Pizza Hut just launched a new restaurant concept. It shows where the business is headed next
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Pizza Hut is piloting a new restaurant concept.Once known for its distinctive dining rooms with branded lamp shades and red tumbler cups, the pizza chain has cut back over the years. In 2019, it announced plans to close about 500 restaurants, and since then has focused more on delivery over dine-in sales. But now, despite the closures, the chain is looking to invest again in its restaurants.[Photo: Pizza Hut]Pizza Hut said this week it would be piloting a new restaurant in Plano, Texas, with a new elevated, modern design. The new store concept, the first of its kind in the U.S., puts an open kitchen in sight of guests and adds in both self-service kiosks for ordering and cabinets for contactless pick up.New energy-efficient lighting, ovens, and auto-lift fryers were designed for sustainability; theres also a drive-throughunusual for a pizza jointwith a specially designed Hut N Go menu that will serve a limited number of ready-now items that can be ordered and picked up at the window. The hat-shaped roof of Pizza Huts of yesteryear even gets a nod with an icon above the wordmark.[Photo: Pizza Hut]Pizza Huts same-store sales fell by 4% in the most recent quarter and its parent company Yum Brands missed earnings estimates, which its CEO blamed in part on weak consumer sentiment. It doesnt help that pizza is a competitive category. The new store, though, could not only help Pizza Hut set itself apart from rivals like Papa Johns and Little Caesars, but compete with other fast-food chains that have their own quick-service drive-throughs and self-service kiosks.Yum Brands, which also runs KFC and Taco Bell, has experimented with unconventional store concepts before, including Taco Bells two-story drive-through and Taco Bell Cantina, which sells alcoholic drinks. A Pizza Hut spokesperson tells Fast Company that by utilizing its parent companys global scale, we are able to partner with our sister brands to leverage insights on guest and team-member learnings.[Photo: Pizza Hut]Other chain restaurants have undergone redesigns in recent years to adapt to changes in consumer habits. Wendys redesigned itself for the Uber Eats era with new stores that can better handle digital orders, while Chick-fil-A announced its first drive-through-only location in Atlanta last year. Pizza Hut is following suit.Already, the pizza chains new store concept is in use in more than 80 markets outside the U.S. If it works as well in Plano as it has internationally, diners may well see it popping up elsewhere in this country. Where its been rolled out, Pizza Huts new store has driven an increase in transactions and in-restaurant traffic, the company says.With the new store concept, Pizza Hut is taking on multiple priorities at once, which could help it navigate the changing landscape that restaurants face today. The new restaurant gives consumers a dine-in experience they cant get at other national pizza chains while the focus on convenience will appeal to customers who prefer getting their food to go. Pizza isnt just for delivery anymore, and Pizza Hut seems prepared to pivot.
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