Pizza Hut just launched a value promotion, called $2-Buck-Tuesday, that’s hard to ignore: Every Tuesday in July, customers can snag a one-topping Personal Pan Pizza for just $2. At such a low price, unsurprisingly, Pizza Hut says “fans are losing it” and the personal-sized pizzas are “flying off the shelves.”
The brand reports that more than 3,100 restaurants sold out on July 8, which was launch day for the offer.
Pizza Hut’s value deal is just the latest from the country’s top pizza chains. On July 10, Little Caesars debuted its More for $9.99 Menu packed with various menu pairings, such as a pepperoni pizza with Crazy Puffs or a Pretzel Crust Pizza with Crazy Bread and Crazy Sauce. Not to be outdone, Domino’s has brought back its Best Deal Ever promo—any pizza with any toppings for $9.99—and even touted a “secret menu” featuring three specialty pies that most customers probably never heard of.
It’s no secret that large chains have scale advantages that independents simply can’t match. They negotiate volume-based deals with suppliers, use centralized commissaries to prep ingredients efficiently, and build menu engineering strategies around driving traffic with loss leaders—items sold at little or no profit to upsell additional menu items. For example, that $2 Personal Pan Pizza may come with an upsell push for a $3 drink or dessert, raising the total check value and offsetting the initial discount.
More importantly, as far as the top pizza brands are concerned, these value deals create high-frequency traffic and larger average tickets over time—as long as customers keep coming back.
There’s no way a local independent pizzeria can match a $2 pizza offer. But there are strategies for countering these national discount blitzes without racing to the bottom on price.
Lean into Loyalty. Pizza Hut’s deal is limited to a small Personal Pan Pizza. You’ve got larger pies, customizable options, and, most likely, your own unique signature pizzas that satisfy. Shift your loyalty program into overdrive by emphasizing these stand-out, high-value offerings. And follow restaurant consultant Matt Plapp’s advice: Lure them in with a one-time offer that they’ll feel stupid saying no to.
Related: Here’s How to Get Customers to Join Your Pizzeria’s Loyalty Program
Highlight What Makes You Different. Maybe it’s your fast, efficient and hassle-free customer service and friendly, fun-loving, cheerful staff. Maybe it’s your outdoor dining area, your specialty cocktails or beer-on-tap selections, or your summertime signature pies featuring super-fresh, locally grown veggies. And don’t forget your gluten-free and vegetarian/vegan options. Now is the time to use social media, email and text to tout and reinforce these key differentiators with short, snappy fun videos, photos and descriptive captions that will make mouths water a little bit.
Create Your Own Midweek Special. You don’t have to slash your prices to stay competitive. Offer combo deals or bundles for families and groups. Also consider a solo-dining promotion that makes party-of-one guests feel welcome and valued. As PMQ recently reported, online searches for “solo dining” have skyrocketed by 271%, and searches on “best place to eat alone” are up by 150%.
As long as the economy remains mired in uncertainty, the big pizza chains will keep right on rolling out these aggressive specials to generate traffic, especially during competitive summer months. Planning your counteroffers now—or simply doubling down on what you do best and making some noise on social media—can keep your guests coming back, no matter what Domino’s and Pizza Hut have on the menu.
