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The chief executive of the UK's Domino's Pizza chain who indicated the United Kingdom might have reached maximum pizza demand while broadening the company into poultry items has been removed after disagreements with its governing body.

Leadership Change

Rennie is departing after just two years in charge, and will be succeeded on an interim basis by the organization's chief operating officer, Frampton, while the pizza giant searches for a new leader.

Rennie, who was with the company for over 20 years, had aimed to shift the UK's largest pizza delivery company towards fried chicken, remarking recently there was not “significant expansion” left in the pizza sector in the UK. He noted poultry was the most rapidly expanding menu item in the globe.

Governance Tensions

Reports indicate that there was friction between the CEO and the board over his focus and business vision, although the company's announcement said he was stepping down “by mutual agreement”.

New Brand Launch

In September, the chain launched its Chick 'N' Dip brand – which the former chief described as a “bold new chapter” for the group – and is trialling it in over 200 locations in the North West region and the province.

While the company is still intending to launch it across its extensive network in the coming year as intended, it regards chicken products as a supplement for its core pizza business.

Board Comment

Bull, the Domino's chair, said: “We are confident that there are a number of opportunities to boost expansion and profitability in the main pizza segment. We are focused on selecting the suitable leader to oversee the careful implementation of that development approach.”

Industry Challenges

Earlier this month, Domino's, which has 13 million customers in the British Isles, said orders fell by 1.5% in the third quarter. In the summer, it cautioned that the quick-service industry had “intensified” as it attributed economic uncertainty in the run-up to the government announcement and rising wage costs for disappointing revenue and a 15% drop in six-month income.

Competitors are also facing challenges. Pizza Hut announced the closure of dozens of outlets a last month, after the business behind its British operations fell into administration.

Wellness Efforts

Responding to consumer trends towards better nutrition, Domino's has rolled out lower-calorie products, such as its light base range of bakes below 400 calories as well as vegan and gluten-free pizzas. A big pepperoni bake has 2,311 kcals. A big margherita has 2,171 kcal, while a individual has 909 kcal.

Acting Management

Nicola Frampton has been with Domino's since 2021, and had a background at the gaming group William Hill. It is thought that she does not want to occupy the CEO position permanently.

She commented: “The company has a number of current expansion and operational projects that we will be concentrating on implementing at speed.”

She said these involved ongoing development on the company's supply chain and new item creation, and its rewards program.

Domino's is also lacking a long-term finance director until 16 March, when a new appointee joins from the drinks company C&C Group. For now, Snow is acting financial officer.