Pizza Hut Names David Gibbs New Global CEO Effective January 1, 2015
Pizza Hut is making more changes to try to shake up its market share.
Market Watch is reporting that Yum! Brands, Pizza Hut’s parent company, have tapped David Gibbs, current president of Pizza Hut USA, to become Global Pizza Hut Chief Executive Officer, effective January 1, 2015. Gibbs will be taking over for Steve Bergren, who is retiring from the CEO position effective December 31, 2014.
Gibbs’ new role will be to improve the brand strategy and performance of Pizza Hut worldwide. Pizza Hut is the leader worldwide in pizza, with over 13,000 restaurants (excluding China and India Pizza Huts, which report to a separate division), 94 percent of which are franchised. The division’s annual system sales rose in excess of $10 billion.
“David Gibbs is an accomplished leader with a proven track record of success and considerable experience in the restaurant industry. He has been a consistent growth driver, has a deep passion for the Pizza Hut brand and lives our culture. Greg Creed, who takes over as CEO of YUM Brands in January, and I are both confident David will lead Pizza Hut to the next level and widen its gap as the category leader all around the world,” said David C. Novak, Chairman and CEO, YUM Brands Inc.
Gibbs will report directly to Creed when both Gibbs and Creed assumes their new roles.
“I’m thrilled about continuing to work alongside my entire management team, as well as with our franchise and corporate partners, to move our brand forward all over the world,” Gibbs said. “This is a beloved brand with millions of fans and I couldn’t be more excited about where we’re headed.”
America’s Marketplace is reporting that Gibbs, 51, started at Yum! Brands in 1989 and held many different positions, including chief financial Officer for Yum! Brands international and vice-president of development for Yum!’s U.S. division.
The change-up occurs after Pizza Hut suffered same store sales loss for the third consecutive fiscal quarter. Pizza Hut has suffered a 1 percent loss this last third quarter, a 3 percent loss in the fiscal second quarter, and a 2 percent loss in this year’s first quarter.
This executive reshuffling starts at the same time pizza sales traditionally start to increase. The sales increase usually starts during the fall and climax around the Super Bowl. And other than trying selling skinny pizzas or pizza by the slice, Pizza Hut has not released a new concept product at all in 2014.
Yum! is causing some change, as well. Taking Creed from another Yum! subsidiary, Taco Bell, which promoted Taco Bell president Brian Niccol to the Bell’s CEO position.
[Image courtesy of Louisville Business First]
