In the name of Allah the most gracious and the

most merciful
 RETAIL PROJECT
ON
PIZZA HUT

GROUP MEMBERS:-

1) NASEER AHMAD BODLA 9311

2) BAKHTIAT KHAN 9304
3) AMTIAZ HUSSAIN 9319
4) JHANGEER HAIDER 9324
5) SHAFIQUE AKRAM 9334
 CONTENTS

1) INTRODUCTION………………………………………..
1

……………………………. Vision
2

………… Mission statement

2) ……………………………. Pizza hut in Pakistan 4
3) …………………………….5

4) ………………………………….6

5)…………………………………7
6)………………………...8

7) …………………………………………..9

10) …………………………..10
 INTRODUCTION
Pizza Hut is one of the flagship brands of Yum! Restaurant Int. which also has KFC, Taco Bell, A&W and

Long John Silver’s under its umbrella. It is the world’s largest pizza chain with over 12,500 restaurants

across 91 countries.

Pizza Hut was started in 1958, by two brothers Frank and Dan Carney in Wichita, Kansas. They had the

idea to open a pizza parlor. They borrowed $600 from their mother, and opened the very first Pizza Hut. In

1959, the first franchise unit opened in Topeka, Kansas. Almost ten years later, Pizza Hut was serving one

million customers a week in their 310 locations. In 1970, Pizza Hut was put on the New York Stock

Exchange under the ticker symbol PIZ.

In 1986, Pizza Hut introduced delivery service, something no other restaurant was doing. By the 1990's

Pizza Hut sales had reached $4 billion worldwide. In 1998, Pizza Hut celebrated their 40th anniversary, and

launched their famous campaign "The Best Pizzas Under One Roof." In 1996, Pizza Hut sales in the United

States were over $5 million.

The first Indian outlet was opened in June 1996 in Bangalore. In India, Pizza Hut has 139 restaurants across

36 cities. Pizza Hut has been voted the “best family restaurant” for the second year running at the 2007

Tommy’s Parent Friendly Awards. "Pizza Hut is known for quality, innovation and category leadership.
 Vision
 To make the people know that for all the eating items they desire to eat
can be made available in minimum time without our effort excluding
money.

 To improve the well being of our customers, community and people

connected to our enterprise. “RUN GREAT RESTURANTS”

Mission statement
“To be the best pizza for every pizza occasion”
“ Alone we are delicious, Together we are YUM!”

We are P.E.A.R.L.S
PASSION for excellence in Doing everything
EXECUTE with positive energy and need
ACCOUNTABLE for growth in customer satisfaction
RECOGNIZE the achievement of others and have fun doing it
LISTEN and more importantly, respond to the voice of the
customer.
 Pizza hut in Pakistan
Pizza Hut is the pioneer of pizza in Pakistan, aimed at the casual dine-in market. Pizza Hut came to

Pakistan in 1993 with only one outlet at Boat Basin, Clifton, Karachi. Today, there are 33 restaurants

in nine cities in Pakistan. The slogan is “Share the good times”. The second largest outlet of the Pizza

Hut is situated in Lahore at M M Alam Road. The monthly sales of the outlet is more than

US$1,30,000 (about 1 crore rupees) making it the second highest revenue generator of Pizza Hut all

over the world. The food market is on the booming stage in Lahore. That’s the real reason for the

highest sales. Pizza Hut introduced several locally-influenced products aimed the taste buds of the

Pakistani market, including Seekh Kebab, Sundance, Spicy Hot, Bonfire, Ring O Fire, Green

Chicken Tikka and Spicy Prawn. The Chicken Tikka topping which is now used in franchises in

India was first used in restaurants in Pakistan. Pizza Hut offers annually an "All you can eat" in the

month of Ramadan.
A)Identifythe retail outlet, and type of of ownership. (Department,
drugstore, Confectionary, restaurant, service, single store, retail chain.
Faisal town retail store and restaurant
This branch working under the instruction or rules and regulation of Head Office in Karachi and all the

recipes, prices, quality control managed by Head Office. In this restaurant families, youngsters came and

din at this particular place where the good atmosphere so that’s why people rash on this restaurant where

every class can sit get to gather and enjoy the dinning at pizza hut’s restaurant.

b) Has the retail outlet identified its target market and competitors? If so

describe the target market, and identify the competitors, of the store?

Ans) According to the restaurant and retail manager that our branch have focus on families and all kind of

classes that who may willing to eat the pizza hut’s menu it depends on the wish or desire of the consumers.

This target provides a comparison of Pizza Hut’s customers compared to:

Total population 14 +

Total purchased from fast food places / restaurant in the last four week.

The target profile provides you with instant access to some of the world’s most insightful, robust consumer

research with unmatched accuracy, integrity, and sheer power. Armed with a complete price of your

customers or your competitor’s customers, you are in the best position to fine tune you product strategy,

focus your communication, and thereby optimize your marketing budget.

 C)Is the store management making efforts building sustainable

competitive advantage, and loyalty programs with help of positioning,

service, data base retailing, and unique merchandize?

D) The retailer first priority to build sustainable competitive advantage because the pizza hut’s brand

name. the pizza hut has built a brand name that means quality products and service, since the pizza

hut introducing “the extreme, “ customers with the automatically think this is a high quality products

and pizza hut never compromise on quality and good service that makes effective business.

Loyalty programs:

First of all the customer loyalty can be created through quality and good services and discounts time to time

to their regular customers. The management is responsible to satisfy the needs of customers more

effectively and efficiently than its competitors do.

Customer loyalty means that customers are committed to buying merchandizes and services from a

particular retailer.

The retailer sometimes issues loyalty cards to their regular consumer and they give discounts on loyalty

cards.

The pizza huts items are very well known so that’s why this brand is positioned in the minds of the

consumer and they desire, or wishes to eat it and enjoy a lot.

Through these loyalty cards they store the information of loyal consumers their name, address, nature of

business or job.

The unique merchandise

There is no concept of private labels in this retail business according to this retail chains
D).What kind of vender relation ship they do have ?.are they deriving any

kind of benefit out of that relationship? Pen down the details ?

ANS. Fist of all they said that we don’t have any vender because all the raw materials are driven from their

own company, they don’t need to contact with the venders the item are used in the production of pizza and

other product are their own company produce it so they don’t nee t to contact with the vender pizza hut is

the their own vender and producer this answer is given by the sir Mr.,. Hamad the person we interview he is

the manager over there,

So the benefits of the vender and pizza hut are not using in the fiasal town branch actually the pizza hut is

controlled from Karachi Pakistan , so he order and provide all the facilities and raw material to pizza hut

Lahore, with the formula and recipe of the precuts and items .

E.,How does the retailer motivate their employee does it help in retaining
them.

ANS. They motivate their employees very well the motivation process is continuously going by the base of

daily at every day the system is that in this recurrent they organize the ending ceremony of the day at the

end of the day and at this time they give the award to the employee best performance award and best

employee of the day by this they motivate their employee to do well work in the pizza hut, along they also

conduct the monthly base program and annually also ,and also motivate their every employee this process

is also completed in the training that they provide to the employees at the banging or start of the job and

also in between .

F).How do they keep the operation low cost and build multiple sources of
advantages
ANS. Actually all the plane and strategy is given by the Karachi head office there they have expert of this

field who are making the best strategies about that, but as we talk about faisl town branch they use to many
method to reduce the cost as they gent good performance form the employee with low number of employee

and use them efficiently provide good services to attract them and save the cost of advertisement. And use

the resources with very cares. Because prevention is better than cure.

G) How do they define their mission statement?

We take the pride in making a perfect pizza and providing courteous and helpful service on time all the

time. Every customer says, I will be back.

We are the employees of choice offering team members opportunities for growth, advancement, and

rewarding careers in a fun, safe working environment.

P.E.A.R.L.S:

Passion: for excellence in doing everything.

Execute: with possible energy and urgency.

Accountable: for growth in customer satisfaction and profitability.

Recognize: the achievement of others and have a fun doing it.

Listen: and more importantly responds to the voice of the customer.

H)Are they carrying SWOT analysis?

Every organization has a SWOT analysis, so the SWOT analysis of pizza hut is as following:

Strength:

Pizza hut is the market leader in the providing different products of pizzas there are no competition in this

sector in Pakistan. There is good image in Pakistan it makes the organization more strong. Pizza hut is

providing good taste, quality products with qualified staff, good atmosphere and hygienic environment.

They are specialized in pizzas. Motivation level of staff is high which makes the organization more

prosperous. They are ISO certified. They have the enough resources for operating different activities of the

organization. They are providing free home delivery service. They have created monopoly in this sector.
Strength or even a competitive advantage is the fact that they have a full service restaurant as well as

delivery service.

Most of the pizza huts competitors do not have restaurant, because of the restaurant, pizza hut can market

too many different segments that other pizza chain can not do. For example: pizza hut can market to

families much easier than Domino’s or little caesar’s.

Weakness:

The facts that pizza hut have a restaurant to run is also a weakness. Pizza hut has a high overhead costs due

to the restaurant that other competitors don’t have to deal with. Another result of higher overhead cost is

higher prices pizza hut must charge obously: pizza hut is not low cost producer. They rely only on quality

pizza is good service to account for their higher prices. They are providing less range of products

comparatively with higher prices. They are more focused on the western taste instead of eastern.

Opportunity:

New markets can be explored and new opportunities they can gain, pizza hut can come up with the new

products considering the eastern taste of of the people as like mcdonalds. Diversification of new products

can increase their market share. They can reduce their prices because of more resources.

Threats:

Pizza huts number one threats are from the competitor’s currently:

Their closest competitor is Domino pizza who is working to open the branch at Karachi. Domino’s main

competitive advantage over pizza hut is their lower prices.

Little caesar’s who is establishing the self in India and might more in Pakistan is another one of the pizza

huts competitor right behind Domino in the market share is little caesar’s is famous for offering large

quantities of pizza for less money.

Other local restaurant can affect the market share by providing pizza with lower prices.

Social factor can affect the image as a western organization.

I.)What is the basis of selecting their retail site?

Pizza hut always use the best sites and locations for the their branch its very storng company pizza hut have

many good location in Lahore they have also in johr town that is not fare form faisal town they always

target the good customer and all kind of customer so they select the location at where they find all types of

customers

As so the faisal town pizza hut is like that it is situated on the main faisal town road nearest the gourmets

backers and restaurant here they can capture all kind of customer form township akbar chock model town

faisal town and all other near areas this is good location and all the qualities are in it which the pizza hut

wants plot no 34, block c faisal town

j).what kind of retail organization structure do they have please discuss in

detail?

In Pakistan, Pizza Hut introduced itself in 1993. Have multiple outlets in 9 cities.

These outlets offer a wide variety of pizza, combining western and eastern recipes. After the corporate

reorganization caused by the integration of domestic and international operations, thecore of Pizza Hut’s

new field organizational structure was the Division Vice-President.

The company treatedeach division, as well as all organizational levels down to the restaurant level, as profit

centers.The DivisionVice-Presidents reported to the President through a Senior Vice-President of

Operations.

The President also had a variety of functional departments reporting to him, such as legal, finance,

marketing, human resources, and researchand engineering, restaurant and franchise development.

Pizza Hut described the new divisional organization inthe following manner:
the organization structure of pizza hut is as the good chain in Pakistan is the outlets and restaurant it’s a

multinational company which have the base of American company

pizza hut

k. what kind of incentives do they offer to their employees?

They provide many kind of the incentive to their employee as the special favor at the eid and like all the

festivals as the bonus best performance reward special dinners to him and his family also in pizza hut after

some time they good behave to their employee and like other motivation and incentives to him.

Share power

This program was initiated in 1989 by PepsiCo and permitted all full-time employees who meet certain

employment conditions (term of service) to receive stock options equal to 10% of salary with vesting taking

place over a five year period. All full-time personnel, including crew members, participated in this program.

Growth Sharing Incentive Plan

Pizza Hut directed this bonus program at the unit manager. The company awarded a monetary reward

each quarter based on the increase of profit and sales over the prior year.

Career Achievement Award

This program rewarded managers who demonstrated continued dedication and loyalty in their service to.

L) How do they build employees commitment?

The retailer conducting training programs monthly through their senior managers, they are not outsourcing

the trainers but focusing on in sourcing within the organization,

m. How are they managing diversity in their workforce?

They are managing the work force divestiy very well there are may kids of the workers in the oulet like

male female young old and all types of employee , but all works under the one manager the manager handle

them very well he know to helndle them with their respectced designations if any one have any dispute to

other the manager clearify it and control it

First of all the employee training is the base of it to handle all types of disputes and problem manager is also

trained and the employees are also trained so there is no chance to dispute , over all it is handling it very

well

n. do they have CRM in place and how do they manage it?

• They build strong relationship with customer by offering them best pizza and they create customer

delight through;

 Customer Relationship Management (CRM)

 Partnership Relationship Management (PRM)

 Customer Relationship Management (CRM):

 In 1995 they began two customer satisfaction program;

1-800 customer hot line & a customer call back program.

They’ve full service restaurant as well as delivery services.

Crewmember at pizza hut strive each day to provide ‘customer mania’.

They also offer two products within single price.

They’ve inside & outside partners e.g customers, competitors, suppliers.

Functional department corporate & focus on an area such as marketing, HR.

In 1977 Pepsi co bought pizza hut & 1982 they stared joint venture with Whitbread.
 In 2006 Whitbread sold their share of joint venture to YUM! Brands Inc. Pizza hut UK Ltd was now

100% owned by Yum!

Pizza hut is committed to providing uncompromising product quality offering customers the highest

value for money & giving service that is warm, friendly & personal.

They also follow social factors to maintain their image through corporate social responsibility.

o. how do they evaluate store employee and provide feedback ?

• Pizza Hut first time in its history’ pizza hut introduced a customer satisfaction hotline.

• Managers with weekly feedback from their customers’ pizza hut hoped the feedback would

strengthen operations within the control of each restaurant manager.

• They offer variety of local dishes according to demand and liking of customers for loyalty purpose.

p. what step do they take to detect /prevent shoplifting ?

they save the shoplifting ,from the employee as training it, and the supervisor control all the equipments and

assets he is the controller and manager . and for the customers threat of shoplifting they have cameras out

of the shop and also inner side , if any person theft any thing they don’t abuse them , they told him very

polity and never want to loose their customer the cameras are situated and mostly showing to the customer

that he is watched by cameras and so he don’t try to theft any thing they have very good security for the

specialist theft and robbers security guards having weapons to him and saving the outlet and retails and the

customers

q. what is our overall evaluation of the store in our point of view what are the

critical success factor of the store and what are our suggestions to further

improve the store business also valuate the location of the store including

strength and weaknesses of the location?

 PIZZA HUT FAISAL TOWN BRANCH
The over all evaluation of the outlet is that the location of the outlet is very good it is satiated at the main

road of faisal town which leading form akbar chowk township to the jinah hospital and the model town and

university of Punjab also this is good location the gourmet restaurant and the backer are also near and the

faisal bank and allied bank are also near here they can target the good customer of Johar town model town

township and all at the ways they have the good location as competitive sustainable advantage

This outlet is going very well on the track and making good sale some weakness strength of the outlet are

under

Strength of the outlet

This outlet is on the main road that is showing the good location as combative

This is at good area society, near the model town that is the high class customers

Being at the main road it can capture the all type of customer who is crossing form here

It targets the township customer also that is the middle class society of customer

Faisal town also is the mixing of the high level customer and middle class

The parking in the basement is the easy to park and provided the customer facilitations

It has very good location and inner side location to facilitate the customer

The staff is very good and cooperative to customer and visitors

Weakness

The outlet is at good location but it must be at the some market and chowk where it can capture the many

customers

They don’t advertise them on cables they should stats the campaign to the advertise the business

Not the board at the road that can guide the customers to the pizza hut

Suggestions
 • Pizza Hut has many targets which it has achieve in a given period of time. The time-period is mostly

a year. Therefore, in order to fulfill the targets different strategies are adopted by Pizza Hut. It can be

concluded that these strategies have been successful and there is flexibility in the strategies, as they

can be changed with the changes in the market conditions as well as the targets. Need to be just a

step ahead…in sync with the consumer’s perception of value.

• Customers move to the lower cost provider when marketers stop giving them reasons not to.

• “Never before, never again”

• “Strategy is only as good as its execution”

• Not just product, but an experience.

• Its strategies are successful and there is flexibility in the strategies, as they can be changed with the

changes in the market conditions as well as the targets.

01 RECOMENDATIONS
• Pizza Hut should focus on more advertisements.

• Should decrease the variety-seeking buying behavior

• Membership or discounts cards for the loyal customers.

• Should sponsor more concert and games in Pakistan

• Should make stalls in universities and colleges

• Should make online ordering system