With number-two pizza chain Domino's hot on its heels, Pizza Hut is going after more budget-minded customers by cutting at least $3 off the price of its pizza pies and making its pricing structure easier for customers to understand, according to the Dow Jones Newswire.

Medium pies that would normally sell for $11, will cost $8 and large pies that used to run $14 will be sold for $10. Both of those prices will include up to three toppings at no additional charge, Chris Fuller, a Pizza Hut spokesman told Dow Jones. Want more toppings? Add two more for $2.

The new, streamlined prices will be rolled out to two-thirds of the U.S. this week, Fuller said. And unlike its $10 for any pizza promotion. which winds down this week, the new prices will be permanent.

David Novak, the CEO of Pizza Hut's parent company, YUM Brands, told the wire that current prices at Pizza Hut are "unsustainable" given that consumers are increasingly looking for value as they tighten their budgets. The executive said a move by the company earlier this year to raise prices was too agressive and helped to open the door for Dominos, which went through a major rebranding campaign with its new recipe and onslaught of ads, to gain some ground.

Domino's leads the way for low-price pizza offerings. Earlier this year, the company introduced a $5.99 deal for two medium, two-topping pies. The value priced deals helped to boost second quarter profits by 56%.

Kurt Kane, Pizza Hut's marketing director, toldAdvertising Age that the company is targeting college students and families on a budget who will surely take advantage of upcoming promotions. In an effort to strengthen its household image, Pizza Hut even changed some of its store names to just 'The Hut'; becoming the go-to spot for quick pizza dinners with great deals.

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