Pizza Hut has agreed on the acquisition of QuikOrder an online ordering platform for restaurants, in a move to step up its online ordering capabilities. Although the terms of the deal have not yet been released, Pizza Hut said that it is one of its biggest acquisitions to date. This acquisition is the latest in the series of ongoing technology moves in the competitive space of pizza delivery, led by Pizza Hut and its top rival Domino’s.
The pizza chain, a subsidiary of Louisville-based Yum Brands, has been struggling to take advantage of Papa John’s dropping market share. According to David Gibbs, Yum Brands’s CFO, QuikOrder’s online ordering capabilities will allow Pizza Hut to improve its ability to deliver an easy and personalized online ordering experience and accelerate its growth. Yum’s other brands will also benefit from the knowledge company gets from running an online platform, Gibbs added.
Carol Clements, Pizza Hut’s chief technology officer said that the company’s relationship with QuikOrder is not entirely new. It had been utilizing the particular online platform for over twenty years, but the purchase will enable Pizza Hut to enhance their current platform as well as boost the release of new digital products and services.
A Pizza Hut representative has confirmed that headquarters of QuikOrder will continue to remain in Chicago, expecting a little disruption to the company’s workforce and business. The pizza chain will also continue to work in accordance with QuikOrder’s existing contracts and help these outside businesses transfer to new platforms.
Pizza Hut has over 16,800 restaurants around the world. Of those, around 7,500 are in the United Sates.According to data compiled by Deloitte, customers who order online increase around 20% of their spending. With such data, companies can learn the customer preferences, when do they order, and the frequency of using the platform and leverage it to boost sales or attract diners from other services.
QuikOrder had a previous relationship with Plano, a Texas-based company and this year, nearly 50% of Pizza Hut’s sales in the US were processed through the platform, as reported in a statement.