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The boss of Domino's Pizza Group who indicated the UK might have hit pizza saturation while diversifying the chain into chicken products has been ousted after tensions with its governing body.

Executive Change

Andrew Rennie is leaving after a brief tenure in charge, and will be replaced on an interim basis by the company's operations head, Frampton, while Domino's looks for a new leader.

Rennie, who was with the company for more than two decades, had aimed to pivot Britain's biggest pizza delivery company towards fried chicken, commenting recently there was not “significant expansion” left in the pizza sector in the UK. He observed poultry was the quickest rising protein in the world.

Board Friction

Reports indicate that there was tension between the CEO and the governance team over his strategy and business vision, although the company's announcement said he was leaving “by mutual agreement”.

New Product Launch

In September, the chain unveiled its Chick 'N' Dip product line – which Rennie referred to as a “bold new chapter” for the group – and is piloting it in 210 outlets in the North West region and the province.

While the business is still going to roll it out across its almost 1,400 stores next year as planned, it regards chicken products as complementary to its primary pizza operations.

Leadership Comment

Bull, the Domino's chairman, commented: “The board believes that there are a number of opportunities to enhance value and performance improvement in Domino's core business. We are concentrating on identifying the ideal CEO to direct the systematic rollout of that expansion plan.”

Market Difficulties

In the latest update, Domino's, which has millions of users in the British Isles, said orders fell by 1.5% in the latest quarter. In the summer, it warned that the food delivery sector had “intensified” as it attributed economic uncertainty in the period before the budget and higher payroll outlays for below-target performance and a 15 percent decline in half-year profits.

Other pizza operators are also experiencing difficulties. Another major chain disclosed the closing of multiple locations a last month, after the company behind its British operations fell into administration.

Wellness Initiatives

Trying to keep up with customer preferences towards healthier eating, the company has introduced reduced-calorie products, such as its thin-crust range of bakes below 400 calories as well as vegan and allergy-friendly pizzas. A family-sized pepperoni has 2,311 kcals. A big margherita has over 2,100, while a personal has under 1,000 calories.

Acting Leadership

Nicola Frampton has been with Domino's since 2021, and was formerly with the gaming group William Hill. It is thought that she is not seeking to take on the chief executive role permanently.

She commented: “We have a number of active expansion and operational projects that we will be dedicated to implementing at a rapid rate.”

She added these involved additional efforts on the company's procurement system and new item creation, and its customer retention initiative.

Domino's is also in need of a permanent chief financial officer until 16 March, when Andy Andrea joins from the beverage producer C&C Group. In the meantime, Richard Snow acts as temporary CFO.