🔗 Share this article

The head of Domino's Pizza Group who proposed the UK might have reached maximum pizza demand while broadening the chain into poultry items has been ousted after disagreements with its governing body.

Executive Change

Rennie is exiting after a brief tenure in leadership, and will be replaced on an interim basis by the organization's operations head, Nicola Frampton, while the pizza giant looks for a long-term chief.

Rennie, who served at Domino's for a substantial period, had sought to redirect the UK's largest pizza delivery company towards fried chicken, stating in a recent interview there was not “massive growth” left in the UK's pizza market. He said poultry was the fastest-growing food category in the world.

Governance Tensions

Reports indicate that there was disagreement between the CEO and the directors over his focus and business vision, although Domino's announcement said he was departing “by mutual agreement”.

New Product Launch

In September, the chain introduced its Chick 'N' Dip product line – which the former chief referred to as a “significant new phase” for the organization – and is testing it in over 200 locations in the north-west of England and Northern Ireland.

While the company is still going to roll it out across its almost 1,400 stores next year as planned, it views fried chicken as a supplement for its main pizza offerings.

Leadership Statement

Bull, the Domino's chairman, said: “Directors think that there are a series of prospects to enhance value and performance improvement in our primary operations. We are prioritizing identifying the suitable leader to direct the careful implementation of that growth strategy.”

Industry Challenges

Recently, Domino's, which has millions of users in the UK and Ireland, said orders fell by 1.5% in the Q3. In the summer, it warned that the quick-service industry had “grown more challenging” as it blamed weaker consumer confidence in the run-up to the budget and rising wage costs for weaker-than-expected sales and a 15% drop in six-month income.

Other pizza operators are also struggling. Another major chain announced the closure of dozens of outlets a month ago, after the company behind its British operations fell into administration.

Health Efforts

Adapting to customer preferences towards better nutrition, Domino's has rolled out lower-calorie products, such as its thin-crust range of bakes below 400 kcal as well as plant-based and gluten-free pizzas. A family-sized pepperoni has 2,311 kcals. A big margherita has 2,171, while a personal has 909 calories.

Interim Management

Nicola Frampton has been with the company since the recent past, and had a background at the gaming group William Hill. It is believed that she prefers not to assume the CEO position permanently.

Frampton stated: “We have a multiple current expansion and operational projects that we will be focused on implementing at speed.”

Frampton noted these involved ongoing development on the company's supply chain and new item creation, and its customer retention initiative.

The pizza chain is also without a permanent CFO until the spring, when Andy Andrea comes aboard from the drinks company C&C Group. Until then, Richard Snow serves as interim finance chief.