Marketing Management

University Of Management and Technology

Topic
Market Segmentation and Target Market Of
Pizza Hut Pakistan
Name
Khawaja Naveed Haider
Serial No
28
ID No
073605-085
Section
B
Date
Wednesday, April 01, 2009
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University Of Management and Technology, Lahore

About Pizza Hut:

Pizza Hut is the company owned by Yum! Brands in 1997 by Wichita and Kansas. The
headquarter is located at Texas USA. The company is engaged in restaurant industry
producing wide range of pizzas, pastas etc…
History:
By 1972, with 314 stores nationwide, Pizza Hut went public on the New York Stock
Exchange under the stock ticker symbol PIZ. In 1977, Pizza Hut was acquired by
PepsiCo, who later also bought KFC and Taco Bell. In 1997, the three restaurant chains
were spun off into Tricon, and in 2002 joined with Long John Silver's and A&W
Restaurants to become YUM! Brands. Pizza Hut has opened Pizza Hut Express which
specializes in small 6" pizzas. The oldest continuously operating Pizza Hut in the world
is in Manhattan, Kansas, in a shopping and tavern district known as Aggie Ville.
(Copied from http://en.wikipedia.org/wiki/Pizza_hut)
Executive Summary:
Pizza Hut has built the strong reputation of its brand throw giving the quality products
and earned the respect from its customers. Its innovation and quality with commitment
took higher and higher during past few years. But still the company is planning to go and
capture more market share. The employees and the management know what they have
to attained through the targets which have been put to them and the plans they have
assumed help them recognize the way they will accomplish the objectives. Similarly,
Pizza Hut has diverse targets set to them and they have adopted different strategies to
successfully achieve the targets set.
University Of Management and Technology, Lahore
Market Segmentation:
Market segmentation of Pizza Hut is quite simple and easy to understand. I’d like to
discuss the market segmentation of pizza hut in headings of variables of it.
Geographic:
Geographic segmentation of Pizza Hut is worldwide. Now Pizza Hut is serving more than
80 countries including Pakistan, UK, USA, Algeria, India, Russia, Cyprus, China, and
Bangladesh etc… But we’ll talk about the Pizza Hut Pakistan. Pizza Hut Pakistan’s
geographic segmentation is the developed cities. Pizza Hut is available in Lahore,
Karachi, Islamabad, Faisalabad, Hyderabad, Multan, Peshawar, Sialkot, and Rawalpindi.
We can observe that pizza hut is available on all provincial capitals of Pakistan.
Demographic:
Pizza Hut’s general market segment is younger generation. But they go wide in this
thing. They segment high incomes and business class families which can spend money
on the best pizzas in the market. Pizza Hut’s global slogan is also describing its market
segmentation that is “Now it’s time to eat more”. But in Pakistan, the slogan is “Share the
good times”. Main age group is 12-30 years. Pizza Hut Pakistan offers Halal foods to all
its customers.
Psychographic:
Pizza Hut’s psychographic segmentation includes people with having good attitude about
food sense especially pizza group and they want to have a good time with their friends
and family as described in Pizza Hut Pakistan slogan. It serves all types of personalities
as they don’t have any product for specific personality.
Behavioral:
Pizza Hut’s behavioral segment is the class where people love to spend money on
eating. That’s why in Pakistan, Pizza Hut M.M Alam Road Lahore is the second largest
outlet of the pizza hut outlets generating more than $150,000 a month.
University Of Management and Technology, Lahore
Target Marketing:
Pizza hut targeted market defines them as a family product. They don’t really straight
market their customers. Middle and high
class family background people are the
target market of Pizza Hut. Like it has been discussed above about the people who are
highly
paid
employees
and
good businessmen is the target market
of Pizza Hut. But pizza hut focused a broad variety of
customers. We can also say that Pizza Hut is targeting the generation X which is more
active in spending money on non essential things like eating. Pizza Hut is also offering
products for vegetarians. The company is offering meet free pizzas with salad and pasta
so that people who don’t want to eat meat could enjoy the quality and best food of Pizza
Hut. Pizza Hut is also very good place for the students of colleges and universities.
Many students arrange the treat parties in Pizza Hut that made Pizza Hut to earn more
and more. Sometimes, it becomes hard to get a single seat in Pizza Hut due to all its
good and attractive offers and marketing mix.
Pizza Hut is targeting their customers by two types.
• Dine In
• Take AwayUniversity Of Management and Technology, Lahore