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The head of Domino's Pizza Group who indicated the United Kingdom might have reached peak pizza while expanding the franchise into poultry items has been replaced after conflicts with its governing body.

Executive Transition

Andrew Rennie is leaving after only 24 months in leadership, and will be replaced on an interim basis by the company's operations head, Nicola Frampton, while Domino's searches for a new leader.

The outgoing executive, who worked for Domino's for over 20 years, had sought to shift Britain's leading pizza food delivery firm towards poultry-based products, remarking recently there was not “huge potential” left in the British pizza industry. He noted poultry was the fastest-growing protein in the international market.

Governance Friction

Sources suggest that there was friction between the CEO and the directors over his approach and business vision, although the company's release said he was departing “as a joint decision”.

Recent Product Launch

In the autumn, the chain introduced its chicken-focused product line – which Rennie referred to as a “major strategic shift” for the organization – and is testing it in over 200 locations in the north-west of England and Northern Ireland.

While the business is still going to roll it out across its nearly 1,400 branches next year as scheduled, it views fried chicken as an addition to its primary pizza operations.

Board Comment

The Domino's chair, the Domino's chair, commented: “The board believes that there are a range of possibilities to drive further growth and value creation in our primary operations. We are prioritizing identifying the suitable leader to direct the careful implementation of that expansion plan.”

Industry Difficulties

Earlier this month, the pizza delivery giant, which has 13 million customers in the UK and Ireland, said sales declined by one and a half percent in the third quarter. In August, it warned that the food delivery sector had “grown more challenging” as it blamed reduced spending in the period before the budget and rising wage costs for below-target performance and a significant fall in interim earnings.

Rival chains are also experiencing difficulties. Another major chain disclosed the closing of dozens of outlets a recently, after the firm behind its outlets faced financial collapse.

Wellness Initiatives

Trying to keep up with market shifts towards better nutrition, the company has launched lower-calorie products, such as its Thin & Crispy selection of bakes below 400 kcals as well as meat-free and gluten-free pizzas. A family-sized pepperoni has 2,311 kcals. A large cheese and tomato pizza has 2,171, while a small has 909 calories.

Interim Management

Nicola Frampton has been with the company since 2021, and was formerly with the gaming group William Hill. It is believed that she is not seeking to occupy the chief executive role long-term.

Frampton stated: “Our team has a several current growth and efficiency programs that we will be dedicated to carrying out at pace.”

She added these comprised ongoing development on the company's supply chain and menu innovation, and its loyalty scheme.

The pizza chain is also in need of a permanent CFO until March 16, when a new appointee starts from the beverage producer a well-known firm. Until then, Snow acts as interim finance chief.