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☆ Yum Brands gets a lift as KFC's cheaper options draw more customers
▼ + stars: | 2023-08-03 | by ( Deborah Mary Sophia | ) www.reuters.com time to read: +2 min

Quarterly comparable sales at KFC jumped 13% and topped estimates for an 8.29% growth, as options like the 2-for-$5 fried chicken wrap and launches including chicken nuggets pulled in lower-income consumers struggling with high food prices. [1/2]A Kentucky Fried Chicken (KFC) bucket of mixed fried and grilled chicken is seen in this picture illustration taken April 6, 2017. Yum Brands' revenue rose 3% to $1.69 billion but fell short of estimates of $1.75 billion, largely due to weaker-than-expected sales at Taco Bell and Pizza Hut. Excluding items, Yum Brands earned $1.41 per share, above estimates of $1.24. Reporting by Deborah Sophia in Bengaluru; Editing by Shinjini Ganguli and Sriraj KalluvilaOur Standards: The Thomson Reuters Trust Principles.

Persons: Taco, David Gibbs, Edward Jones, Brian Yarbrough, Carlo Allegri, Chris Turner, Deborah Sophia, Shinjini Ganguli Organizations: KFC, Taco Bell, Pizza, Yum Brands, Wednesday, REUTERS, Thomson Locations: Pizza, U.S, Kentucky, Russia, Ukraine, Bengaluru

☆ Yum Brands beats quarterly results estimates on KFC boost
▼ + stars: | 2023-08-02 | by ( ) www.reuters.com time to read: +2 min

[1/2] A Kentucky Fried Chicken (KFC) bucket of mixed fried and grilled chicken is seen in this picture illustration taken April 6, 2017. REUTERS/Carlo Allegri/Illustration/File PhotoAug 2 (Reuters) - Yum Brands (YUM.N) topped market estimates for quarterly results on Wednesday, as cheaper meals and promotional offers at its KFC restaurants boosted demand and overshadowed lackluster traffic at Taco Bell and Pizza Hut. Quarterly comparable sales at KFC rose 13%, handily beating estimates of 8.29%, and logging the best same-store sales growth in at least seven quarters. Same-store sales at Yum Brands rose 9% in the quarter ended June 30, compared with analysts' estimates of a 7.01% increase, according to Refinitiv IBES data. Excluding items, Yum Brands earned $1.41 per share, above estimates of $1.24 per share.

Persons: Carlo Allegri, Taco Bell's, Deborah Sophia, Shinjini Organizations: REUTERS, Yum Brands, KFC, Taco Bell, Brands, Thomson Locations: Kentucky, Louisville , Kentucky, Russia, Ukraine, Bengaluru

☆ Taco Bell owner Yum Brands misses revenue estimates despite soaring KFC sales
▼ + stars: | 2023-08-02 | by ( Amelia Lucas | ) www.cnbc.com time to read: +1 min

Yum Brands on Wednesday reported mixed quarterly results as Taco Bell's and Pizza Hut's same-store sales disappointed. Yum Brands' same-store sales grew 9% in the quarter, topping StreetAccount estimates of 6.9%. KFC's system sales in China soared 32%, while its U.S. system sales rose 5%. The pizza chain's domestic same-store sales rose just 1%. Its U.S. same-store sales increased 4%, but its international same-store sales shrank 1% in the quarter.

Persons: Yum Organizations: Brands Inc, Taco, Yum Brands, Refinitiv, U.S Locations: Taco Bell, Kentucky, Louisville , Kentucky, U.S, Russia, China, Taco Bell's

☆ KFC is getting an unexpected boost from Trevor Noah's love of breakfast chicken
▼ + stars: | 2023-08-02 | by ( Grace Mayer | ) www.businessinsider.com time to read: +2 min

KFC's "eat fried chicken for breakfast" campaign with Trevor Noah seems to be boosting sales. The campaign, which was launched in South Africa, has lead to strong sales growth, as noted in Yum Brand's earnings call Wednesday. KFC same store sales rose 13%, adding a huge boost to Yum Brands' overall sales. Yum Brand's, which owns KFC, attributed strong sales in South Africa to a chicken campaign with comedian Trevor Noah during the company's earnings call on Wednesday. The brand recently launched chicken nuggets to expand the brand's off-the-bone offerings.

Persons: Trevor Noah, Noah, Bell Organizations: KFC, Yum Brands, Service Locations: South Africa, Wall, Silicon, China, East

☆ Major global firms warn of slow China sales as post-pandemic surge fades
▼ + stars: | 2023-08-02 | by ( ) www.reuters.com time to read: +4 min

Aug 2 (Reuters) - From consumer goods giant Unilever (ULVR.L) to automaker Nissan (7201.T) and machinery maker Caterpillar (CAT.N), global firms have warned of slowing earnings in China as the world's second-largest economy loses its post-pandemic bounce. A continued rebound has been limited to a handful of sectors such as dining and luxury goods, driving double-digit China sales growth for the likes of Starbucks (SBUX.O) and LVMH (LVMH.PA). Volkswagen (VOWG_p.DE) cut its full-year sales target last week due to a sales dip in China, its top market. "Unfortunately, our (China) sales outlook is now falling far below our production capacity," Nissan CEO Makoto Uchida said last week. "We mentioned during our last earnings call that we expected sales in China to be below the typical 5% to 10% of our enterprise sales.

Persons: Graeme Pitkethly, we're, Makoto Uchida, Jim Umpleby, Jacob Stausholm, Louis Vuitton, Tiffany, Jean, Jacques Guiony, Mimosa Spencer, Sophie Yu, Brenda Goh, Richa Naidu, Melanie Burton, Daniel Leussink, Victoria Waldersee, Miranda Murray, Rishav Chatterjee, Deborah Sophia, Ananya Mariam Rajesh, Yuvraj Malik, Miyoung Kim, Christopher Cushing Organizations: Unilever, Nissan, Caterpillar, Starbucks, Procter, Gamble, L'Oreal, Global, Volkswagen, Samsung, SK Hynix, Apple, Rio Tinto, Tinto, Yum, HK, KFC, Kailyn, Thomson Locations: China, KS, Rio, Yum China, Kailyn Rhone, New York, Paris, Beijing, Shanghai, London, Melbourne, Tokyo, Victoria, Berlin, Bengaluru

☆ A Florida steakhouse is selling a plant-based steak for a whopping $69
▼ + stars: | 2023-08-02 | by ( Nancy Luna | ) www.businessinsider.com time to read: +5 min

A Florida steakhouse chain is joining the fray by selling a $69 plant-based steak by Chunk Foods. Charley's Steak House is billing itself as the first steakhouse chain in the US to add a plant-based steak to its menu. The plant-based steak is so good that some staffers were fooled during blind taste tests, company Executive Vice President Clark Woodsby told Insider. Last year, Beyond Meat's sales slumped as consumers turned away from plant-based meat substitutes. To date, restaurant diners have experienced plant-based foods at fast-food chains like KFC, Pizza Hut, McDonald's, and Chipotle.

Persons: mignon, Charley's, Clark Woodsby, Mignon, Woodsby, Seth Miller, Miller, Amos Golan, Golan Organizations: Chunk Foods, Service, Chunk, Town, Texas Cattle Company, Foods, Steak, Foods Chunk Locations: Florida, Wall, Silicon, Central Florida, FishBones, Texas, Charley's

☆ Apple and these other companies reporting next week have a history of outperforming earnings expectations
▼ + stars: | 2023-07-28 | by ( Hakyung Kim | ) www.cnbc.com time to read: +3 min

Although not an exact science, companies whose quarterly results exceed analyst estimates could see their shares rise in resulting enthusiasm. CNBC Pro screened for the companies scheduled to report earnings next week that also have a record of outperforming the Street's expectations. Apple The maker of the iPhone, iMac and iPad is set to report results Thursday after the bell. Yum China The Chinese restaurant holdings company, which includes KFC and Pizza Hut, has a record of topping earnings estimates 73% of the time. The company has a 75% record of beating earnings estimates and tops revenue forecasts 71% of the time.

Persons: Kraft Heinz, Steve Madden, CNBC's Michael Bloom, Fred Imbert Organizations: Apple, Qualcomm, Devices, Kraft, CNBC Pro, Investment, Bank of America, KFC Locations: Cupertino , California, China, Yum China

☆ Morgan Stanley's top picks for the rest of earnings season
▼ + stars: | 2023-07-26 | by ( Hakyung Kim | ) www.cnbc.com time to read: +4 min

While Wall Street's expectations are lower this corporate earnings season, there are still several stocks Morgan Stanley said could rise in the near term. Morgan Stanley's estimates for second-quarter earnings are down 9% year to date and flat sales growth, which the firm attributes to lagged and elevated costs. Amazon is one of Morgan Stanley's top picks for this earnings season. The firm believes potential catalysts include positive earnings revisions and its AWS Summit on cloud computing and generative artificial intelligence. He added that multiple appreciation and earnings revisions could drive the stock upward.

Persons: Morgan Stanley, Morgan Stanley's, Michelle Weaver, Brian Nowak, Brian Harbour, Yum, Elizabeth Porter, Porter, — CNBC's Michael Bloom Organizations: Pharmaceutical, Merck, Pfizer, Devices, Tech, Amazon, Yum Brands, Taco Bell Locations: North America, China

☆ The unofficial timeline of how Burger King's 'have it your way' offer ended up with a guy ordering a $290, 100-patty burger in Bangkok
▼ + stars: | 2023-07-21 | by ( Kai Xiang Teo | ) www.businessinsider.com time to read: +3 min

Burger King Thailand has released a 100-patty burger that costs nearly $300. Which is how, 69 years after Burger King was founded, we find ourselves staring a monstrous, 100-patty burger straight in the face. July 2023: Burger King Thailand unleashes the "Real Cheese Burger" upon the world, featuring twenty slices of cheese and nothing else between two buns. July 2023: A week after the debut of the real cheese burger, the Thai chain one-ups itself by releasing the Real Meat Burger, a vegetarian's nightmare consisting solely of patties. And while Burger King might have the spotlight right now, the competition is stiffer than ever.

Persons: Burger, McDonald's, Burger King, Marielle Descalsota, hadn't Organizations: Burger King, Service, McDonald's, Burger Locations: Burger, Burger King Thailand, Wall, Silicon, Burger King Brazil, Thai, Bangkok

[1/5] A Domino's staff member stands next to a sign for a 49-rupee pizza at a restaurant in Noida, India, July 4, 2023. A: With the world's cheapest Domino's pizza. "You are coming to the store or open the app, because there is a 49-rupee callout," he said, adding that Domino's global team supported the plans. Domino's global HQ referred queries about India to its local franchisee. When Khetarpal visited Domino's stores in Chennai and other cities, he said he saw customers emptying out their pockets and only being able to scrape together 49 rupees.

Persons: Adnan Abidi, Sameer Khetarpal, Khetarpal, Merrill Pereyra, They'll, Akshay Jatia, Westlife, It's, Devanshu Bansal, Kiran Raj, Praveen Paramasivam, Aditya Kalra, Saurabh Sharma, Jatindra, Brenda Goh, Hilary Russ, Abhirup Roy, Miyoung Kim, Pravin Organizations: REUTERS, U.S, India, Sapphire Foods, Domino's, Burger King's, Restaurant Brands, Euromonitor, Yum Brands, Global Financial Services, Pravin Char, Thomson Locations: Noida, India, CHENNAI, DELHI, America, Shanghai, San Francisco, Burger, zeroing, Pizza, New Delhi, Chennai, Burger King's India, United States, U.S, Lucknow, Bhubaneswar, New York, Singapore

☆ Diners are shocked to see a 4% 'employee healthcare' fee on their bills at an LA restaurant — but the owner says it's common
▼ + stars: | 2023-07-07 | by ( Nancy Luna | ) www.businessinsider.com time to read: +7 min

Diners are increasingly noticing restaurant surcharges. A Los Angeles eatery received blowback after a diner tweeted about its 4% healthcare surcharge. Some questioned if the owner would cancel an employee's health insurance on a slow night. If the restaurant has a slow day or u opt-out, do staff not get health insurance that day?" "As most LA diners will know, Alimento's 4% healthcare surcharge is hardly unique," he wrote.

Persons: Dave Anthony, Mr Dave Anthony, Lord, Anthony, Alimento, Zach Pollack, Instagram, Pollack, Condie, surcharges, Vinny's Organizations: Industry, Service, Twitter, Affordable, ACA, California Restaurant Association, Restaurant Association, Jon, Daily Mail, CRA Locations: Los Angeles, Wall, Silicon, Italian, Silver Lake, North America, California, San Francisco, Dallas

☆ Retail crime has hit a bustling Kansas metropolis
▼ + stars: | 2023-07-02 | by ( Parija Kavilanz | ) edition.cnn.com time to read: +12 min

Republican Kris Kobach, Kansas’ attorney general, said retail crime is a “spiraling problem” in his state, adding that Kansas and Missouri are among the top 10 states in the nation for volume of retail crime. “There is a link between drug trafficking and organized retail crime,” Kobach told lawmakers in June. “Organized retail crime is a problem that is getting worse, not better. Organized retail crime offers criminals a business model of pure profit, “with no overhead, rent, product cost. In early June, Kobach testified before a House Judiciary Committee hearing on “Organized Retail Crime and the Threat to Public Safety.”“When one thinks about the explosion of organized retail crime in the United States, the State of Kansas may not intuitively jump to mind,” he told lawmakers.

Persons: They’re, it’s, Coleman, “ I’ve, ”, Casey Slaughter, Kris Kobach, Kobach, ” Kobach, Joe Sullivan, Sullivan, ” Sullivan, Joe Sohm, Cabela’s, shoplifters, ” Cabela’s, Slaughter, “, Marc Bennett, There’s, Harold Casey, Casey, She’s, Poor, John Hanna, don’t, “ That’s Organizations: New, New York CNN, Wichita Police, Kansas, CNN, “, Wichita, Wichita Skyline, America, Sporting Goods, Academy Sports, National Retail Federation, Centers for Disease Control, of Kansas, Scott, Family Services, ”, Walgreens, Public Safety Locations: New York, San Francisco, Chicago, Wichita , Kansas, Kris Kobach , Kansas, Kansas, Missouri, In Kansas, Sedgwick, Wichita, Arkansas Rivers, , Kansas, ”, Kansas . Kansas, Sedgwick County, Ulta, United States, State, But Kansas, “ In Kansas

☆ Pizza Hut tests underground deliveries ahead of ‘Teenage Mutant Ninja Turtles’ movie release
▼ + stars: | 2023-06-24 | by ( Ashley R. Williams | ) edition.cnn.com time to read: +1 min

CNN —In a nod to the Teenage Mutant Ninja Turtles’ favorite food, Pizza Hut served up its signature dish to select customers in the subways of New York City, the company announced. The limited-time underground deliveries were part of a promotion for the upcoming film, “Teenage Mutant Ninja Turtles: Mutant Mayhem,” which hits theaters August 2, according to a news release. “Pizza Hut and Teenage Mutant Ninja Turtles have a longstanding history that goes back to the ’90s. A YouTube video from the pizza company showed subway travelers appearing in disbelief at Union Square station as the pizza they ordered via text was hand delivered to them. Pizza Hut has previously been involved with promoting films in the Teenage Mutant Ninja Turtles universe.

Persons: ”, Pizza, Lindsay Morgan, “, ” Morgan, van Organizations: CNN, San Diego Comic, MTV Locations: New York City, Manhattan, New York

☆ How restaurants such as Panera and Chipotle are dipping into A.I. to streamline food prep and ordering
▼ + stars: | 2023-06-17 | by ( Kate Rogers | ) www.cnbc.com time to read: +3 min

From drive-thru to back-of-house operations to predictive ordering for consumers, restaurant brands are starting to pilot artificial intelligence to streamline food service. McDonald's , for its part, sold McD Tech Labs to IBM in 2021, entering a strategic partnership to help bring AI technology to drive-thru lanes. McD Tech Labs, which was formerly known as Apprente before McDonald's acquired it, used AI to understand drive-thru orders. Del Taco is also using voice-activated AI for orders at its drive-thru, as is Wingstop for orders placed by phone. For Panera, it's a question of, "How do we redeploy our people to higher value, higher quality guest experiences," said Chief Digital Officer George Hanson.

Persons: there's, TD Cowen, Andrew Charles, Cowen, Charles ., Carl's Jr, CKE, Dragontail, McDonald's, George Hanson, Hanson Organizations: National Restaurant Association, Presto, Brands, Tech Labs, IBM, Miso Robotics, CNBC Locations: U.S, Del

☆ How to create with AI, including art, music, and writing, according to people who've written songs, stories, and letters
▼ + stars: | 2023-06-13 | by ( Jack Sommers | ) www.businessinsider.com time to read: +5 min

These five people used the tools to make content including a song and a commercial. A song for EurovisionInsider's Chloe Pantazi was underwhelmed by this year's Eurovision song contest. But ChatGPT gave him the space to experiment with the writing in a way he didn't feel comfortable with before. Insider produced a step-by-step guide of how to use it and Craiyon, another free tool that uses AI to generate images. Read more: I used Lensa, the chart-topping app, to make myself a masterpiece digital work of art — here's how it works

Persons: —, ChatGPT, Chloe Pantazi, Sweden's, Pantazi, Spriha Srivastava, Luke Skywalker, Darth Vader, Matt Huculak, Huculak, Read, Elon Musk, . DALL, OpenAI, Lensa, Bethany Biron, Elizabeth Holmes, Biron Organizations: Service, Eurovision, University of Victoria, University of Cambridge Locations: British Columbia, Canada, Cambridge

That month, it announced five new agreements with multi-unit operators to condense and transfer more than 230 existing restaurants. "There is strong interest in growth opportunities with Subway from multi-unit operators," Subway said in a statement to Reuters for this story. Klein, the franchise attorney, said that since 2022, his firm examined three multi-unit Subway deals on behalf of clients interested in investing in the chain for the first time. Of the 100 largest multi-unit U.S. restaurant franchisees by revenue in 2022, none had a Subway in their portfolio, according to a ranking by Franchise Times magazine. Instead, top franchisees owned hundreds of Wendy's (WEN.O), Yum Brands' (YUM.N) Pizza Hut and Taco Bell, Restaurant Brands' Burger King, Dine Brands' (DIN.N) Applebee's and other chains.

Persons: Justin Klein, John Gordon, Klein, it's, Gordon, Burger, Alicia Miller, Hilary Russ, Matthew Lewis Organizations: YORK, Subway, Reuters, QSR Magazine, Restaurant Brands International Inc, Times, Yum Brands, Bell, Restaurant Brands, Catalyst Insight, Thomson Locations: United States, U.S, Miami, Jersey, New York, Nevada, New Mexico

☆ 30-year-old started his business with a website, sewing kit and Pizza Hut salary—now he's a billionaire
▼ + stars: | 2023-05-26 | by ( Megan Sauer | ) www.cnbc.com time to read: +3 min

Ben Francis didn't become wealthy through a family inheritance or business school connections. Originally, Francis and co-founder Lewis Morgan launched Gymshark as a website selling fitness supplements, he told CNBC Make It in 2021. "CEO was not the right role for me when I was in my early 20s," Francis told CNBC Make It. "Just because I'd started a business that had grown very quickly didn't mean I was the most competent chief exec." "I really think Gymshark can be the U.K.'s answer to those brands," Francis told CNBC Make It.

☆ A 30-year-old university dropout and former Pizza Hut delivery driver is now worth $1.1 billion — 3 times more than Ed Sheeran
▼ + stars: | 2023-05-21 | by ( Sam Tabahriti | ) www.businessinsider.com time to read: +2 min

Ben Francis is a university dropout and former Pizza Hut delivery driver who founded Gymshark. The 30-year-old is up seven places to 184th on this year's Sunday Times Rich List. He's now worth £900 million, or $1.1 billion, putting him up seven places to 184th on this year's Sunday Times Rich List. After leaving Aston University in Birmingham, England, Francis cofounded the sportswear company Gymshark. The pair were turning over about £300 a day at that time, Francis wrote.

☆ China's recovery lifts U.S. companies' sales as domestic consumers pull back spending
▼ + stars: | 2023-05-14 | by ( Amelia Lucas | ) www.cnbc.com time to read: +3 min

U.S. companies are reporting that demand in China is returning, boosting their sales at a time when many U.S. consumers are pulling back their spending. Starbucks reported that its same-store sales in China rose 3% in its latest quarter, reversing their declines. Some Wall Street analysts were still anticipating shrinking same-store sales for the company's second-largest market. That quarter, Starbucks' same-store sales in China sank 23%. Yum China , Yum Brands' master franchisee in China, also said its same-store sales grew 8% in the first quarter.

☆ Inside the Delirious Rise of ‘Superfake’ Handbags
▼ + stars: | 2023-05-04 | by ( Amy X. Wang | Grant Cornett | ) www.nytimes.com time to read: +3 min

Once upon a time, the legend goes, Theseus slew the Minotaur and sailed triumphantly home to Athens on a wooden ship. What if, Thomas Hobbes wondered, someone rustled up a second boat out of the discarded planks; would you now have two original vessels? Not long ago, I found myself wandering through Paris with a fake Celine handbag slung over my shoulder. In France, a country that prides itself on originating so much of the world’s fashion, punishments for counterfeiting are severe, to the point that I technically risked three years in prison just by carrying my little knockoff around. My plunge into the world of fantastically realistic counterfeit purses — known as “superfakes” to vexed fashion houses and I.P.

☆ Yum Brands earnings miss estimates despite KFC and Pizza Hut's recovery in China
▼ + stars: | 2023-05-03 | by ( Amelia Lucas | ) www.cnbc.com time to read: +3 min

Yum Brands on Wednesday reported quarterly earnings that fell short of analysts' expectations, despite a China sales rebound for KFC and Pizza Hut. Yum joins the growing list of companies that includes Procter & Gamble and Starbucks that have reported recovering sales in China. In China, KFC's largest market, system sales climbed 17%, helping lift the chain's international same-store sales growth 11%. Overall, Pizza Hut's same-store sales rose 7%. Next quarter, Yum won't face any comparisons that include its Russian business because the company suspended operations there in early March last year.

☆ Pizza Hut-parent Yum Brands profit sliced by promotions
▼ + stars: | 2023-05-03 | by ( Deborah Mary Sophia | ) www.reuters.com time to read: +2 min

Shares of the KFC and Pizza Hut owner tumbled more than 4% after the company also warned of a $10 million to $20 million hit to current-quarter operating profit. However, along with higher food and labor costs, foreign exchange pressures and ramped up investments in automation and digital business, the aggressive promotions largely drove a 25% slump in profit. McDonald's Corp (MCD.N), Burger King parent Restaurant Brands (QSR.TO) and Chipotle Mexican Grill (CMG.N) all topped quarterly sales and profit estimates on the back of price hikes and robust demand. Labor challenges were also easing, with the company seeing job application rates increase while staffing levels were either at or near 2019 levels. Excluding special items, it earned $1.06 per share, missing estimates of $1.13, according to Refinitiv data.

☆ KFC owner says its 2-for-$5 deal on fried chicken wraps is winning over low-income shoppers that are being pummelled by rising costs
▼ + stars: | 2023-05-03 | by ( Sawdah Bhaimiya | ) www.businessinsider.com time to read: +2 min

KFC launched a two-for-$5 promotion on fried chicken wraps earlier this year. This deal led to strong sales from low-income shoppers at KFC during the first quarter, its parent company said. "In the Q1 KFC rolled out those $5 wraps," Yum Brands CEO David Gibbs said during the call. KFC added chicken wraps to its US menu in February 2023 after a trial in Atlanta in 2022. Insider reached out to Yum Brands for more details on how long the deal would run but did not immediately hear back.

☆ Here's how to use AI to make a commercial in 3 hours, according to the guy whose creepy pizza ad grabbed the attention of Elon Musk
▼ + stars: | 2023-04-30 | by ( Hannah Getahun | ) www.businessinsider.com time to read: +7 min

Here's how you can make your own AI commercial. Use an image generator to come up with artThe stills in the AI pizza commercial, including the final exterior shot of the phony pizzeria, were created using Midjourney, which Pizza Later described as "mind-blowing." Midjourney // PIzza LaterUse a video generator to come up with clipsThe most noticeable aspect of the Pizza Hug Spot commercial was the video clips created using AI. For the Pepperoni Hug Spot commercial, Pizza Later also used Runway AI, a text-to-video generator, to create short clips to add to the commercial. Put it up for the world to seeAfter releasing the commercial, Pizza Later said he was surprised by the widespread online reaction.

☆ This AI-generated ad for a fake pizza restaurant shows the tech still has a long way to go
▼ + stars: | 2023-04-27 | by ( Britney Nguyen | ) www.businessinsider.com time to read: +4 min

A Reddit user posted a pizza ad he made using AI tools like ChatGPT Plus and Midjourney. The ad is for a fake pizza restaurant called "Pepperoni Hug Spot," and shows "people" eating pizza. Well unsurprisingly, the ad for a fake pizza restaurant called "Pepperoni Hug Spot" is not real — it's all AI-generated. The fake pizza restaurant ad was created by a Reddit user named PizzaLater, and was posted to the Midjourney Reddit page. "Our chefs make pizza with heart and special touch," the ad says, not too far off something a normal pizza ad would say.

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