Franchise News
Reuters: Yum Brands Same-Store Sales Miss as Fewer Dine at Pizza Hut
Yum Brands Inc reports lower-than-expected rise in quarterly sales.
Yum Brands Inc, owner of Taco Bell, KFC and Pizza Hut, did not see the sales increase it was expecting from 2016. According to the company, this is because less diners ate at Pizza Hut chain. Analysts polled by Consensus Metrix has expected a 2.1 percent rise in sales, whereas restaurant which were open for at least one year only rose one percent in Q4. While same-store sales at KFC and Taco Bell rose three percent, Pizza Hut saw a two percent decline.
"KFC and Taco Bell had relatively strong performance in December, despite difficult U.S. industry conditions," said Yum Brands Chief Financial Officer David Gibbs.
A variety of factors have made it harder for restaurants to succeed in the past year, like minimum wage increases resulting in increased menu prices and the popularity of meal kit delivery services like Blue Apron and Chefd.
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About the Author
Nick Powills
FollowNick Powills, CFE, founded No Limit Agency in 2008 and serves as Chief Brand Strategist for the Chicago-based firm. No Limit is a full-service communications agency that establishes and elevates brands by bridging Public Relations, Social Media, Marketing, Advertising, Digital, and a lot of creativity, to best strategize well-rounded and successful campaigns for 50+ global franchise brands. By presenting visionary ideas and building real relationships, No Limit is able to create effective media branding strategies to help companies grow. Nick currently leads a staff of writers, media strategists, designers, social media experts and digital producers in an office think-tank where brands are humanized for strong, compelling media stories. Prior to starting No Limit at the age of 27, Nick spent four years working at a franchise PR agency where he mastered the art of building rapport with media outlets and creating newsworthy pitches for earned media placements. He holds a Bachelor of Journalism from Drake University in Iowa.
