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The head of the UK's Domino's Pizza chain who proposed the United Kingdom might have hit pizza saturation while expanding the franchise into chicken products has been removed after conflicts with its directors.

Executive Change

Rennie is leaving after just two years in leadership, and will be succeeded on an interim basis by the company's chief operating officer, Frampton, while Domino's looks for a permanent CEO.

The outgoing executive, who was with the company for more than two decades, had attempted to redirect Britain's largest pizza takeaway chain towards fried chicken, commenting in a recent interview there was not “significant expansion” left in the British pizza industry. He said poultry was the fastest-growing food category in the globe.

Board Disagreements

Sources suggest that there was friction between Rennie and the directors over his strategy and management style, although Domino's release said he was stepping down “as a joint decision”.

New Product Introduction

In September, Domino's unveiled its poultry brand – which the former chief referred to as a “significant new phase” for the group – and is trialling it in select stores in the North West region and Northern Ireland.

While the company is still planning to expand it across its almost 1,400 stores next year as scheduled, it regards chicken products as complementary to its primary pizza operations.

Board Statement

The Domino's chair, the company chair, commented: “Directors think that there are a range of possibilities to drive further growth and profitability in the main pizza segment. We are focused on selecting the right chief executive to direct the systematic rollout of that expansion plan.”

Market Challenges

In the latest update, the pizza delivery giant, which has a substantial customer base in the British Isles, said orders fell by 1.5% in the latest quarter. In the summer, it cautioned that the quick-service industry had “intensified” as it attributed weaker consumer confidence in the lead-up to the budget and rising wage costs for below-target performance and a 15% drop in six-month income.

Other pizza operators are also struggling. Pizza Hut disclosed the shutting of multiple locations a recently, after the company behind its outlets faced financial collapse.

Wellness Initiatives

Responding to market shifts towards balanced diets, Domino's has introduced light items, such as its light base line of bakes below 400 calories as well as plant-based and allergy-friendly options. A family-sized pepperoni has over 2,300 kcal. A big margherita has over 2,100, while a individual has 909 calories.

Acting Leadership

Nicola Frampton has been with the company since 2021, and previously worked for the betting firm William Hill. It is understood that she is not seeking to assume the CEO position permanently.

She commented: “We have a number of ongoing growth and performance initiatives that we will be concentrating on carrying out at pace.”

She said these involved ongoing development on the company's procurement system and product development, and its rewards program.

The pizza chain is also without a full-time CFO until 16 March, when a new appointee starts from the Irish cider and beer maker C&C Group. For now, Richard Snow is interim finance chief.