This week, Pizza Hut announced that they will be shutting down 500 of their 6,100 traditional restaurants. According to Today, this move is expected to happen over the next two years.
The news first came via Food Business News, which also reports this big change is the chain leaning into its preeminent delivery sales: “We are leaning in to accelerate the transition of our Pizza Hut U.S. asset base to truly modern delivery/carryout assets,” President and Chief Operating Officer for Yum! Brands David W. Gibbs reportedly said on a call. “This will ultimately strengthen the Pizza Hut business in the U.S. and set it up for a faster long-term growth.
Gibbs didn't confirm anything more than that Pizza Huts with lower foot traffic and sales will close.
Still, it makes sense—the way we interact and socialize around food is changing. Ordering groceries and hot meals on your phone or laptop is s0 easy, which makes the incentive to eat at home even stronger. So for businesses like Pizza Hut, a focus on delivery services is high-key necessary.
Believe it or not, the Hut is still doing pretty well this year despite this news. Their most recent earnings report revealed that sales were up two percent overall. So while you may not be able to sit down and eat a pizza (or two) at your local Pizza Hut at some point in the near future, you'll always be able to get your hands on the stuff somehow. Don't you worry.
