🔗 Share this article

A chief executive of Domino's Pizza Group who proposed the United Kingdom might have reached maximum pizza demand while diversifying the chain into poultry items has been ousted after disagreements with its board.

Executive Transition

Andrew Rennie is departing after just two years in leadership, and will be succeeded on an interim basis by the organization's operations head, Nicola Frampton, while Domino's seeks a long-term chief.

The outgoing executive, who served at the company for more than two decades, had attempted to pivot the UK's leading pizza takeaway chain towards fried chicken, commenting recently there was not “significant expansion” left in the British pizza industry. He noted chicken was the fastest-growing food category in the world.

Governance Friction

Sources suggest that there was tension between Rennie and the directors over his approach and management style, although the company's release said he was leaving “by mutual agreement”.

New Product Introduction

In September, the chain unveiled its chicken-focused offering – which Rennie described as a “major strategic shift” for the company – and is piloting it in 210 outlets in the north-west of England and the province.

While the company is still planning to expand it across its extensive network next year as planned, it considers chicken products as an addition to its core pizza business.

Leadership Statement

Ian Bull, the company chairman, said: “Directors think that there are a range of possibilities to enhance value and performance improvement in the main pizza segment. We are focused on identifying the right chief executive to lead the systematic rollout of that development approach.”

Market Challenges

Earlier this month, the pizza delivery giant, which has 13 million customers in the British Isles, said sales dipped by 1.5% in the Q3. In August, it warned that the quick-service industry had “intensified” as it blamed weaker consumer confidence in the period before the budget and increasing labor expenses for disappointing revenue and a 15 percent decline in six-month income.

Rival chains are also facing challenges. Another major chain announced the closing of dozens of outlets a last month, after the firm behind its British operations faced financial collapse.

Wellness Efforts

Adapting to consumer trends towards better nutrition, the company has launched reduced-calorie products, such as its light base range of pizzas below 400 calories as well as meat-free and allergy-friendly options. A large pepperoni pizza has 2,311 calories. A family cheese pizza has 2,171, while a personal has 909 kcal.

Acting Management

Frampton has been with the company since 2021, and previously worked for the betting firm a well-known operator. It is thought that she prefers not to take on the CEO position on a full-time basis.

She commented: “We have a number of active growth and performance initiatives that we will be focused on carrying out at pace.”

Frampton noted these comprised ongoing development on the company's procurement system and product development, and its customer retention initiative.

Domino's is also without a permanent chief financial officer until the spring, when Andy Andrea starts from the Irish cider and beer maker C&C Group. In the meantime, Snow is interim finance chief.