchise in Pittsburg, Kan.
Is there Pizza Hut in Italy?
Even Pizza Hut, which has a total of 11,139 branches worldwide, hasn’t dared set foot on Italian soil soil because: ‘Italy does not fit with our global brand story.’
When did Pizza Hut start in India?
In June 1996, Pizza Hut made its foray into India with a restaurant in Bangalore and was the first international restaurant chain to pioneer this category.
When did Pizza Hut come to Canada?
The first international Pizza Hut opened in Canada in 1968.
When did Pizza Hut first open in UK?
What started out as a single Hut in Islington, London is now over 700 Restaurants and Delivery outlets up and down the UK, and guess what, the pizza is still the best in town. Since we came to the UK in 1973, we’ve been proud of our service and great food.
How many Pizza Hut franchises are there worldwide?
From our modest beginnings in 1958, Pizza Hut has grown to become the largest pizza company in the world. We have more than 18,000 restaurants in over 100 countries.
How much does it cost to start Pizza Hut franchise?
Pizza Hut has a franchise fee of $25,000 for a 20-year agreement, although the total initial investment ranges between $297,000 and $2,109,000. Additionally, franchisees must pay the company ongoing royalty fee of 6% on all sales, as well as an additional 3% to be applied toward national marketing efforts.
Who started Pizza Hut?
Which company owns Pizza Hut?
Who was the founder of Pizza Hut?
Pizza Hut is expecting to expand its customer base with the help the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Founded in the late 1990s by Andrew Mariathasan in New York, with the goal of covering Wall
What is the story behind Pizza Hut?
The Pizza Hut story begins in May 1958. Dan and Frank Carney opened their 550-squarefoot pizza restaurant in Wichita, Kansas. Dan and Frank, with friends Richard Beemer and John Bender, made the pizza themselves. Frank rolled the dough with a rolling pin. Richard tossed the dough in the air from the pie tin. Dan filled the unbaked crust with sauce.
Careers at Pizza Hut
Customer satisfaction is important to Pizza Hut, and the company strives to provide customers around the world with unique and high-quality pizza and related food products quickly and efficiently, both in its restaurants and at home, while also ensuring that its products are produced in a sustainable manner.
- College students Frank and Dan Carney launched Pizza Hut in 1958 as a way to feed their growing need for pizza.
- The brothers borrowed USD 600 from their mother to start a modest pizza shop in their hometown of Wichita, Kansas, where they were born and raised.
- Their success was built on the use of fresh ingredients and the baking of pizzas to order on the spot.
- Frank and Dan Carney built their second Pizza Hut business after only six months, and by the end of the year, they had a total of six Pizza Hut locations under their control.
Pizza Hut began franchising in 1959, which resulted in a period of rapid development for the company.By 1969, the company had established more than 300 restaurants around the United States.Despite the economic downturn, Pizza Hut has continued to grow its footprint both locally and globally.On a daily basis, the Company serves more than a million pizzas across more than 15,600 shops in 90 countries, including the Americas and Asia Pacific as well as Europe.
The Middle East and Africa are among the regions where the Company operates.Throughout the years, the restaurant has also expanded its menu to include pasta, speciality pizzas, side dishes, and meals that are unique to the region.PepsiCo purchased Pizza Hut in November 1977 for an undisclosed sum.The company is currently a branch of Yum Brands, which has taken over its operations.It continues to be one of the largest pizza distribution companies in the globe.In 2017, Pizza Hut was placed 24th on a list of the world’s most influential brands, which was compiled by Forbes magazine.
Business model of Pizza Hut
- Customers at Pizza Hut come from many walks of life, with the majority of them belonging to the general consumer population in most parts of the world. Consumers from a variety of demographics and income levels who require convenient and quick food offerings
- Groups and Families, which include young families with children and larger groups of consumers from a variety of ages and demographics
- And Event Organizers, which include consumers organizing private events or corporate functions who require specific requirements for large groups of consumers.
Pizza Hut is based in the United States, although it serves customers all around the world. It has restaurants or delivery services in more than 100 markets across the Americas, Asia Pacific, Europe, Africa, and the Middle East, among other regions.
- The following are some of the ways in which Pizza Hut adds value to its customers: With a long history of offering high-quality products and services to clients, Pizza Hut has earned a reputation as one of the world’s most well-known and famous pizza companies.
- The company is noted for supplying high-quality pizzas, pasta meals, and side dishes as well as for generating creative offers and region-specific pizza toppings, allowing it to meet the needs of a diverse worldwide consumer base
- Quality and dependability
- Consumer affordability is a priority for Pizza Hut, which ensures that its goods are available to consumers from a diverse variety of demographics all around the world.
- Availability and Convenience – In order to provide customers with the best possible service, Pizza Hut strives to serve them quickly and efficiently in-restaurant, and also provides home delivery and online ordering services to ensure that its offerings are available to customers at all times
- Sales and Marketing Reach – Pizza Hut has a large network of restaurants, with more than 18,000 individual outlets in more than 100 countries and territories throughout the Americas, Asia Pacific, Europe, the Middle East, Africa, and the Middle East. and
- In order to best serve its consumers, Pizza Hut relies on a global network of more than 18,000 owned and franchised shops.
- There are markets in the Americas, Asia Pacific, Europe, the Middle East, and Africa represented by this network.
- All of the Company’s restaurants are staffed with sales and service workers that interact with and assist clients on a personal level.
- Customers may also buy items from Pizza Hut through its regional online ordering platforms, which are available in many languages.
Customers may explore items, place orders, and schedule delivery all online through these channels, as well as through other means.Pizza Hut’s staff of delivery drivers completes all of the company’s deliveries.
- In order to guarantee repeat business from its consumers, Pizza Hut strives to provide high-quality goods and a pleasant dining experience.
- Customers’ primary point of contact with the Company is through its in-restaurant workers, who are on hand to accept orders, answer to questions and complaints, and provide menu-related advice.
- Pizza Hut offers a membership and rewards program to its frequent customers as a way of motivating them to return again and again.
- Through this program, the Company provides its regular customers with early access to news and updates, as well as exclusive discounts and promotional opportunities.
Through its website, which may be accessed on a self-service basis by clients, the Company also provides them with a variety of useful information.Pizza Hut has a webpage that may be found at It is also able to engage directly with its clients through its many social media profiles, which include those on Facebook, Twitter, Instagram, and YouTube, among others.
- Pizzeria Hut is the world’s largest pizza restaurant operator, in terms of both the number of locations it operates and the percentage of the global pizza market share it has.
- Company manages a network of more than 18,000 pizza restaurants in more than 100 regions across the world, including locations in the Americas, Asia Pacific, Europe, the Middle East, and Africa, among others.
- Additionally, the Company provides delivery services through its restaurants and regional online ordering platforms in addition to its restaurant operations.
- Even though Pizza Hut’s basic menu items are pizzas, the company also provides a diverse selection of pasta dishes, salads, and side dishes.
Pizza Hut was established in 1958 and has its headquarters in the United States.Yum Brands functions as a division of the company.
- Pizza Hut collaborates closely with a large network of partner firms and organizations across the world to guarantee that it can provide the best possible service to its consumers. The following categories can be used to classify these partners in a general sense: suppliers of equipment, ingredients, and supplies that are used in the Company’s core restaurant operations, as well as providers of other third-party services that support the Company’s corporate activities more broadly
- Franchise partners, which include a diverse group of independent business owners, food service companies, and individuals who operate Pizza Hut-branded restaurants around the world on the Company’s behalf
- Delivery and distribution partners
- And other third-party service providers
In recent years, Pizza Hut has entered into a number of strategic alliances. This includes a connection with FedEx for delivery, sponsorship ties with the National Football League and the National Collegiate Athletic Association, and a community engagement with World Hunger, among other initiatives.
- The capacity of Pizza Hut to provide high-quality items to customers in a timely and efficient manner is critical to the company’s business strategy.
- Some of its most valuable assets include its brand name and intellectual property, its network of restaurants and franchise partners, its online ordering systems and information technology (IT) infrastructure, its supply chain, its network of partners, and its employees.
- Purchase of ingredients and equipment, operation of restaurants and outlets (including utility and occupancy costs), management of partnerships, procurement of third-party services, implementation of marketing and sponsorship campaigns, development and maintenance of its information technology and communications infrastructure, and payment of salaries and benefits to its employees are all examples of expenses that Pizza Hut incurs.
- According to financial statements filed with the SEC, Pizza Hut recorded general and administrative expenditures of USD 197 million, franchise and property charges of USD 45 million, and franchisor advertising and other service expenses of USD 328 million in 2018.
- Profits are generated by the operation of restaurants and the selling of food and beverages at their locations.
- The majority of the company’s revenue comes from sales fees received directly from consumers at the point of sale, which includes sales across the company’s network of restaurants as well as sales made through its various online ordering platforms.
- It also produces a percentage of its income in the form of franchise and property revenues, which are created through agreements with third parties to franchise the Company’s products.
- Compared to the previous year, Pizza Hut earned annual system sales of USD 12.21 billion and total income of USD 988 million, an increase over the previous year’s figures of USD 12.03 billion and USD 893 million, respectively.
The operational profit for the year 2018 was USD 348 million for the company.
- Arthur Starrs, President of Pizza Hut in the United States of America: Since May 2016, Arthur Starrs (″Starrs″) has served as President of Pizza Hut US, the company’s operations in the United States.
- He is in charge of directing the operations of the Pizza Hut brand in the United States and organizing the company’s management team in the United States.
- He began his career with Pizza Hut US in August 2013 as Vice President of Analysis and Financial Planning, and then rose through the ranks to become Chief Financial Officer and General Manager, respectively.
- Starrs began his professional career in 1998 as an associate at the investment banking firm Dresdner Kleinwort Wasserstein, where he worked for six years until being promoted to the rank of director.
Before joining Pizza Hut US in 2013, he worked as Executive Vice President and Chief Financial Officer at Rave Cinemas, where he spent more than eight years before being promoted to Executive Vice President and Chief Financial Officer.Regina Borda is the Managing Director of Pizza Hut Europe and the United Kingdom.info: Since March 2018, Regina Borda (″Borda″) has served as Managing Director of Pizza Hut Europe and the United Kingdom.He is in charge of directing and implementing the Company’s overall strategy in Europe, the United Kingdom, and Canada, among other things.
Herrera Borda began her career with Pizza Hut in November 2014 as International Marketing Director, and since then has held positions such as Senior Director of International Marketing, Chief Brand Officer for Latin America and the Caribbean, and Senior Director of International Marketing.After working as a marketing intern at FedEx for a year, Borda moved on to The Hershey Company, where she eventually rose to the position of brand manager.Following graduation, Borda worked as a marketing manager, senior marketing manager, and marketing director at Yum Restaurants International.She was based out of the Caribbean, Germany, and the Netherlands throughout her time there.Between 2010 and 2014, Borda worked with Taco Bell in a variety of leadership positions, including Brand Marketing Director, Director of Operations, and Managing Director of the taco Bell Foundation, among others.Helen Vaid is the Global Chief Customer Officer of Accenture.
info: The position of Global Chief Customer Officer of Pizza Hut has been held by Helen Vaid (″Vaid″) since September 2016.This position entails oversight of all systems and solutions that have a direct influence on the customer experience, including kitchen management systems, operations standards, food safety procedures, and fleet management systems.Vaid began her professional career in the early 1990s, holding worldwide management positions with companies such as Harman Enterprises, Twinings, Shopsmart.com, and Sigel+Gale.Before joining Hewlett Packard in 2004, she worked as the Sales Director at Servecast Limited, a position she held for more than two years before being promoted to Sales Director.
Vaid worked with Hewlett Packard for more than a decade, serving in several capacities, including Managing Director for Snapfish EMEA, General Manager for Snapfish Americas, and General Manager for Snapfish WW and Web Platform.Vaid was a Vice President at Walmart eCommerce from 2013 to 2016, where he worked before joining Pizza Hut.any and all positions
Who Invented Pizza?
ARTS & CULTURE— Food
Have You Ever Wondered.
- Who was the inventor of pizza?
- How long has pizza been in existence?
- What was the location of the first pizza in the United States?
- Mykah from Allison, Texas, provided the inspiration for today’s Wonder of the Day.
- ″Can you tell me who developed pizza?″ Mykah wonders.
- Thank you for joining us in our WONDERING, Mykah!
- Mmmm.can you detect a scent?
A hot pie rests on the counter, fresh from the oven and ready to be devoured.The fragrance of heated bread, melting cheese, and boiling tomato sauce fills the air, enveloping your senses completely.Are you ready to tuck into your favorite of all foods?Are you ready to plunge in?
What exactly are we discussing?Of course, we’re talking about pizza!Some children enjoy meat, while others do not.Some children enjoy veggies, while others avoid them at all costs.Some children like seafood, while others believe that fish should be left in the water.But there is one thing that almost all children can agree on: pizza is fantastic!
What is the origin of this widely acclaimed dish?Pizza is frequently associated with Italian cuisine.Do the Italians, on the other hand, receive the credit?Alternatively, did someone else create the first pizza?
There isn’t a simple answer here.Different historians have come up with different conclusions.A great deal relies on your definition of ″pizza.″ Do you conceive of pizza as a flatbread that has been baked in a brick oven?
- If this is the case, its origins can be traced back to ancient periods in the Middle East.
- Flat bread was eaten by the ancient Babylonians, Israelites, and Egyptians, all of whom baked it in mud ovens.
- Do you believe that a pizza must have toppings to be considered complete?
- In such instance, it may be traced back to the ancient Greeks and Romans, among other civilizations.
- They both ate flatbreads that had been prepared and were covered with olive oil and spices.
- This dish is now referred to as focaccia bread.
What about the type of pizza that most people are familiar with?Those pizzas with tomato sauce, cheese, and various toppings, you know the ones.That did begin in Italy, to be sure.In particular, baker Raffaele Esposito from Naples is frequently credited with creating the world’s first pizza pie.However, historians point out that street sellers in Naples had been selling flatbreads with toppings for many years before to it.According to legend, the Italian King Umberto I and his wife, Queen Margherita, paid a visit to Naples in 1889.
- Esposito was summoned to the location and requested to prepare a pizza for them.
- Fresh tomatoes, mozzarella cheese, and basil were strewn on the top of the pizza.
- That particular pizza is still referred to as Pizza Margherita today.
- Immigrants from Italy carried pizza with them when they settled in Spain, France, England, and the United States.
- However, it did not receive widespread acceptance until after World War II.
- It was at this point when returning soldiers began looking for the meals they had grown to like while serving overseas.
The first pizza in the United States, G.Lombardi’s, opened its doors in 1905.Gennaro Lombardi was the property’s owner.In New York City, he launched his restaurant at 53 1/3 Spring Street, which is now closed.It is still in operation today, with the same oven continuing in use, albeit in a different location.
As of today, pizza is one of the most widely consumed foods in the United States as well as around the entire world.Do you eat pizza on a regular basis?What are some of your favorite accoutrements?Do you believe that toppings such as pineapple should be included on pizza?Everyone has their own set of tastes and interests!Common Core, Next Generation Science Standards, and National Council for the Social Studies″>Standards: C3.D2.His.2, CCRA.L.3, CCRA.L.6, CCRA.R.1, CCRA.R.2, CCRA.R.10, CCRA.SL.1, CCRA.SL.2, CCRA.SL.3, CCRA.SL.6, CCRA.SL.1, CCRA.SL.2, CCRA.SL.1, CCRA.SL.2, CCRA.
Wonder What’s Next?
Are you prepared to stick it out for the long haul? Prepare yourself by loading up on carbs and drinking plenty of fluids before you hit the road. It’s possible that today’s Wonder of the Day will exhaust you.
Try It Out
- Mmmm! Are you starting to feel hungry? Take part in the following activities with a friend or family member and sink your teeth into them: Make a trip to your local food shop or supermarket with your class. What is the number of different sorts of pizza that you can find? You undoubtedly already know that pizza is one of the most popular dishes in the world, but did you understand just how widespread its popularity is? Keep an eye out for frozen foods and pasta sections where you may locate boxes of homemade pizza mix if you’re on the hunt for pizzas. However, you might be able to buy pizzas in the meat department, which is also where portable lunch-sized meals are available. In addition, you may frequently buy prepared, ready-to-eat pizzas in the deli sections of supermarkets. How many different sorts of pizzas did you come across in total?
- What toppings would you put on your ultimate pizza? Do you want some extra cheese? Pepperoni? Sausage? Onions? Peppers? Mushrooms? Take some time to plan out the perfect pizza, starting with the crust and working your way up. Do you have a preference for crust type? Is it better to be thick or thin? Fillings of cheese, herbs, and spices, or something else entirely? After that, think about the sauce you’d want to use. Do you want something hot and spicy? Is it sour or sweet? What do you think of the cheese? Is it possible to consume too much cheese? What sort of cheeses would you put on your pizza if you were making it? Mozzarella? Parmesan? Something a little more original? Finally, add your choice meats and veggies on the top of your pizza. Finished! When you’ve completed drawing the perfect pizza pie, show it to a trusted adult friend or family member and ask them to assist you in turning your vision into a handmade reality hot from the oven. Schedule time for you and your friends to bake pizza together, and then get to work.
- Have you ever been to a restaurant and watched a pizza being made? Instruct an adult friend or family member to assist you in locating a local pizzeria that would be willing to allow you to get a close-up look at the process of making pizza from scratch. Possibly, you’ll be able to provide a hand in the process, as well! There’s nothing quite like getting your hands dirty and doing everything yourself, from mixing the dough to sliding the pizza into the oven. What’s more, the finest thing is. When it’s finished, you’ll be able to sample your labor of love.
- (accessed on 25 June 2019)
- (Accessed on the 25th of June, 2019)
Please accept our thanks for the questions you sent concerning today’s Wonder subject from Kylee, Emma, Rosa mae, Gloria, and Mailee. Continue to WONDER with us! What exactly are you puzzling over?
Pizza Hut Inc
- 9111 East Douglas Boulevard Wichita, Kansas 67027, United States of America (316) 681-9000 Contact us via fax at (316) 681-9869.
- PepsiCo, Inc.
- is a wholly owned subsidiary of PepsiCo, Inc.
- The company was founded in 1959.
140,000 people work for the company.Sales totaled $5.1 billion (1996) SIC codes: 5812 eating establishments; 6794 patent owners and lessees Pizza Hut Inc.is the largest pizza restaurant corporation in the world, both in terms of the number of locations it operates and the percentage of the global pizza market share it controls.The firm, which is a part of PepsiCo, Inc., is in charge of more than 11,000 pizza restaurants and delivery locations in 90 countries throughout the world.
In October 1997, the firm anticipated becoming a subsidiary of Tricon Global Restaurants, Inc., which had been created as a result of the spin-off of PepsiCo’s restaurant operations.
- The first Pizza Hut restaurant opened its doors in Wichita, Kansas, in 1958, founded by brothers Dan and Frank Carney.
- Their mother loaned them $600 to establish their pizza shop, which they co-owned with John Bender.
- When a buddy recommended creating a pizza parlor, they felt that the concept had potential and borrowed the money from their mother to get started.
- The Carneys and Bender rented a tiny facility at 503 South Bluff in downtown Wichita and purchased secondhand equipment to cook pizzas before launching the world’s first Pizza Hut restaurant.
On opening night, they handed out pizza to generate interest among the local population.The next year, in 1959, Pizza Hut was officially established in Kansas, and Dick Hassur built the company’s first franchise location in Topeka, Kansas.When Pizza Hut began to expand in the early 1960s, it did so largely as a result of strong marketing of the pizza restaurant concept.In 1962, the Carney brothers purchased Bender’s remaining shareholding in the corporation, and Robert Chisholm joined the company as treasurer as a result.
In 1966, when the number of Pizza Hut franchise units had increased to 145, a home office was formed in Wichita, Kansas, to oversee the operations of the various locations.The first Pizza Hut franchise in Canada opened its doors two years later, in 1989.As a result, the International Pizza Hut Franchise Holders Association was established shortly after (IPHFHA).It hoped to acquire 40 percent of the firm’s franchise operations, or 120 shops, and incorporate them into the existing six Pizza Hut locations that were controlled entirely by the corporation.The purchases, on the other hand, caused havoc inside the organization.After the prior franchise owners’ accounting systems were combined into one operating system, it took an additional eight months to finish the process.
In the meanwhile, sales have stagnated and profitability have plummeted.
Turmoil Brings New Structure in Early 1970s
- As of the beginning of 1970, Frank Carney determined that the company’s habit of relying on information from its annual report to influence its business strategy was insufficient, and that a more comprehensive, long-term business plan was required.
- With the company’s initial public offering (IPO), Pizza Hut saw remarkable growth and began expanding internationally.
- When asked about losing control of the operations in 1972, Carney responded, ″We were really close.″ It was only after this realization that we realized that we needed to learn to plan.″ After extensive engagement and boardroom deliberation, Pizza Hut developed its corporate plan in 1972, which was implemented.
- Carney would subsequently note that the process of establishing a management structure played a significant role in convincing PepsiCo, Inc.
that the pizza restaurant was a good fit for their acquisition strategy.Sales and profit growth for the chain were the top priorities of the company plan.The second aim was to continue to develop a strong financial foundation for the firm in order to be able to provide appropriate finance for expansion.In addition, the plan aimed for the addition of new restaurants to the network in expanding and developing regions.
It wasn’t until 1970 that Pizza Hut launched its first locations in Germany and Australia: in Munich and Sydney, respectively.Tennessee’s Nashville became home to The Hard Rock Cafe’s 500th restaurant that same year.Additionally, an 80 percent share in Ready Italy, a frozen crust manufacturer, was purchased in the same year as a joint venture between Sunflower Beef and Sunflower Food Processors.Sandwiches were introduced to the ″Thin n Crispy″ pizza option on the menus of all locations in the same year.The year 1971 was the year when Pizza Hut surpassed Domino’s as the world’s largest pizza company in terms of both revenue and number of locations—at the time, there were slightly over 1,000 in total.The chain was listed on the New York Stock Exchange a year later.
It has since expanded.The company also reached a one-million-dollar sales week in the United States, which was the first time this had been accomplished.Pizza Hut made its long-awaited public offering of 410,000 shares of common stock towards the end of 1972, a move that had been anticipated for months.Following the acquisition of three restaurant divisions, Taco Kid, Next Door, and The Flaming Steer, the firm extended its operations..
Aside from these acquisitions, Pizza Hut also bought Franchise Services, Inc.(a restaurant supply firm), as well as J & G Food Company, Inc.(a food and supply wholesaler).
- Another distribution center, located in Peoria, Illinois, has been added by the corporation.
- During the year 1973, Pizza Hut continued to develop by opening locations in Japan and the United Kingdom.
- The company has more than 100 restaurants outside of the United States and more than two thousand units in its franchise network three years after it was established.
- It took place in Independence, Missouri, when the company’s 2,000th restaurant was opened.
- It also set the 35 by 65 meter red-roof Pizza Hut restaurant structure as the standard size for all of its new outlets.
- Free-standing structures with a distinctive one-story brick architecture were required to meet the new construction criteria.
A total of 60 to 120 individuals may be accommodated at the various locations.During this period, advertising played an increasingly important role at Pizza Hut, helping to raise the company’s public reputation and increase its sales revenue.Several campaigns were launched in the United States on both a national and a local level.During the year 1972-1974, expenditures on local advertising climbed from $942,000 to $3,172,000.
PepsiCo Buys Out Company in 1977
- As a result of the merger with PepsiCo in 1977, Pizza Hut became a branch of the worldwide soft drink and food company.
- Sales reached $436 million in that year, and a new headquarters office in Wichita worth $10 million was dedicated to the company.
- Pizza Hut was clearly a business opportunity for PepsiCo.
- People continued to dine outside their homes, particularly as the value of convenience and price competitiveness in the fast food business grew in prominence.
There were many new competitors for Pizza Hut in the 1980s, all vying for its number one position in the pizza restaurant industry, which was then valued at more than $15 billion dollars in sales yearly in the United States alone.While the company’s primary competitors in the 1970s were regional chains such as the Dallas-based Pizza Inn, the Denver-based Shakey’s, and the Phoenix-based Village Inn and Straw Hat, fierce competition in the 1980s resulted in the entry of new players into the quick-service pizza category, including Little Caesar’s, Domino’s Pizza International, and Pizza Express.In an effort to increase its popularity, Pizza Hut released ″Pan Pizza″ in 1980 over its entire distribution network.The product, which had a thicker crust and was baked in deep pans, quickly gained popularity.
Because of the marketing resources supplied by PepsiCo, the introduction of new products to the Pizza Hut menu has been a rousing success.Examples include the introduction of ″Personal Pan Pizza″ by Pizza Hut in 1983, which provided customers with a five-minute assurance that their single-serving pizzas would be delivered fast and steaming hot.The goal was to turn a quick and economical pizza into the perfect midday meal for busy people.Another innovation to the chain’s menu would be the introduction of ″Hand-Tossed Traditional Pizza,″ which would debut in 1988.
Strong Growth in Late 1980s and Early 1990s
- Steven Reinemund was named president and chief executive officer of Pizza Hut in 1984.
- He has been with the company since since.
- He was in charge of the company at a period of unparalleled expansion.
- It was in Dallas, Texas, that Pizza Hut established its 5,000th franchise unit, and the company launched its popular home delivery service.
It had risen to nearly 25 percent of the company’s overall sales by the late 1990s, and it was the fastest-growing division.The first Pizza Hut restaurant in Moscow opened its doors in 1990.The ″Moskva,″ a pie covered with sardines, tuna, mackerel, salmon, and onion, became a popular option among Russians and established a staple at the Moscow Pizza Hut restaurant.The Moscow branch soon established itself as the highest-volume unit in the company’s global network of restaurants.
Restaurants in France, Hong Kong, Finland, and the United Kingdom came in second and third, respectively, in terms of total volume served.Other popular toppings for pizzas in nations other than the United States were sauerkraut and onion, spinach, ham, and onion, and pepperoni and mushroom.Asians and Australians seemed to particularly appreciate different curry pizzas in Hong Kong, with corned beef and Canadian bacon being popular choices.McDonald’s, the world’s largest hamburger fast food business, increased competition in the United States in 1991 when it introduced ″McPizza″ to its menu in some test locations and even offered consumers the option of ordering it to be delivered to their homes.Despite all of this effort, as well as the economic downturn that occurred in the early 1990s, Pizza Hut continued to make money.As a result of increased health consciousness and the popularity of vegetarian lifestyles, many individuals began to see pizza as a nutritional alternative to greasy fast food fare in 1991, resulting in a ten percent increase in worldwide company sales to $5.3 billion.
For example, Pizza Hut Delivery generated $1.2 billion in sales on its own in 2011, and overall Pizza Hut sales, when combined with those of PepsiCo subsidiaries Taco Bell and KFC (formerly Kentucky Fried Chicken), resulted in more than $21 billion in sales for the parent company on the restaurant and fast food side in 2011.In the early 1990s, Pizza Hut was concerned with making its restaurants more easily accessible to the public.For the convenience of consumers, drive-through units were installed, and the development of Pizza Hut Express units was underway.The Express business got its start in shopping malls, where it served clients with rapid meals at a reasonable price, made feasible by lower operational costs than other restaurants.
Since then, Pizza Hut has placed Express units in a variety of locations, including school cafeterias, sports arenas, business buildings, and major airports.As a result, atypical sites were identified as the fastest-growing area of a company’s activities throughout the first six years of the 1990s.PepsiCo’s business support of Pizza Hut includes money for the Book It!
- National Reading Incentive Program, which aimed to increase literacy rates among young people by encouraging them to read more.
- The prize for improved reading skills was a free pizza voucher redeemable at any Pizza Hut location.
- In 1992, the Book It!
- initiative reached more than 17 million kids in North America alone, and Pizza Hut received letters of support from President George H.W.
- Bush and Secretary of Education Lamar Alexander in support of the program that year.
- The end of the Cold War provided an opportunity for PepsiCo to capitalize on global change by growing Pizza Hut into new and emerging regions.
In 1991, PepsiCo operated restaurant locations in 80 countries across the world.Wayne Calloway, chairman of PepsiCo, expressed his desire to see the company’s success continue as the twenty-first century approached.″The big concern for worldwide restaurant expansion is, ‘How quickly can we get there?’″ he stated.″A gradually increasing interest in eating out and a persistent preference for convenience meals are generating an atmosphere of enthusiasm for our restaurants,″ says the company.By 1997, Pizza Hut restaurants had opened in 90 different countries.
Declining Profits in Mid-1990s
- A number of developments occurred in 1994, resulting in the company’s first fall in operational earnings in 15 years.
- The pizza industry was no longer increasing, fast food competitors were cutting costs, and corporate resources were being diverted to the development of additional locations.
- Sales at restaurants that had been open at least one year fell by six percent in 1994, amounting to a 21 percent reduction in earnings (to $295 million) for PepsiCo’s restaurant segment in the year.
- Roger A.
Enrico, formerly of PepsiCo’s beverage and snack food businesses, was appointed president of the company’s restaurant segment in 1994 in an effort to revers the company’s troubling trend.As a starting point, he aggressively promoted a new product: filled crust pizza, which is defined as pizza that has a thin ring of mozzarella folded into the edge of the dough on one side.A large advertising effort was launched to promote the new product, including television commercials in which celebrities were shown eating the crust of their pizza first, as well as print advertisements.One encouraging sign was that the company’s market share improved from 25.6 to 27 percent in 1995, revenues jumped 16 percent to $5.2 billion, and operating income increased to $414 million, an increase of 40% from the previous year.
A significant new product and two or three line expansions were planned for each year of 1996 at Pizza Hut, according to the company’s strategic strategy.This strategy was carried out the following year, when Totally New Pizzas were introduced, which had 67 percent more toppings than prior pizzas and a thicker sauce than earlier versions.The corporation set aside $50 million for the project, with a portion of the funds going toward the installation of new or better ovens.The Pizza Hut franchise contributed for 17 percent of PepsiCo’s overall sales and 13 percent of the company’s operational profits in 1996.Capital investment had a negative impact on PepsiCo’s other operations, and these profits were insufficient to compensate for this.While the parent company’s return on assets was much higher in its beverage and snack food divisions than in its restaurant division, the parent company’s return on assets was significantly lower in its restaurant division.
Pizza Hut, Taco Bell, and KFC were among the restaurants that PepsiCo merged in the late 1990s to become the company that we know today.All activities were now handled by a single senior manager, and the majority of back-office functions, such as payroll, data processing, and accounts payable, were consolidated under one department.In January 1997, the firm announced plans to spin off its restaurant sector, resulting in the formation of Tricon Global Restaurants, Inc., a publicly listed corporation that would operate independently.The official proposal, which was authorized by the PepsiCo board of directors in August 1997, provided that each shareholder of PepsiCo would receive one share of Tricon stock for every 10 shares of PepsiCo stock held by the shareholder.
Tricon was also obligated to make a one-time payout of $4.5 billion at the time of the spinoff, according to the agreement.It is anticipated that the spinoff will take place on October 6, 1997, if permitted by the Securities and Exchange Commission.″Our aim in taking these actions is to substantially sharpen PepsiCo’s focus,″ Enrico, who had ascended to the post of PepsiCo CEO, justified the decision.
- With incredible financial strength and a very promising future, our restaurant industry is well-positioned.
- Nonetheless, given the fundamentally different dynamics of restaurant operations and packaged products operations, we feel that having two completely independent management teams and corporate structures will benefit all of our companies.
- Business Week published an article by Stephanie Anderson Forest titled ″How Enrico Put the Spice Back in Pizza Hut″ on March 11, 1996, on page 72.
- David Gumpert’s How to Create a Successful Business Plan was published by Inc.
- Publishing in 1990.
- Gumpert, David, and Gumpert, David The Pizza Hut Story, published by Pizza Hut in Wichita, Kansas, in 1989.
Howard Rudnitsky’s ″Leaner Cuisine″ is available online.Forbes magazine published an article on March 27, 1995, p.43-44.Patricia Sellers wrote ″Why Pepsi Needs to Become More Like Coca-Cola,″ which appeared in Fortune magazine on March 3, 1997, pages 26-27.
The following is an update by Susan Windisch Brown: —Etan Vlessing
Frank and Dan Carney – Founding Brothers of Pizza Hut
Frank and Dan Carney, two brothers from Wichita, Kansas, created the Pizza Hut franchise network in 1958. They were the first to open a Pizza Hut location. With experience gained while working for their father, a local grocery store owner, the brothers borrowed $600 from their mother to transform a 600-square foot tavern into a pizza. Dan has stated that ″money was different back then.″
Carney Brothers Beginnings
- Both brothers had attended Wichita State University in their hometown, where they had majored in business.
- Dan studied the early triumphs of fast-food pioneers McDonald’s and Kentucky Fried Chicken, as well as the burgeoning popularity of pizza, while serving in the United States Air Force, before returning to Wichita State to complete his degree in food and beverage management.
- ″″There were no franchising classes available at the time,″ Dan recalls.
- Franchises were in reality mostly restricted to the automobile industry at the time of its inception.
Nonetheless, it provided me with the grounding I needed to start my own firm, as well as our own franchise agreement, which developed over time.Today, you may take entrepreneurship programs and a variety of other courses that will provide you with the fundamental knowledge and skills necessary to start your own firm.″ While one of his teachers advised him to focus on collective bargaining instead, Dan (who felt the subject was uninteresting) decided to write his Wichita State master’s thesis on the subject of franchising since he had accurately predicted that it would be the future of the foodservice industry.However, the professor refused to accept it, and Dan was forced to leave without a master’s degree.After a few years, he attempted to return to school to complete his master’s degree, but was informed that, because of his success, he would be better off teaching the course instead.
Naming Pizza Hut
- There are two versions of the story about how the brothers came up with the moniker ″Pizza Hut.″ One story claims that the sign they purchased only had enough for nine characters, including spaces, on the face of it.
- The second reason is that the structure they utilized, a former pub, had a shape that resembled a hut, according to former Airman Dan Carney.
- After launching their Wichita facility with second-hand equipment in 1957, they began franchising in 1959, with the first franchised store opening in Topeka, Kansas, in 1960.
- The next year, the Aggieville, Kansas Pizza Hut opened its doors, becoming the first Pizza Hut in the US to provide delivery (on a three-wheeled scooter for starters).
In 1963, Dan and Frank bought out John Bender, an Air Force comrade of Dan’s who had worked in a pizza restaurant in Indiana before joining the firm.John Bender was instrumental in the company’s success.After only ten years in business, the Carney brothers had expanded from a single store to over 300 locations, with the red roofs of the businesses serving as a brand and later a symbol.
- Pizza Hut expanded internationally in 1970, and within a year, it had surpassed Domino’s Pizza as the world’s largest pizza franchise.
- They achieved million-dollar status in the United States market in only one more year, were listed on the New York Stock Exchange, and made their first public offering of common stock in the following year.
- In 1977, the brothers sold Pizza Hut to PepsiCo, which had already acquired Kentucky Fried Chicken and would go on to acquire Taco Bell in the future.
- Despite the fact that PepsiCo has sold all three restaurants, they continue to operate under a single umbrella organization known as Yum!
Brands.Frank stayed on the Pizza Hut board of directors and served as its president until 1980.
Beyond Pizza Hut
- Dan has worked as a venture investor and is associated with the Kansas chapters of a number of charitable organizations, serving as Chairman of the Board of the Cerebral Palsy Research Foundation of Kansas among other positions.
- He also serves on the boards of directors for a number of publicly traded corporations.
- Frank persisted in the pizza industry, assisting John Schnatter in the establishment and operation of Papa John’s Pizza, and eventually becoming a Papa John’s franchisee in 1994.
- At the time of his death in 2001, Frank controlled 133 Papa John’s restaurants, which he subsequently sold to Terry Newman.
Frank has served as the president of the International Franchise Association on several occasions (IFA).Both of the brothers have also made significant contributions to Wichita State University’s scholarship funds.Frank Carney and his former wife Zenda also created an endowed scholarship in entrepreneurship at the institution, which is named in their honor.
The First Pizza Delivery
- Pizza was first delivered in 1889, according to Queen Margherita of Savoy, who is credited with initiating the tradition.
- After returning from her trip to Naples, the queen became unwell and sought real Italian food from the region to revive her.
- It was not expected of royalty at that time to go out and find the greatest meals, which meant that the food had to be provided to them.
- A pizza topped with mozzarella, basil, and tomatoes, in celebration of the Italian flag’s colors, was sent to the queen by Chef Raffaele Esposito, who answered the phone and delivered a bespoke dish to the queen.
Margherita pizza was named after Queen Margherita after she like it so much.This is still the case today!
When Did Pizza Delivery Start in the US?
- Despite the fact that Queen Margherita was the first to have a pizza delivered to her home, it took considerably longer for the habit to spread to the rest of the population.
- The pizza that American soldiers had enjoyed while serving overseas became popular after World War II, and as pizzerias grew in popularity, they began offering ″take out″ options, allowing customers to take their pies with them back to their respective homes.
- More populous places, such as New York City and Los Angeles, began offering pizza delivery services to clients in their near vicinity, and they produced the ideal-sized pizza boxes to transport their pies securely.
- It wasn’t until the 1960s that pizza delivery in the United States really began to gain popularity.
Due to the increasing availability of private automobiles in American households, restaurant owners began training their staff to serve as delivery drivers, promising that meals would be delivered in 30 minutes or less, a practice that continues today.Pizza delivery experienced its greatest growth during the late 1990s and early 2000s, when widespread internet access made it easier than ever to have hot, tasty Italian food delivered directly to your door.Salerno’s takes great satisfaction in providing Chicagoland clients with wonderful meal delivery on a daily basis, and we hope you enjoy your experience with us!
Order Pizza Delivery From Salerno’s!
- Our selection is jam-packed with everything you could possibly desire from a pizza delivery service, as well as other Italian classics like as spaghetti, entrees, and desserts!
- Because our in-house delivery staff is familiar with the neighborhoods of Chicago, Oak Park, Lyons and Bolingbrook like the back of their hands, you can expect us to show up at your door with a grin on our faces.
- Remember to take advantage of our pizza and pasta offers while you can!
Relations sour between Pizza Hut and one of its oldest operators
- Photograph courtesy of Shutterstock Years of sales declines prompted Pizza Hut to take a proactive action in 2019 to assist its franchisees by enabling them to delay mandatory remodels for a year or two, if necessary.
- Those deferrals were not available to everyone who qualified.
- According to documents filed with the court in connection with its bankruptcy case this week, NPC International was found to be ineligible for the benefits.
- As stated in a court statement listing the reasons for its Chapter 11 petition, NPC claimed that the firm was denied the opportunity to engage in a deferral program because of the Pizza Hut name.
- The bankruptcy of the NPC, situated in Leawood, Kan., indicates a worsening relationship between Pizza Hut and one of its largest and most established franchisees.
- Having lost its status as the world’s largest pizza concept to longstanding competitor Domino’s and struggling to acquire traction, NPC’s difficulties have posed a tremendous dilemma for the company.
- The court documents, on the other hand, reveal difficult negotiations between the franchisor and its franchisee that have been ongoing since last year, negotiations that have culminated in this week’s filing, which comes one day after the expiration of a forbearance agreement between the two companies.
- NPC stated in its filing that ″as the company continued to explore these and other strategic options throughout 2019, discussions with the Pizza Hut franchisor failed to gain traction while the pressures continued to mount, resulting in the company facing a substantial liquidity shortfall by early 2020.″ NPC is not your typical franchisee.
- It owns and runs more than 1,200 Pizza Hut locations, the most of which are on the East Coast and in the Midwest.
- In other words, it controls about one out of every six Pizza Hut locations, making it an extraordinarily prominent franchisee within the overall system.
- National Pizza Corporation (NPC) can trace its origins back to 1962, when it launched its first Pizza Hut franchise in Pittsburg, Kansas.
In 1994, it became known as NPC after becoming one of the company’s first franchisees.Previously, it was known as Southeast Pizza Huts and then National Pizza Company before becoming known as NPC in 1994.Over the years, it acquired and sold the Skipper’s seafood chain, as well as Tony Roma’s restaurant network.
The company opted to refocus its efforts on Pizza Huts in the early 2000s, but it only began purchasing Wendy’s units in 2013 after hitting its maximum with the pizza franchise.Currently, NPC is experiencing difficulties as a result of a toxic combination of low sales, a high debt burden, and rising food and labor prices.The company was sold to a pair of investment groups, Delaware Holdings and Eldridge Investment Group, in 2018, and a significant portion of its debt was paid off in the process.Last year, Eldridge decided to write down its stake in NPC.
″When we were deciding which companies to protect and which to defend, NPC was not one of the companies we decided to protect or defend,″ Eldridge CEO Todd Boehly said on Bloomberg TV this week.″Every now and again, we make a blunders,″ says the team.It has been some time since Pizza Hut parent firm Yum Brands has hinted to concerns with NPC without specifically naming the franchisee in question.
Previously, previous CEO Greg Creed stated, ″We’ll need to handle franchisees that are burdened with too much debt, don’t have cash, or aren’t dedicated to the long term.″ Because of NPC’s debt problems, the company has been unable to renovate more of its units in recent years, and because the company operates so many Pizza Hut locations, these issues have had an impact on the overall performance of the concept.Since its inception, NPC has operated a large number of historical ″red roof″ dine-in sites, which the franchisor has attempted to transition away from in recent years.At the same time, the franchisee didn’t hold back when it came to calling out Pizza Hut for its poor performance over the last few years.For example, since the first quarter of 2015, the chain’s same-store sales have experienced an average fall of 0.6 percent.Rival Domino’s Pizza, which has surpassed Pizza Hut to become the country’s largest pizza chain, had an average increase of 7.8 percent.
- Papa John’s averaged 0.3 percent, but if you exclude the seven-quarter period during which the company was embroiled in controversy over founder John Schnatter, the average becomes 4 percent.
- As customer behavior has shifted away from dining in and toward ordering food to go, Pizza Hut’s competitors, such as Domino’s and Papa John’s, have continued to enhance their separate models with better technology or more enticing price and product offers, according to the NPC.
- Many franchisees were unable to shift away from lower-performing and less lucrative dine-in locations, according to the report, because of ″Pizza Hut’s lack of sales growth and accompanying cash flow creation.″ Pizza Hut was also called out by the NPC for engaging in aggressive bargain marketing under previous executive teams and for operating under a ″asset-light″ business strategy.
- Because the brand relies on top-line sales to generate money, but franchisees must make a profit, this approach ″creates a mismatch of incentives between the Pizza Hut franchisor and the franchisees.″ In their statement, NPC stated that ″this mismatch has resulted in a considerable decline in store-level profitability for both the firm and other franchisees over the previous several years.″ Wendy’s is a company that NPC owns 385 locations of, and the company had more nice things to say about its connection with the company.
- NPC had planned to sell its Wendy’s business this year, but the epidemic put a halt to that plan for the time being.
- During the bankruptcy process, the company is attempting to sell that segment.
- A spokesperson for NPC stated that the firm has a ″good connection with the Wendy’s franchisee,″ which the company hopes to preserve during the Chapter 11 proceedings.
- ″The Wendy’s franchise operated by the corporation has historically fared well.″ Members make our journalism possible by contributing to it.
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Domino’s thinks it can sell pizza to Italians: world remains sceptical
- There are two types of pizza: traditional pizza and Italian pizza.
- Pizza is regarded as an institution in Italy, and it is not to be messed with.
- As a result, the announcement this week that the American pizza brand Domino’s has opened an outpost in Milan and plans to build four additional stores in the nation by the end of the year has raised a few eyebrows among Italians.
- As the Milanese newspaper Corriere della Sera puts it: ″Let’s face it: selling ice cubes to Eskimos is akin to selling ice to polar bears.″ Domino’s, on the other hand, continues to be optimistic.
- In the words of Richard Allison, president of Domino’s International, ″No big American pizza brand has ever successfully entered the market.″ ″We’re going where no major pizza brand has ever gone before,″ Allison stated.
- Considering how seriously the Italians regard their world-famous cuisine, it’s a risky move on the part of the franchise to take this step.
- An Australian colleague was threatened with death earlier this year over the best method to cook pizza, while a group of chefs recently took legal action against a McDonald’s advertisement claiming that Italian youngsters prefer hamburgers to pizza, which was later withdrawn.
- Italy is so foreign to Pizza Hut that the company has never dared to open a branch there because ″Italy does not match with our global brand story.″ Pizza Hut has a total of 11,139 locations globally.
- In an effort to win over Italian customers, Domino’s will exclusively utilize ingredients produced from within the country while making their pizzas: As a starting point, we’ve developed a new recipe based on the original pizza recipe, using Italian ingredients such as 100 percent tomato sauce and mozzarella and other specialties such as prosciutto di Parma, gorgonzola, grana padano, and mozzarella di bufala campana.
- The various sales gimmicks that Domino’s has used in different countries to help boost sales, such as the Sriracha spicy sauce pizza or ordering your meal using emoticons, have yet to be used in the United States.
- Only three items can be found in Italy and nowhere else on the planet except in Italy.
Starbucks, Domino’s, and Pizza Hut are the three establishments.— Jamese (@ItsMeseyBaby) on Twitter The 13th of March, 2014 In fact, Domino’s isn’t the first American corporation to try to market something to Italians that they themselves developed.In 2011, Ben and Jerry’s launched two ice cream shops that only lasted two years, while in 2012, Starbucks sought to ″shock Italy’s coffee culture″ by attempting to ″rock the Italian coffee culture.″ This did not sit well with the Italian public, and the coffee business now has a grand total of zero locations in the nation.
It appears that Italians have had nothing to say about the situation on social media so far, although one post on the matter on Reddit Italy was titled: ″Signs of the Apocalisse″ (signs of the Apocalypse).Meanwhile, Domino’s plans to add outlets in the Italian capital of Rome.I’m not exaggerating when I say this.— Jorie (@MmedeSevigne) on Twitter The 7th of October, 2015 When @dominos felt his pizza was good enough to be sold in Italy, he was completely wrong.
I can’t even wait to see what the Italians have to say about this craziness.— JohnathenDD (@JohnathenDD) on Twitter: &Prim