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A head of the UK's Domino's Pizza chain who suggested the UK might have reached pizza saturation while expanding the company into poultry items has been removed after conflicts with its board.

Leadership Transition

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

Rennie, who worked for Domino's for a substantial period, had attempted to shift the UK's leading pizza takeaway chain towards fried chicken, remarking earlier this month there was not “significant expansion” left in the pizza sector in the UK. He observed poultry was the fastest-growing food category in the world.

Board Disagreements

Reports indicate that there was friction between Rennie and the board over his strategy and management style, although Domino's official statement said he was stepping down “by mutual agreement”.

Recent Brand Introduction

In the autumn, Domino's launched its Chick 'N' Dip brand – which the former chief referred to as a “major strategic shift” for the group – and is testing it in over 200 locations in the north-west of England and the province.

While the business is still intending to launch it across its nearly 1,400 branches in the coming year as scheduled, it views chicken products as complementary to its main pizza offerings.

Leadership Comment

Bull, the company chair, said: “We are confident that there are a range of possibilities to drive further growth and profitability in Domino's core business. We are focused on finding the ideal CEO to direct the disciplined execution of that expansion plan.”

Industry Difficulties

In the latest update, Domino's, which has millions of users in the British Isles, said sales dipped by 1.5 percent in the third quarter. In August, it alerted that the food delivery sector had “grown more challenging” as it blamed economic uncertainty in the period before the budget and rising wage costs for disappointing revenue and a significant fall in interim earnings.

Other pizza operators are also facing challenges. Another major chain disclosed the closing of dozens of outlets a recently, after the company behind its British operations entered insolvency.

Wellness Initiatives

Responding to customer preferences towards healthier eating, Domino's has rolled out reduced-calorie items, such as its Thin & Crispy line of bakes below 400 kcals as well as plant-based and gluten-free options. A family-sized pepperoni has 2,311 kcals. A large cheese and tomato pizza has over 2,100, while a small has 909 kcal.

Acting Management

The interim chief has been with the company since 2021, and previously worked for the gambling company William Hill. It is thought that she is not seeking to take on the top job permanently.

She commented: “Our team has a number of current expansion and efficiency programs that we will be concentrating on carrying out at pace.”

She said these involved further work on the company's logistics network and menu innovation, and its rewards program.

The pizza chain is also without a full-time finance director until the spring, when a new appointee comes aboard from the Irish cider and beer maker C&C Group. In the meantime, Snow acts as temporary CFO.