🔗 Share this article

The chief executive of the UK's Domino's Pizza chain who indicated the UK might have hit maximum pizza demand while expanding the company into fried chicken has been removed after tensions with its board.

Executive Shake-Up

Rennie is exiting after just two years in charge, and will be replaced on an interim basis by the organization's chief operating officer, Nicola Frampton, while Domino's seeks a long-term chief.

Rennie, who worked for the company for over 20 years, had sought to redirect the UK's biggest pizza delivery company towards chicken offerings, remarking earlier this month there was not “significant expansion” left in the UK's pizza market. He observed poultry was the most rapidly expanding food category in the globe.

Board Tensions

Reports indicate that there was tension between Rennie and the board over his approach and management style, although the company's announcement said he was departing “by mutual agreement”.

Recent Brand Launch

In the autumn, Domino's launched its chicken-focused product line – which Rennie referred to as a “bold new chapter” for the company – and is piloting it in 210 outlets in the north-west of England and Northern Ireland.

While the company is still planning to expand it across its almost 1,400 stores next year as scheduled, it regards fried chicken as a supplement for its main pizza offerings.

Leadership Statement

Ian Bull, the company chairman, said: “Directors think that there are a range of possibilities to enhance value and profitability in the main pizza segment. We are concentrating on finding the suitable leader to direct the careful implementation of that growth strategy.”

Industry Difficulties

Recently, the pizza delivery giant, which has a substantial customer base in the British Isles, said sales declined by 1.5% in the third quarter. In August, it cautioned that the takeaway market had “grown more challenging” as it attributed reduced spending in the period before the government announcement and increasing labor expenses for disappointing revenue and a 15% drop in half-year profits.

Other pizza operators are also experiencing difficulties. Pizza Hut announced the closing of multiple locations a last month, after the company behind its outlets fell into administration.

Health Efforts

Responding to customer preferences towards better nutrition, Domino's has introduced reduced-calorie items, such as its Thin & Crispy range of bakes below 400 calories as well as plant-based and allergy-friendly options. A big pepperoni bake has over 2,300 kcal. A big margherita has 2,171, while a small has under 1,000 calories.

Acting Leadership

Frampton has been with Domino's since 2021, and had a background at the gaming group a well-known operator. It is thought that she does not want to assume the CEO position on a full-time basis.

She said: “Our team has a several ongoing growth and efficiency programs that we will be focused on executing at a rapid rate.”

She added these comprised further work on the company's logistics network and new item creation, and its rewards program.

Domino's is also lacking a permanent finance director until 16 March, when Andy Andrea starts from the beverage producer C&C Group. For now, Richard Snow is interim finance chief.