🔗 Share this article

A chief executive of Domino's Pizza Group who suggested the United Kingdom might have hit maximum pizza demand while broadening the franchise into poultry items has been replaced after disagreements with its board.

Executive Shake-Up

The former CEO is leaving after only 24 months in leadership, and will be succeeded on an interim basis by the organization's operations head, Nicola Frampton, while the pizza giant searches for a new leader.

Rennie, who was with the company for a substantial period, had aimed to shift Britain's largest pizza takeaway chain towards chicken offerings, stating in a recent interview there was not “significant expansion” left in the UK's pizza market. He observed chicken was the fastest-growing menu item in the globe.

Governance Tensions

Sources suggest that there was friction between Rennie and the governance team over his approach and direction, although Domino's announcement said he was departing “as a joint decision”.

New Brand Launch

In September, Domino's unveiled its poultry offering – which the former chief called a “major strategic shift” for the group – and is trialling it in 210 outlets in the north-west of England and Northern Ireland.

While the firm is still planning to expand it across its almost 1,400 stores next year as intended, it regards chicken products as a supplement for its core pizza business.

Leadership Comment

The Domino's chair, the company chairman, said: “Directors think that there are a number of opportunities to enhance value and value creation in Domino's core business. We are concentrating on identifying the ideal CEO to direct the careful implementation of that expansion plan.”

Market Challenges

Recently, the pizza delivery giant, which has 13 million customers in the UK and Ireland, said sales declined by 1.5% in the latest quarter. In the summer, it warned that the takeaway market had “become tougher” as it attributed weaker consumer confidence in the period before the government announcement and increasing labor expenses for weaker-than-expected sales and a significant fall in half-year profits.

Other pizza operators are also facing challenges. Another major chain announced the shutting of multiple locations a month ago, after the company behind its UK venues faced financial collapse.

Wellness Initiatives

Adapting to customer preferences towards better nutrition, the company has rolled out lower-calorie items, such as its light base line of pizzas below 400 calories as well as plant-based and gluten-free options. A family-sized pepperoni has 2,311 calories. A family cheese pizza has 2,171, while a personal has 909 kcal.

Acting Leadership

Nicola Frampton has been with the company since 2021, and previously worked for the gambling company a well-known operator. It is believed that she does not want to take on the CEO position long-term.

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

She added these comprised additional efforts on the company's logistics network and menu innovation, and its loyalty scheme.

Domino's is also without a long-term finance director until 16 March, when Andy Andrea comes aboard from the drinks company a well-known firm. For now, Richard Snow is interim finance chief.