Distribution Decision

Distribution Decision

Franchising in India has been consistently growing at more than 30 percent for the past five years, according to the Franchising Association of India.  Several international brands have entered the country through franchising in the last few years. The pizza franchise expanded itself in India and now has the KFC brand beneath its umbrella. The fast food franchise was the first international fast food firm to make an entry into the Indian scene and has thus pioneered the Indian pizza market. Liberalization and economic reforms have had an immense positive impact. The young people in India are reaping the dividends of its economic reforms. It is the customer satisfaction provided by the specialty food franchise that enabled it to position itself at the top of the Indian fast food market. The fast food franchise also ensures that it adds an Indian touch to all the varieties of pizzas that it makes available to Indian customers. Various delicious combinations are tested at the Indian Pizza Hut franchisee outlets by blending the original menu with Indian favorites to make fresh salads, garlic based breads, soups, yummy pastas and delicious desserts.

Pizza Hut will open 300 exclusive outlets under its sub-brand, Pizza Hut Delivery (PHD), by 2015 to tap the demand in fast food home delivery segment. The company is keen on taking the franchise route to expand its retail network. Pizza Hut launched its first PHD in 2008, in Bangaluru on a trial basis. After its success the company now plans aggressive expansion via the format. PHD concept has been in the international markets for a long time but has been introduced in India in the last couple of years.
Currently, Pizza Hut operates 35 standalone PHD outlets and about 145 Pizza Hut casual dine restaurants.