Pasta Hut?!?

Given that we could be entering a global recession, it’s not surprising to companies rationlaising their corporate strategy. However one thing that has caught me by surprise is the article I saw on stuff about Pizza hut rebranding as Pasta hut. This seamed particularly interesting given a recent post I read over by Gen Y hipster/Digital native Brenden Jarvis over at Playing to Win aptly entitled “Don’t stuff up your brand”. I’m informed that there will Be a “don’t stuff up your brand part II” so watch that space if you are interested in marketing/branding issues.

It got me wondering what from an economic perspective would make pizza hut do this? Do they think preferences have changed away from unhealthy pizza towards relatively healthy pasta (as long as you don’t order something with a cream based sauce!) Or maybe pizza is a luxury good and they figure with the impending financial doom we are all facing we will substitute from pizza to pasta (I know I ate A LOT of pasta when I was student!)?

I’m not sure I’m entirely satisfied with either explanation (and that’s an understatement!), anyone have any thoughts?


6 replies
  1. agnitio
    agnitio says:

    I think they might still have a dine in pizza hut in Parapraumu, but it has been a while since I’ve been out that way!

  2. goonix
    goonix says:

    I recently dined in the Pizza Hut in Trafalgar Square.

    I think the health-factor makes sense. Also, perhaps there’s increased competition from ‘takeaway’ pizza places that offer pizza for cheaper, given economic conditions?

  3. agnitio
    agnitio says:

    I’ll be interested to see what happens in the UK.

    On the takeaway point, the reposonse in NZ as you know has been to get rid of the dine-in restaraunts. This begs the question of whether a better strategy would have been to rebrand? My guess is no given that other “chain family restarurants” seam to have vanished. I think Cobb and Co still exists but there can’t be many of them left

  4. agnitio
    agnitio says:

    yeah, i had a quick peak at that, it’s interesting when you look at wehre they are.

    The one in Wellingotn is in the Hutt and there isn’t even one in Auckland.

    They are obviously targetting a specific market given their choice of store locations.

Comments are closed.