There were many loud voices worldwide when we heard about Pizza Hut closing stores in 2025 because they were doing nothing new and facing a tough time. But in this article, you will learn how Pizza Hut’s true customers react to the shut-down rumours.
The most well-known pizza chain in the world is “Pizza Hut.” Starting with a single store in 1958, the brand increased, franchising within a year and expanding to six outlets. Pizza Hut has been a leader in fast-food innovation.
The chain expanded its service offerings, including family-style dine-in locations, carry-out options, and hybrid models. Pizza Hut’s global expansion also involves customizing menus to meet local tastes, proving its adaptability.
At the beginning of 2024, the store faced sudden closures at many locations worldwide, especially in the USA, such as Ohio and Indiana. Some of the legal issues near locations, financial challenges and strategic choices are major causes where Pizza Hut faces problems in progress. So, it’s true that the company shut down all stores in 2025? Absolutely no, because Pizza Hut has a big plan ongoing to operate all over the globe.
Causes Behind 2024 Store Closures
In June 2024, Pizza Hut closed 19 shops in Ohio and Indiana. The closure affected four locations in central Ohio and 15 in northwest Indiana. An ongoing legal fight with EYM Group partly drove these actions. It is a significant franchisee with 142 Pizza Hut locations across many states.
The closures occurred all of a sudden. It confused employees and customers who needed clarification about the causes and plans.
Pizza Hut’s current troubles are standard. Throughout its history, the brand has faced financial challenges, so the business had to adjust to shifting market conditions. Notably, more than 300 Pizza Hut outlets were closed in 2020 as a result of the bankruptcy of one of the company’s main franchisees, NPC International. The experience with NPC International provided valuable insights into massive closure management and franchise agreement restructuring.
Locations of Closed by Pizza Huts
Below is a list of the affected locations:
Ohio:
- Dublin
- Upper Arlington
- Obetz
- Marion Village
Indiana:
- Portage
- Chesterton
- Valparaiso
- Hobart
- Winfield
- Crown Point
- Schererville
- Griffith
- Hammond
- Merrillville
- LaPorte
- Michigan City
- Lowell
- Cedar Lake
- Munster
Legal Dispute with EYM Group:
There are allegations against EYM Group that they have not paid Pizza Hut millions of dollars in debt. The relationship between Pizza Hut and EYM Group has been strained. Thus, it resulted in a series of legal disputes. EYM Group’s problems were made worse by
- increased operational expenses,
- Pizza Hut’s perceived lack of innovation and
- competitive pressures from other pizza businesses like Domino’s and Little Caesars.
With the help of a forbearance agreement, EYM Group could pay off its debts and keep its franchise agreement in 2023. However, ongoing defaults forced Pizza Hut to end the deal in early 2024. This legal issue has resulted in lawsuits from both parties.
EYM Group reported that Pizza Hut needed to modernize its menu and digital ordering systems. Conversely, Pizza Hut accused EYM Group of poor financial and operational performance.
Operational and Financial Challenges
Pizza Hut’s overall financial performance has also been questioned. Yum Brands is Pizza Hut’s parent company. It reported a 7% decrease in same-store sales in the most recent quarter. The reduction in sales is a sign of more significant trends in the business. Delivery and carry-out services are becoming more popular than traditional dine-in options.
Pizza Hut’s same-store sales in the United States were notably impacted, which is causing strategic changes. These include temporary store closures for improved operations.
Pizza Hut has previously closed unprofitable stores to streamline operations and focus on more profitable formats. The closures in 2024 can be viewed as part of the brand’s continued attempt to optimize its footprint in a challenging market climate.
Pizza Hut’s current initiatives reflect a more significant industry trend of reacting to changing consumer tastes. Contactless delivery and the launch of new menu items are examples of customer attraction and retention strategies.
The rise of online ordering and delivery systems has completely changed the fast-food sector. So, Pizza Hut’s focus is on improving its digital platforms. In line with these changes, it is expanding delivery and carry-out choices.
Impact on Employees and Customers
The closure of Pizza Hut stores in Ohio and Indiana significantly affected both employees and customers. Workers at these stores were abruptly laid off with little notice or information.
The traditional Pizza Hut restaurants were lost, leaving the local communities, which had long-standing good relationships, with nowhere to eat. These closures were a big setback for a brand rooted in American dining culture.
Pizza Hut issued a statement highlighting its commitment to resuming the closed locations under new management. The business aims to minimize disruptions to operations in these areas.
Despite these promises, the closures reflect the instability of the fast-food market and signal the difficulties associated with maintaining a large franchise network.
Broader Challenges for Pizza Hut
Pizza Hut’s issues with EYM Group are not limited to legal and financial matters. Rivals such as Domino’s and Little Caesars have strongly redesigned their menus and delivery processes, putting the brand under more stress.
Domino’s, for example, has made significant investments in technology. It is improving its online ordering platform and expanding its delivery capabilities. Also, Little Caesars focuses on affordability and speed through efforts such as the “Hot-N-Ready” model.
Pizza Hut launched online ordering with PizzaNet in 1994. However, the company needs to catch up with later technological advances. A major drawback has been the need for a robust digital ordering platform. This is especially true since the COVID-19 pandemic caused the move to online delivery.
Also, consumers’ tastes have changed. They have a growing desire for high-quality food, convenience, and healthier options. Fast-casual pizza companies such as Blaze Pizza and MOD Pizza have capitalized on these trends. They are providing customized pizzas with fresh ingredients and quick service.
Pizza Hut’s traditional sit-down restaurant business has struggled to adapt to changing consumer tastes. This resulted in a drop in customer traffic at its dine-in locations.
Future Directions
Pizza Hut has understood the need to adapt to market changes. Although the closures and legal disputes are upsetting, they also offer the business a chance to streamline its operations and redirect its approach.
In response to critiques about its lack of innovation, Pizza Hut has worked on updating its menu and operational procedures. This includes developing new product offerings like plant-based pizzas and healthier options, which will suit a wide range of dietary preferences.
In addition, the company is upgrading its digital infrastructure to boost online ordering and delivery efficiency. Now, the business aims to compete more effectively with tech-savvy rivals.
Pizza Hut is also changing its regular restaurant concept. Recognizing the fall in dine-in customers, the company is moving its focus to delivery-oriented locations. This includes modifying existing outlets to speed up takeout and delivery operations. It is also opening new locations that specialize in these services.
Pizza Hut’s future strategy relies on building better relationships with its franchisees. The legal conflicts with EYM Group stress the need for improved communication and more robust support systems for franchise owners. Pizza Hut aims to improve its financial oversight and operational support. This will help franchisees grow while maintaining the brand’s standards.
Conclusion
Pizza Hut’s plans to close outlets in Ohio and Indiana in 2024 exemplify the obstacles that even the most established fast-food firms face. The legal battles with EYM Group and broader market challenges show the need for strategic change and innovation.
Despite the losses, Pizza Hut is making an effort to reopen closed locations. Its continuous efforts to restructure its business model show a willingness to address current issues.
Pizza Hut hopes to secure its place in the fast-food industry. By learning from the past and adopting new opportunities, it will keep serving the beloved pizzas that have made it a household name for more than 60 years. At last, we are sure that there are thousands of locations at Pizza Hut to feed millions of true customers in 2025. sometimes only is few franchises shut down or close due to certain reasons.