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Once, Pizza Hut was the go-to for families and friends to indulge in its unlimited dining experience, endless salad selection, and ice cream with toppings.

Yet not as many diners are frequenting the restaurant these days, and it is shutting down half of its UK restaurants after being rescued from insolvency for the second time this calendar year.

I remember going Pizza Hut when I was a child,” notes Prudence. “It was a tradition, you'd go on a Sunday – turn it into an event.” However, at present, aged 24, she says “it's no longer popular.”

In the view of a diner in her twenties, some of the very things Pizza Hut has been famous for since it launched in the UK in the 1970s are now outdated.

“The manner in which they do their all-you-can-eat and their salad bar, it appears that they are lowering standards and have lower standards... They provide so much food and you're like ‘How?’”

Because food prices have risen sharply, Pizza Hut's buffet-style service has become increasingly pricey to run. Similarly, its restaurants, which are being reduced from over 130 to just over 60.

The company, similar to other firms, has also seen its operating costs increase. Earlier this year, employee wages rose due to higher minimum pay and an rise in employer taxes.

Two diners explain they used to go at Pizza Hut for a date “every now and then”, but now they get delivery from a rival chain and think Pizza Hut is “too expensive”.

Based on your order, Pizza Hut and Domino's costs are close, notes a culinary author.

Even though Pizza Hut provides pickup and delivery through external services, it is losing out to major competitors which specialize to this market.

“The rival chain has taken over the delivery market thanks to aggressive marketing and constantly running deals that make shoppers feel like they're saving money, when in reality the original prices are relatively expensive,” explains the specialist.

However for the couple it is worth it to get their special meal sent directly.

“We definitely eat at home now instead of we eat out,” explains one of the diners, reflecting current figures that show a drop in people visiting informal dining spots.

In the warmer season, informal dining venues saw a 6% drop in diners compared to the year before.

There is also one more competitor to restaurant and takeaway pizzas: the supermarket pizza.

Will Hawkley, global lead for leisure at a leading firm, points out that not only have grocery stores been offering high-quality ready-to-bake pizzas for years – some are even promoting countertop ovens.

“Lifestyle changes are also playing a factor in the popularity of fast-food chains,” states the expert.

The rising popularity of protein-rich eating plans has driven sales at chicken shops, while reducing sales of high-carbohydrate options, he adds.

Because people go out to eat more rarely, they may prefer a more high-quality meal, and Pizza Hut's American-diner style with booth seating and nostalgic table settings can feel more retro than premium.

The “explosion of premium pizza outlets” over the last 10 to 15 years, including popular brands, has “completely altered the public's perception of what good pizza is,” notes the industry commentator.

“A crisp, airy, digestible pizza with a few choice toppings, not the excessively rich, thick and crowded pizzas of the past. That, arguably, is what's caused Pizza Hut's struggles,” she comments.

“What person would spend £17.99 on a small, substandard, disappointing pizza from a large brand when you can get a gorgeous, skillfully prepared classic pizza for a lower price at one of the many real Italian restaurants around the country?

“It's an easy choice.”

Dan Puddle, who operates a small business based in a county in England comments: “It's not that lost interest in pizza – they just want higher quality at a fair price.”

Dan says his mobile setup can offer premium pizza at accessible prices, and that Pizza Hut struggled because it could not keep up with new customer habits.

From the perspective of Pizzarova in Bristol, owner Jack Lander says the sector is broadening but Pizza Hut has not provided anything new.

“You now have by-the-slice options, regional varieties, New Haven-style, sourdough, wood-fired, Detroit – it's a wonderful array for a pizza enthusiast to discover.”

He says Pizza Hut “must rebrand” as newer generations don't have any fond memories or attachment to the company.

Gradually, Pizza Hut's customer base has been divided and allocated to its fresher, faster alternatives. To sustain its expensive staffing and restaurants, it would have to charge more – which industry analysts say is challenging at a time when family finances are decreasing.

The managing director of Pizza Hut's overseas branches said the buyout aimed “to protect our guest experience and save employment where possible”.

The executive stated its first focus was to maintain service at the remaining 64 restaurants and off-premise points and to assist staff through the restructure.

But with large sums going into running its restaurants, it may be unable to invest too much in its off-premise division because the market is “complicated and partnering with existing third-party platforms comes at a expense”, analysts say.

Still, experts suggest, cutting its costs by leaving crowded locations could be a effective strategy to adapt.