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The head of Domino's Pizza Group who suggested the UK might have hit maximum pizza demand while diversifying the chain into fried chicken has been ousted after conflicts with its board.

Leadership Change

Andrew Rennie is departing after just two years in charge, and will be replaced on an temporary basis by the organization's chief operating officer, Nicola Frampton, while Domino's seeks a permanent CEO.

The outgoing executive, who served at the company for a substantial period, had aimed to pivot Britain's leading pizza food delivery firm towards chicken offerings, commenting in a recent interview there was not “huge potential” left in the British pizza industry. He noted poultry was the most rapidly expanding protein in the international market.

Board Tensions

Sources suggest that there was disagreement between Rennie and the board over his strategy and direction, although Domino's release said he was stepping down “by mutual agreement”.

New Brand Introduction

In September, Domino's launched its chicken-focused offering – which Rennie referred to as a “major strategic shift” for the group – and is testing it in select stores in the North West region and the province.

While the company is still intending to launch it across its nearly 1,400 branches in the coming year as intended, it views chicken products as a supplement for its core pizza business.

Board Comment

The Domino's chair, the company chair, commented: “We are confident that there are a series of prospects to boost expansion and value creation in the main pizza segment. We are prioritizing identifying the suitable leader to lead the careful implementation of that development approach.”

Industry Difficulties

Earlier this month, Domino's, which has a substantial customer base in the British Isles, said orders declined by 1.5 percent in the Q3. In the summer, it warned that the food delivery sector had “intensified” as it blamed reduced spending in the period before the government announcement and increasing labor expenses for weaker-than-expected sales and a 15% drop in six-month income.

Rival chains are also experiencing difficulties. Another major chain revealed the closing of 68 restaurants a last month, after the company behind its outlets faced financial collapse.

Health Efforts

Trying to keep up with consumer trends towards better nutrition, the company has introduced lower-calorie options, such as its light base range of pizzas below 400 kcal as well as meat-free and gluten-free options. A large pepperoni pizza has over 2,300 kcal. A family cheese pizza has 2,171, while a personal has 909 kcal.

Interim Leadership

The interim chief has been with Domino's since 2021, and previously worked for the gambling company William Hill. It is believed that she does not want to take on the chief executive role permanently.

She said: “The company has a multiple active growth and performance initiatives that we will be focused on carrying out at speed.”

Frampton noted these included additional efforts on the organization's procurement system and menu innovation, and its rewards program.

Domino's is also in need of a full-time CFO until 16 March, when Andy Andrea joins from the beverage producer C&C Group. For now, Snow acts as temporary CFO.