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EXECUTIVE SUMMARY
Pizza hut is the largest pizza Restaurant Company in the world. It has
12000 outlets in 90 countries employing more than 3 lakh people. The
legacy of pizza hut began in 1958.
In India there are not much outlets, out of 10 86 countries India is one of
them but only in 9 cities pizza hut has its outlets.
This report on pizza hut basically spins around how direct marketing is
done by pizza hut. To substantiate its efforts to strengthen its direct
marketing. This report gives an overview of the pizza industry including its
competitors that is dominos, pizza corner, and pizza express.
Followed by the overview is the history of pizza hut as in how pizza hut
started and where all it is present and what has been its progress till now.
“Survival of the fittest” has always been the punch line for all the
competitors, to follow this guideline it is important to have a plethora of
information about the competitors strategy which has also been
substantiated in the report.
The strategies and the ways by which pizza hut goes about its direct
marketing is the cream of our project which includes strategies such as
1
National pizza month, celebration online and many other promotional
schemes.
The 4 P’s of marketing …i.e.……PRODUCT, PRICE, PLACE,
PROMOTION.
To support the success of pizza hut and to identify its strengths and
weaknesses SWOT analysis has been done. To wind up the project the
findings and results based on the questionnaire is analyzed and hence
conclusions and suggestions are given.
2
PROFILE OF THE COMPANY
Pizza hut is the largest pizza restaurant company in the world. It has 12000
outlets in 90 countries; employing more than 300000 people. Pizza Hut has
an aggressive expansion plan for India. It intends to have more than 1oo
outlets by the end of the year Pizza Hut has more than 12,500 units across
90 countries making it one of the largest pizza brands. Further, all new
outlets in India would be franchisee owned resulting from the smooth
functioning of the existing stores which are all franchisee owned. Hence,
the same arrangement will be followed in the future to ensure growth-
oriented results
The data written below represent what Pizza hut is all about and gives a
brief profile of the company.
Their main quote:
"Customer are the reason that we are here."
No customers
No Pizzas
That’s the secret ingredient.
3
The 5 secret principles:
Employees are our secret ingredients.
Show your "care".
Say "yes" to customers
Satisfied, capable teams create satisfied customers.
Satisfied customers create profit and growth
PIZZA HUT IS ALL ABOUT:
Its all about you and all about customers i.e. customer creation and
customer retention through customer satisfaction, its all about team spirit,
team spirit in order to attain good results.
TELEPHONE CALLS:
The employee are not allowed to make or receive personal telephone calls
at work unless in an emergency. The restaurant has limited telephone lines,
by keeping the telephone occupied, we may be denying customer access to
us and he may call the competition instead.
THEIR TACTICS:
"Whenever anybody thinks about pizza hut we want him or her to smile
and say "yum".
4
Their tricon passion: To put a yum or peoples faces around the
world………
They also have a bell outside each store which is to be rung by customers
if they had a great time. It is a sort of good encouragement, a kind of
booster for them.
"WE SUCEED BECAUSE WE KNOW HOW TO WORK
TOGETHER”
They specify "How we work together principles"
CUSTOMER FOCUS:
They listen and respond to the voice of the customer.
BELIEF IN PEOPLE:
They believe in people, trust in positive intentions, encourage ideas from
everyone and actively develop a workforce that is diverse in style and
background.
RECOGNITION:
They find reasons to celebrate the achievements of others and fun doing it.
COACHIONG AND SUPPORT:
They coach and support each other
5
ACCOUNTABILITY:
They do what they say they are accountable, they act like owners.
EXCELLENCE:
They take pride in their work and have a passion for excellence.
POSITIVE ENERGY:
They execute with positive energy and intensity. They hate bureaucracy
and all the nonsense that comes with it.
TEAM WORK:
They practice team together and team apart.
They call themselves:-
C=Cleanliness
H=Hospitality
A=Accuracy of orders
M=Maintenance of facilities
P=Product quality
S=Speed of service
They answer questions like:
"What influences a customer decision to a restaurant?
6
Food appeal=31%
Food experience=50%
Food value=13%
CER= CHAMPS EXCELLENCE REVIEW
CEM=CUSTOMER EXPERIENCE MONITOR
"HANDLING CUSTOMERS"
Solve problem before it actually becomes a complaint.
Never argue with the customer
Never blame any other crew member
Treat the customer, as you want to be treated.
Thank the customer.
THEIR PASSION
By 2008 Pizza hut aims to have 2 million smiles a week
Smiling Investors
Smiling Employees
Smiling customers
7
RESEARCH METHODOLOGY
The research process is carried out according to a designated series of steps,
which are required to be taken in a chronological order.
Fundamental to the success of any research project is sound research design. It is
the framework or plan for a study that guides the collection and analysis of data.
The research design used for this project is exploratory in nature. The major
emphasis is on the discovery of ideas. The exploratory study is also used to
increase the analyst familiarity with the problem under investigation.
Sample Design
Target population
Those who have regularly visited in the fast-food.
Sampling unit
Delhi market is treated as sampling unit.
Sample size: 100.
8
Data Collection
Primary Data
Primary data has been collected through surveyed to the consumer.
Secondary Data
Secondary data has been collected from the company’s information brochure and
internet.
9
OBJECTIVES OF STUDY
To study how direct marketing is done by PIZZA HUT, to substantiate
its effort to strengthen its direct marketing.
To study about PIZZA HUT as a brand in India.
To know about the long and successful history of PIZZA HUT.
To study the working and functioning of PIZZA HUT in India and the world.
To study the taste and preferences of customers of PIZZA HUT.
To study PIZZA HUT’S and competitor’s strategies.
To give recommendations and suggestions thereof.
10
SCOPE OF STUDY
The subject matter has been arranged in a Systematic manner, providing all the
details and Explanations needed.
Every effort has been taken by to make the Project report complete in itself.
This report has been prepared after an in - depth Study of the company’s
main areas.
This report has been divided into sections and sub sections for a better
understanding.
11
TYPE OF DATA COLLECTED
A) DATA COLLECTION
1) PRIMARY SOURCE –
RETAILERS
CONSUMERS
DISTRIBUTORS
2) SECONDARY SOURCE –
WEBSITES
MAGAZINES AND NEWSPAPERS
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RESEARCH TACTICS
QUESTIONNAIRE
PERSONAL DISCUSSION AND INTERVIEW
STATISTICAL AND PRESENTATIONS TOOLS USED
PIE DIAGRAM
BAR GRAPH
13
OVERVIEW OF THE PIZZA INDUSTRY IN INDIA
INTRODUCTION
In India nowadays so many fast food joints are opened and people are
turning more towards the pizzas and they try to go to the best pizza parlor
opened in their area of living.
There are many different companies, which have come up the major
players in this category are:
PIZZA HUT
DOMINO’S PIZZA
PIZZA CORNER
PIZZA HUT
Tricon global; restaurants which owns the Pizza hut Franchisee has become
very very popular in India in the Indian Pizza Market. The first Pizza
Restaurant was opened in 1958 in Wichita, Kansas under the name Pizza
hut and features a variety of pizzas with different toppings as well as pasta,
salads, sandwiches and other food chains. For the last ten years Pizza hut
was named as the world’s best pizza chain in America and in India also it
14
has captures most of the market share. Pizza hut is the largest pizza
restaurant company in the world. It has 12,000 outlets in the 90 countries,
employing more than 300,000 people. Pizza Hut has an aggressive
expansion plan for India. Pizza Hut will consolidate its presence in cities
where it already exists as an endeavor to create a major share of these
profitable markets first before spreading to other markets.
Pizza Hut has more than 12000 units across 90 countries making it one of
the largest pizza brands. Further, all new outlets in India would be
franchisee owned resulting from the smooth functioning of the existing
stores, which are all franchisee, owned. Hence, the same arrangement will
be followed in the future to ensure growth-oriented results. Pizza huts
have 19 stores across 10 cities including Mumbai, Delhi, Bangalore,
Chennai, Ahmadabad, Hyderabad, Pune, Chandigarh, Agra and Jaipur.
By the end of this year we will scale it up to 35 stores. In Mumbai alone
we plan to have five stores by the end of the year they want to become the
most preferred pizza brand by offering great tasting pizzas for all the usage
occasions at our place (table service) as well as yours (home service)
15
DOMINO’S PIZZA
This company started in the year 1960, Tom Monaghan and Brother James
purchased "Dominick’s" a pizza store in Ypsilanti, Michigan. Monaghan
borrowed $500 to buy the store. Then in the year 1961 James traded half of
his business to Tom for a Volkswagen Beetle. Then in the year 1965 Tom
Monaghan became the sole owner of company, and renamed the business
"Domino's Pizza, Inc." In the year 1967 the first Domino's Pizza
franchise store opened in Ypsilanti, Michigan.
The 200th Domino's store opened in the year 1978, then in the year 1980
Domino's first international store opened in Winnipeg Canada.
The 1,000th Domino's store opened . In 2000 Domino's Pizza International
opened its 2000th store outside the United States.
There are many outlets opened in India also and it is specializing in the
home delivery they have less of sitting arrangement and more of home
delivery.
In December 1998, investors, including funds managed by Bain Capital Inc, a
leading private equity investment firm, together with management and others,
acquired a 93% stake in the Company, which was formerly owned by founder,
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Domino's is the largest privately-held restaurant chain, and the eighth largest
of all restaurant chains in the world. Domino's Pizza offers Crunchy Thin
Crust, Ultimate Deep Dish and Classic Hand tossed pizzas with a number of
regional toppings. Side items include Domino's Bread Sticks, Double Cheesy
Bread, CinnaStix and Buffalo wings.
Beverages consist of icy cold Coca-Cola products Domino's Pizza
operates a network of 6,977 owned and franchised stores in the United
States and 64 international markets.
Over 120,000 associates are employed by Domino's around the globe.
15,000 of those are corporate employees, of which 550 work at the
worldwide headquarters in Ann Arbor, Michigan.
Domino's Pizza, founded in 1960, is the recognized world leader in pizza
delivery. Domino's Pizza operates a network of company-owned and
franchise-owned stores in the United States and international markets. But
Domino's isn't just about delivering; it's also about giving back to the
community. Domino's Pizza believes that an essential component of its
corporate responsibility is to provide support to charitable organizations
that benefit the communities where our employees and customers work and
live .
17
Headquartered in Ann Arbor, Michigan, Domino's is committed to supporting
initiatives and causes in its hometown while also participating in national programs
that align with our vision, guiding principles and strategic focus.
18
HISTORY OF PIZZA HUT
Pizza hut’s story began with a small restaurant and two young brothers-
Dan and Frank Carney. In the year 1958 they were struck by inspiration
and opened the first Pizza hut in Wichita, Kansas, USA.
When they were setting up, they only had room for 25 seats- and the
restaurant sign only had space for nine letters. They wanted “pizza” in the
name, which left space for just 3 more letters. Because the building looked
like hut----- Pizza hut started.
Now Pizza hut is the largest pizza Restaurant Company in the world. It has
12,000 outlets in the 90 countries, employing more than 300,000 people.
The first pizza hut restaurant was opened in 1958 in Wichita , Kansas
and within a year the first franchise unit was open.
By 1977 when Pizza hut was acquired by Pepsi co its US restaurant
system had grown to nearly 3200 units today Pizza hut is the largest
restaurant chain in the world. Specializing in the sale of ready to eat
Pizza products as of year-end 1996 concept had grown to more than 12300
units.
For ten of the last 12 years, Pizza hut was named best pizza hut chain in
America in the “Choice in chains” national consumer survey published
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annually by restaurants & Institutions magazine . Also, the January 1997
Consumer reports named Pizza hut as the best Pizza chain in America and
now it has opened.
With every occasion Pizza hut adapts its ambience and decoration with
a different concept, like wise in India on the Independence day they
decorate their outlets with all national colors and logos etc, and on the
valentines day for example they take out their pizza in heart shape to
attract more of young customers which get more attracted towards
these things.
1977:
Pizza Hut, Inc. stockholders overwhelmingly approve merger with
PepsiCo, Inc. for an undisclosed sum. Super Supreme is introduced
nationwide. Pizza Hut opens its 3,000th unit in Arlington, Texas.
1979:
The Sicilian Pan Pizza is introduced. Units open in Kuwait and Abu Dhabi.
Pizza Hut raises $342,000 for Easter Seals from national promotion.
1980:
Pan Pizza is introduced throughout the system. Restaurant number 4,000
opens.
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1982:
The Pizza Hut ET glass promotion is picked as the top marketing
promotion of 1982 by the editorial staff of Chain Marketing and
Management. Pizza Hut serves one and a half million pounds of pasta
annually.
1983:
Personal Pan Pizza®, with a five-minute guarantee, is introduced
throughout the system. Pizza Hut celebrates 25th anniversary. Pizza Hut
employs 10,000 teenagers from 16 to 19 years old.
1984:
BOOK IT! ® National reading incentive program is launched with 200,000
elementary students enrolled. There are more pizza locations than
hamburger restaurants in the United States. Pizzerias account for 9.9% of
all restaurants in the U.S.
1985:
Priazzo® and Calizza® are introduced.
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1986:
The system celebrates the opening of its 5,000th restaurant, located in
Dallas, Texas. Delivery service, as a new concept, is initiated. Fastest
construction of a Pizza Hut restaurant takes place in Wichita, KS --- 39
days from start to finish. The national average is 85 days.
1988:
Hand-Tossed Traditional Pizza is introduced throughout the system. Pizza
Hut celebrates its 30th anniversary with a total of more than 6,000
restaurants and delivery units worldwide. President Ronald Reagan awards
Private Initiative Citation to Pizza Hut President Art Gunther for the
creation of BOOK IT!® Program.
1989:
The Pizza Hut Jobs Plus® program expands nationwide to employ more
than 10,000 individuals with physical and developmental disabilities. The
Jobs Plus program is recognized as the largest corporate initiative of its
kind in the food service industry. Pizza Hut opens its 1,000th international
unit in Well and, Ontario, Canada. Pizza Hut now serves 54 countries.
Pizza Hut sells 9.1 million "Land before Time" puppets. When released to
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the public, the movie enjoyed the largest opening ever for an animated
feature.
For the first time in history, Pizza Hut pizza is delivered to the White
House. First Lady Barbara Bush throws a party for 200 Washington, D.C.
children during a "Reading is Fundamental" reception.
1990:
Pizza Hut system sales reach $4 billion.
Pizza Hut delivers more than 1,340,000 pizzas on Super Bowl Sunday,
about 7,000 pies a minute.
Kamran Atri, assistant manager in Lees berg, VA serves his way into the
Guinness Book of World Records by waiting tables at the Lees berg, VA
Pizza Hut restaurant for 136 hours, donating $1,200 in tips to the Loudoun
County Shelter for Abused Women & Children.
More than 4,000 Jobs Plus employees work for Pizza Hut.
Personal Pan Pizza® becomes available at 1,000 Stop 'N Go convenience
stores.
1992:
Lunch buffet introduced in 1,800 units.
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Pizza Hut sets up two mobile hot trailers in Florida City and Gould’s, FL
after Hurricane Andrew wreaks havoc. Pizza Hut provides 120,000 free
meals to relief volunteers and those who lost their homes. Pizza boxes
redesigned to save 275,000 trees a year.
1993:
Pizza Hut introduces BIGFOOT™ Pizza -- two square feet of pizza cut into
21 slices.
The Harvest Program is launched nationwide to donate surplus food to
food rescue agencies.
Pizza Hut makes its fastest and farthest delivery: 600 large pepperoni
pizzas on a 24-hour flight from Dover Air Force Base to U.S. service
personnel in Mogadishu, Somalia.
Pizza Hut leads the entire restaurant industry in growth and sets new
company records for sales and profits.
Pizza Hut introduces Chunky Style Pizza in September.
Pizza Hut signs contract with 30 hotel companies throughout the country to
provide delivery service to their registered guests.
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1994:
Pizza Hut becomes the single largest retailer of basketballs in the United
States, selling 3.7 million balls during its NCAA® Final Four® promotion.
Pizza Hut opens 9,700 square foot Super Pizza Hut® restaurant and
entertainment center in Mexico City.
Pizza Hut in Beirut reopens after being closed during the Gulf War.
Soccer legend Pele kicks a ball through the door of Pizza Hut® restaurant
number 10,000 in Sao Paulo, Brazil on April 13.
1995:
Pizza Hut launches the "You'll Love the Stuff we’re Made Of"® campaign.
Two Customer Satisfaction programs initiated: a 1-800 Customer
Satisfaction Hotline and a Customer Call-Back Program, which takes
the pulse of 50,000 customers per week.
Pizza Hut launches Pizzeria Stuffed Crust Pizza, which immediately sets
company sales records.
Pizza Hut wins the 1995 "Choice of Chains" award for Best Pizza Chain
sponsored annually by Restaurants & Institutions magazine, making
Pizza Hut the "Best Pizza Chain" ten of the last eleven years.
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1997:
Pizza Hut launches a meatier pepperoni. PepsiCo announces restaurant spin-off.
Pizza Hut launches "Totally New Pizzas" a quality initiative putting sliced, fresh
vegetables and meaty meats on pizzas.
1998:
Pizza Hut celebrates 40 years of making and serving great pizza.
Pizza Hut launches "The Sicilian Pizza" a flavorful crust with garlic, basil
and oregano baked right into the crust.
Pizza Hut launches "The Best Pizzas Under One Roof™" campaign.
1999:
Pizza hut launches The Big New Yorker Pizza. A 16 inch pizza with a
sweeter, savory sauce, 100% real cheese cut into 8 big foldable slices.
2000:
In July 2000, Pizza Hut became the first company in history to place its
logo on the world’s largest proton rocket.
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2001:
Pizza Hut introduced Twisted Crust™ pizza - Twisted Crust pizza boasted
a revolutionary breadstick crust that surrounded a hot, delicious Pizza Hut
Pizza.
Pizza Hut became the first company in history to deliver pizza to the
pioneers living in outer space on the International Space Station (ISS).
The creation and delivery of the world’s first space-consumable pizza was
the culmination of nearly a year of collaboration between Pizza Hut and
Russian food scientists.
2002:
Tricon Global becomes YUM! Brands.
2003:
5oo restaurants are how open throughout the UK, employing over 20,000
people.
2004:
Pizza Hut launches The Big New Yorker.
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2005:
The 4 for ALL is launched. Over 600 restaurants now open in the UK
70 of them are Franchise units.
2006:
White bread sells their share of the joint venture to Yum! Brands Inc. Pizza Hut
UK Ltd is now 100% owned by Yum! Cheesy Bites is launched! 697 Restaurants
now in the UK! 154 stores are franchise owned by 61 franchisees.
28
PRODUCT PROFILE
An advertisement for Pizza Hut's Pan Pizza
The most commonly sold food at the restaurants is the "Pan Pizza”, which
usually comes in four different sizes including Personal Pan (which is an
individual serving), Small, Medium, and Large, although some stores have done
away with the small size. They come in a variety of toppings, including “specialty"
styles. Pan Pizza has a thicker crust than most other commercially available pizzas.
Unlike most of Pizza Hut's competitors (such as Domino's deep dish or Papa
John's Perfect Pan), Pizza Hut does not charge extra For toppings.. In addition to
the Pan Pizza, Pizza Hut also sells "Stuffed Crust (with the outermost edge
wrapped around a coil of mozzarella cheese); "Hand-Tossed" (which is more like
traditional pizzeria crusts); "Thin 'N Crispy “ (a thin and crispy dough which
was the original crust); "Bigfoot", which is a two – foot by one - foot square
29
cut pizza; and the Dippin' Strips pizza, which is similar to a Sicilian pizza
but is cut into small strips that can be into a number of sauces. Another is the
"Edge" Pizza.
Where the pizza is baked with no puffy crust, and the toppings reach nearly to the
edge of the pie. Pizza Hut has experimented with new products frequently. Less
successful ones have been discontinued. These include Chicago Dish Pizza and
Sicilian pizza; the Sicilian Pizza made a 2006 comeback as the Lasagnas Pizza.
Other products Pizza Hut has are the "P'zone", Pizza Hut's version of the
calzone; the "Cheesy Bites", similar to the "Stuffed Crust"
Pizza Hut also has a number of side dishes including bread sticks, cheese sticks,
cinnamon sticks, mozzarella sticks, onion rings, hot and mild chicken wings,
boneless wings, chicken munchers, jalapeño poppers, and garlic bread. Depending
on the size, Pizza Huts also may offer pasta dinners such as Spaghetti and
Cavatina - a mixture of Cavatelli (shells), Rotini and Rotelle (wheels). They
often come with a side of garlic bread. Some Pizza Huts also serve lunch and
dinner buffets with numerous types of pizza, breadsticks and pastas, as well as a
bar. A new, upscale concept was unveiled in 2005, called “Pizza Hut Italian
Bistro”.
30
MARKET SHARE AND SALES FIGURE OF PIZZA
HUT AND COMPETITORS
MARKET SHARE
The division of YUM! Brands operates the world's #1 pizza chain with more
Than 12,600 outlets in more than 90 countries worldwide. Part of the largest
restaurant chain in the world
Over 20,000 franchises around the world
Brand leader in the UK
Innovative range of pizzas under one roof
Yum! on expansion drive
Nine years after opening its first outlet in India, Yum! Restaurants is planning add
36 outlets this year to the 98 Pizza Huts and six Kentucky Fried Chicken KFC)
restaurants already operational across India. With this expansion drive (, Pizza Hut
outlets will spread across 33 cities; while KFC will open in Kolkata and Hyderabad
after having opened in Pune recently. Yum! Is also planning to expand into
markets like Sri Lanka, Mauritius and Bangladesh. At present the restaurant chain
has 20 outlets in Sri Lanka, 15 in Mauritius and has opened the first one in
Bangladesh.
31
SALES FIGURE
Key numbers for fiscal year ending December, 2007:
Sales: $26.0M
Pizza Hut is the largest pizza purveyor in the world, with 12,583 total restaurants
and combination delivery/takeout units in 90 countries; 6,590 units are
company-owned. Pizza Hut in sales in 1996 generated approximately £4.7
billion. (Chain STORE GUIDE) Domino's Pizza is the world leader in
delivery, with 5,500 stores in 46 international markets .Domino's reached £2.8
billion in sales in 1996 Papa John's is considered the fastest growing franchise in
the USA, with 1,160 units generating £383 million in sales in 1996. Store
Guide.) Of 31,386 pizza franchise units in the United States, roughly 83 percent
(24,381 stores) offer delivery, 91% offer takeout, and 51% offer dine-in
service.
Each year, thousands of people involved in the pizza industry attend Pizza Expo,
the world's largest pizza-only trade show. Pizza Expo is held each year in Las
Vegas, Nevada.
32
MARKETING STRATEGIES- 4 P’S
Marketing is indeed an ancient art. It has been practiced in one form or the
other since the days of Adam and Eve. Its convergence as a management
discipline, however, is of relatively recent origin. And within this relatively
short period, it has gained a great deal of importance and stature. In
fact, today most management thinkers and practitioners of the world, regard
marketing as the most important of all management functions in each and
every business.
The marketing strategies adopted by the pizza hut as been highly
competitive and has enable the company to keep a firm grip on the battle
ground and fight competition and retain its market share and profits
thereafter. In the following paragraphs I shall discuss the marketing
strategies adopted by the company at various levels. My findings are
dispersed into 4 P’s of marketing mix, i.e.
33
PRODUCT, PRICE, PLACE AND PROMOTION.
PRODUCT STRATEGY
Pizza hut is a powerful and strong brand that is popular for making pizzas
and appetizers which has been of high standards and is approved by various
authorities.
The research and development department of the company constantly rolls
out new and sturdy versions of product. It has proved as a backbone to the
companies’ strong existence in the market.
With the growing global competition, the keyword for industry lies within
CUSTOMER SATISFACTION.
A revolutionary twisted crust pizza: - the year 2002 saw pizza hut
introduce a new twisted crust pizza ‘palat ke khao’ the catch line says
implying that the pizza crust is filled with cheese and tempts the customer
to eat its background s. this is a revolutionary concept and is expected to
go a long way in increasing the popularity of Pizza hut.
Special Pizzas for other occasions.
Pizza hut also offers special pizzas for occasions such as Diwali,
Independence Day, Republic Day, Rakshabandhan etc. During Diwali time
34
they offer a special “Pan-Pizza” and on Valentine’s Day they provide
“Heart shaped pizza”. Special prizes & gifts are given to customers on
“Christmas”
Navratri special Pizzas
The special veg. pizzas offered by Pizza hut during the Navratri week has
gained a lot of popularity .There is great demand for the family size pizza
7 special sauces which are made without garlic & onion during the Navrats
In addition to this there are various delicious verities of pizzas and fast
food offered by PIZZA HUT.
Featured items
Now stuffed with even more delicious, melted cheese in the crust, making your last
bite as good as the first!
Double Deep Pizzas are hand-crafted by loading the entire pizza with twice the
toppings of a medium pizza,. Choose from three great recipes: Supreme Deep,
Meaty Deep, and Veggie Deep.
35
SPECIALITIES
Your choice of two fresh toppings smothered in mounds of cheese.
Has six kinds of meat: pepperoni, Italian sausage, ham, bacon, beef and pork
toppings.
Loaded with two layers of pepperoni and two layers of cheese.
Fresh mushrooms, red onions, green peppers, tomatoes and black olives make this
a veggie-fan's favorite.
Our signature blends of pepperoni, beef and pork toppings, green peppers, red
onions, and mushrooms.
SIGNATURE CRUSTS
Our pizzeria-style pizza is now made with a light flavorful new crust and more of
our zesty Italian sauce in every bite.
36
America's favorite thick-crust pizza -- crispy on the outside, soft and chewy on the
inside.
America's favorite thick-crust pizza -- in a smaller, single-serving size.
Now stuffed with even more delicious, melted cheese in the crust, making your last
bite as good as the first!
Just enough crispy crust to get a mouthful of toppings in every bite.
A not-too-thick, not-too-thin crust -- 16 inches of golden brown perfection.
37
PROMOTIONAL SCHEMES OF PIZZAHUT
PROMOTION
PIZZA HUT USES SEVERAL TYPES OF TECHNIQUES FOR
ADVERTISING THEIR PRODUCT
Pizzas- Just a phone call away: An important promotional strategy of
Pizza Hut is free home delivery of Pizzas. Pizza hut promises to deliver
pizzas in 30 min or offers free pizzas if order doesn’t reach on time
DIRECT MARKETING OF PIZZA HUT
Direct marketing of Pizza hut is basically done after collecting the
Database, when they have the database then they do the following things
which are as follows:
When a database is collected pizza hut does an analysis to know how
often people in their database call them. Those customers who are
enrolled in the executive category that is who calling the maximum
number of times in a month are given preference over the others as far
as their incentives and schemes are concerned.
38
Pizza hut takes a very special care for their regular and frequent
customers by personally giving them a telephone call to tell them about
their new offers.
The customer’s names, which have been listed in the database and have
not ordered for a long time, are contacted personally to check on the
satisfaction level of the customers.
Pizza hut tries to establish an individual relationship with each of its
customers.
Pizza hut publicizes its new offerings by putting leaflets in the
newspaper so that they can reach to their target audience.
On special occasions like diwali they offer schemes like free personal
pan pizza with an order of a medium pan pizza. On valentine a special
heart shaped pizza is offered.
1. Whenever a customers call up pizza hut the employees first ask if they
have ever ordered the pizza before if not then they ask for customer
information like name, age, address etc
2. Pizza hut manages it database very well. They keep verifying their data
against the original source by spotting mistakes and correcting them
39
Every Christmas their database cranks out a list of their best customers
for personally signed cards
DELIVERY
The company lays great emphasis of timely delivery of the products..
Progress is reviewed very frequently. Top management takes active
interest in executing orders in time.
The research also revealed data that 37% of the people of Ahmadabad
prefer Jain meals (Jain food is not only vegetarian but devoid of roots and
bulbs like onions, garlic, ginger, potatoes.) Therefore keeping this in
mind, the restaurant will offer a choice of six Jain pizzas, Jain French
bread, baked fresh with special herbs and a pre-mixed peanut celery
pineapple salad.
Pizza Hut has taken care to make special sauces which do not contain any
garlic or onion.
40
SWOT ANALYSIS
STRENGTHS
It promises to deliver the pizzas in 30 minutes or offers free pizzas if
order doesn’t reach on time, where as its competitors promise to deliver
the pizzas in 39 minutes.
The way in which they do up their ambience, the atmosphere, the sitting
area, the way in which
They greet the customers and the way they sing and make everyone have
fun on occasions.
A contemporary design split level seating, high ceiling and aesthetic
pizza hut murals.
Pizza hut was the first to start online pizza delivery in San Francisco,
which still hasn’t been started by any of its competitors.
Variety is the main strength they possess. They offer pastas, spaghetti,
garlic bread etc.
They are known to modify their menu and ambience according to
occasions. e.g., they offer heart shaped pizzas on Valentines Day.
Pizza hut promotion schemes: DALLAS- national pizza month, which
was first time, celebrated by pizza hut. Their mission statement is
UNBEATABLE PIZZAS AT UNBELIEVABLE PRICES.
When you call and order, they focus on cross selling and up selling i.e.:
suggesting new pasta dish to pizza lovers.
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They build a training system that tracks user data and transfers it via the
Internet to document user skill set and needs analysis for any employee
that might need improvement.
They offer 40% more ingredients per pizza than competitor.
They have managed a perfect indianization of Italian dishes like chicken
tikka etc.
WEAKNESSES:
Its focus on the delivery concept is not much as compared to its
competitor.
Their variety as far as pastas and spaghetti are concerned are not much
as compared to pizza express and pizza corner.
The prices at pizza hut are comparatively more expensive than dominos.
The pizza hut ad “aaa she doesn’t like pizzas” has down rated their
salads just to prove their pizzas superior and they have shown that their
salads are not good, “this is a major weakness in their Advertisement.
One of the weaknesses of pizza hut is lack of efficient cold chains in the
country. The company surmounted this problem, by reducing the
dependency on cold chains besides setting up its own infrastructure.
OPPORTUNITIES :
The first ad campaign on TV defines pizza hut as a brand and what it
offers to its existing and potential customers. In future, focus will be on
other facets of the brand and offerings.
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It could start on line delivery in India and other countries like it has
started in the U.S.
It could open more outlets in shopping malls, airports, railway stations
etc.
Mumbai is an important center, which has still not been tapped by pizza
hut. This city has a potential for 30 outlets.
To open an outlet in those areas where the competitors have opened,
like dominos in Agra etc.
THREATS:
Amul has come up with a 30 rupees pizza, which is a big threat to pizza
hut at least in the short run if not in the long run.
Variety in pizza express and pizza corner as far as pastas, spaghettis etc.
are concerned is much much more, and this has been checked by us by
looking at their menu cards.
Dominos offers “CHEESE WALA HUNGER” a regular hand toast pizza
for rupees 39.
As mentioned earlier also they have downgraded their salads which
itself becomes a threat to their salads available.
Pizza corner has a backing of icici venture. It has hired world-class
consultants to scrutinize its pizzas. They have an equity base of which
icici holds 33%
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FINDINGS AND ANALYSIS
CONSUMER PREFERNCE ON FAST FOODS
People prefer pizzas to burgers, hotdog, sandwich or any other fast food.
Market for pizzas is growing, so there would be tougher competition.
Great opportunity for pizza hut to capture the growing market.
BRAND AWARENESS
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Pizza hut is a very well known brand.
Domino’s is a good competitor.
Pizza hut has to take care of other growing brands too. It
has to maintain that recognition.
CUSTOMER PREFERNCE ON BRANDS
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Pizza hut and domino’s both are equally prefered.
Pizza hut has to work harder to achieve the 1 position
and maintain that because it has got tough competition from domino’s
and some other upcoming brands.
ARE PIZZAS CONSIDERED HEALTHY?
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Pizza’s aren’t considered healthy by majority people.
Pizza hut should consider making food varieties that are more
healthy from the nutrition point of view
BEST AMBIENCE AND HOSPITALITY
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As far as the ambience and hospitality is concerned, pizza hut and
domino’s both take the lead.
Only 20% of the people prefer pizza corner.
BEST ON- TIME DELIVERY
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Domino’s has a better stand where on time delivery is concerned.
Pizza hut should work hard on its delivery.
BETTER VARITIES AND RANGE
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People prefer pizza Hut when it comes to offering more varieties and
ranges (both veg and non veg).
Pizza hut should continue experimenting with its varieties.
BEST ATTIRE
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Pizza Hut should try and design some trendy, funkier clothes as dress code.
Many youngsters do notice this and relate to this.
LIMITATIONS
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In case of primary source, sometimes it was difficult to contact or
meet the professionals due to their busy work schedules.
The company officials were reluctant to give exact pricing
policies adopted by them.
They were hesitant about giving details about their marketing strategies
and money invested in advertisements.
Personally contacting the employees was difficult, it involved
time.
Online searching for information’s or magazines also wasn’t very
satisfactory.
Environment is very dynamic; the information collected from
secondary sources, though valuable wasn’t extremely useful as the
market undergoes constant changes.
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CONCLUSIONS AND SUGGESTIONS
WE CAN CONCLUDE:-
Market for pizza is growing tremendously. Though pizza hut owns a good
share but it faces extremely tough competition from domino’s.
SUGGESTIONS :-
Pizza hut should improve on developing products for all age groups
instead of concentrating on only young crowd.
Pizza hut should also concentrate on areas like appetizers. Domino’s leads in
this segment.
They should improve on its delivery and promotional tactics. Domino’s is
doing well in this area too.
They should use better known celebrities as brand ambassadors, who can
relate well with the middle class.
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BIBLIOGRAPHY
BOOKS REFERRED:-
Marketing Management – Philip Kotler
Marketing Management - C.B. Gupta
MAGAZINES REFERRED :-
Business Today
Outlook
Business World
INTERNET SITES:-
www.google.com
www.answers.com
www.hovers.com
www.knowledgestorm.com
www.pizzhut.com
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ANNEXURE
QUESTIONNAIRE FOR CONSUMERS
1) Name: - ………………………
2) Sex :- ……….Male ……………Female
3) Age:-…………………….
4) Occupation:-…………………..
5) Income group :-
……..10000-15000 ……15000-20000
……..20000-25000 …….above 25000
Q1. Which one of them do you prefer?
a) Pizza c) sandwich
b) Burger d) any other
Q2. Which of these brands are known to you?
a) Pizza Hut c) Pizza corner
b) Domino’s d) papa John’s
Q3. Which one of them do you prefer the most?
a) Pizza Hut c) Pizza corner
b) Domino’s d) papa John’s
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Q4. Do you consider pizza’s as a healthy food product?
a) Yes c) Can’t Say
b) No
Q5. Whose ambience, hospitality do you find the most comforting and attractive?
a) Pizza Hut c) Any other
b) Domino’s
Q6. Who has the fastest delivery on time?
a) Pizza Hut c) Any other
b) Domino’s
Q7. Which one of them has better and attractive offers?
a) Domino’s c) Pizza corner
b) Pizza Hut
Q8. Which one has a better variety, offers a better range of products (both veg and
non veg)?
a) Papa John’s c) Domino’s
b) Pizza Hut
Q9. Which is ore affordable and offers value for price?
a) Domino’s c) Pizza Hut
b) Pizza corner
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Q10. Whose attire does you like the most?
a) Domino’s c) papa John’s
b) Pizza hut
Only for pizza hut consumers:-
Q11. Do you have to wait for long after you place your order at pizza hut?
a) yes, every time c) sometimes
b) no, never
Q12. Do you find the veg or non veg pizzas better?
a) Veg c) both
b) non veg
Q13. How do you find the décor of pizza hut?
a) Beautiful c) Poor
b) average
Q14. Have you ever attended any party organized by pizza hut?
a) Yes
b) no
Q15. If yes, how did you find it?
a) Excellent c) boring
b) Average
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Q16. What would you rate pizza hut out of 10?
a) below 5 c) above 8
b) between 5 and 8
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