PH CAPITAL, which owns the franchise rights for Pizza Hut restaurants in Thailand, yesterday said it plans to double the size of the business by 2020.
Company director Ausana Mahagitsiri said PH Capital has set a strategic plan to open 100 new branches of Pizza Hut restaurants across the country with an investment budget of about Bt1 billion.
PH Capital is a joint venture between Thoresen Thai Agencies (TTA) (70 per cent) and PM Capital (30 per cent), a company run by the Mahagitsiri family with experience in the management of global food and beverage brands.
The company acquired the franchise rights for Pizza Hut from Yum Brand Inc, which manages the brand franchise in Asia, and began operating all of the 92 Pizza Hut restaurants under the supervision of Pizza Hut in the second quarter of last year.
TTA is negotiating with Yum Brand Inc, which also manages Taco Bell franchises in Asia, to bring Taco Bell restaurants to Thailand. If the negotiations succeed, TTA will set up a new subsidiary to acquire the franchise rights and operate Taco Bell restaurants in the Kingdom.
“We are committed to continuously expanding the number of Pizza Hut restaurants in Thailand to cater to the increasing demands of consumers in Bangkok, the city’s outskirts and upcountry," said Ausana. "We will this year open about 20 new Pizza Hut restaurants in the Kingdom, of which 13 have already been opened this year. We expect the total number of Pizza Hut restaurants to reach 128 totally by the end of this year.”
Ausana said that Pizza Hut’s new marketing strategy will focus on more new generation and premium customers. With what Ausana called “non-stop innovation, online marketing approach, fast delivery and continuous store expansion in surrounding cities and provinces”, Pizza Hut will be able to seek bigger slice of market share “and step up to become the most loved and fastest growing restaurant brand” in Thailand.
“The introduction of the new marketing strategy ‘Pizza Hut 4.0 Innovation & Digital Experience’ aims to emphasise Pizza Hut’s non-stop innovative product development to meet customers' demand,” Ausana said. “In addition, Pizza Hut will increase effectiveness of its online marketing and fast delivery system to make it easier for customers to get a better pizza whether in-store, at home or anywhere at all. The loyalty programme is another important benefit to encourage customers to taste our new innovative products. Above all, Pizza Hut will continue to open news stores to provide new experiences to Thai customers nationwide.
“Pizza Hut has been at the forefront of innovation in the restaurant industry since it began operations 60 years ago. The company was the first pizza restaurant to introduce Pan Pizza and Stuffed Crust Pizza, which later became a popular menu item.
Pizza Hut was also the trendsetter in technology, especially being the first restaurant in the world in introducing online orders.”
Ausana said: “Pizza Hut Thailand realises the importance of digital marketing to increase brand awareness and online sales. Pizza Hut’s official Line account was launched this year to help manage relationship with customers and to design tailor-made sales promotional campaign in line with individual demand. Pizza Hut Thailand’s new website will also better serve more volume of online ordering.”
Ausana said the new website has many features that reduce ordering steps and will be compatible with new technology in the future.
Chalermchai Mahagitsiri, TTA president and chief executive officer, said that Pizza Hut's business has grown at a satisfactory level since PH Capital began operating the franchise.
“For TTA as a holding company that invests in a wide range of businesses to achieve diversification, we see food businesses as a fast-growing, low-volatility business,” said Chalermchai. “We decided to finance PH Capital's plan to grow the Pizza Hut business in Thailand, which is set to open 100 new branches in the Kingdom by 2020 with the investment budget of Bt1 billion.”