Peak Pizza? Domino's Chief Executive Steps Down After Shift Towards Chicken.

The head of Domino's Pizza Group who suggested the United Kingdom might have hit pizza saturation while diversifying the company into poultry items has been removed after conflicts with its directors.

Leadership Change

The former CEO is departing after just two years in charge, and will be succeeded on an temporary basis by the company's operations head, Nicola Frampton, while the pizza giant looks for a new leader.

Rennie, who worked for the company for a substantial period, had attempted to redirect Britain's biggest pizza delivery company towards poultry-based products, remarking earlier this month there was not “massive growth” left in the pizza sector in the UK. He said poultry was the quickest rising food category in the international market.

Board Tensions

Reports indicate that there was friction between Rennie and the board over his approach and direction, although Domino's release said he was departing “as a joint decision”.

New Product Launch

In the autumn, the chain unveiled its poultry brand – which Rennie referred to as a “major strategic shift” for the group – and is trialling it in 210 outlets in the North West region and the province.

While the business is still planning to expand it across its almost 1,400 stores next year as planned, it regards chicken products as complementary to its core pizza business.

Board Statement

Ian Bull, the company chair, commented: “The board believes that there are a range of possibilities to boost expansion 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.”

Industry Challenges

In the latest update, the pizza delivery giant, which has millions of users in the UK and Ireland, said orders dipped by 1.5 percent in the Q3. In the summer, it cautioned that the quick-service industry had “become tougher” as it blamed reduced spending in the period before the budget and rising wage costs for disappointing revenue and a significant fall in six-month income.

Competitors are also experiencing difficulties. Pizza Hut revealed the closure of 68 restaurants a recently, after the business behind its British operations fell into administration.

Health Initiatives

Adapting to consumer trends towards balanced diets, the company has rolled out lower-calorie products, such as its thin-crust line of pizzas below 400 kcals as well as vegan and allergy-friendly pizzas. A big pepperoni bake has over 2,300 kcal. A family cheese pizza has 2,171 kcal, while a personal has under 1,000 calories.

Acting Management

Nicola Frampton has been with Domino's since 2021, and previously worked for the betting firm William Hill. It is believed that she does not want to take on the chief executive role long-term.

Frampton stated: “The company has a multiple ongoing development and performance initiatives that we will be dedicated to executing at pace.”

She said these comprised ongoing development on the organization's supply chain and product development, and its customer retention initiative.

Domino's is also without a permanent chief financial officer until 16 March, when a new appointee starts from the beverage producer a well-known firm. In the meantime, Richard Snow acts as temporary CFO.