Peak Pizza? Domino's Pizza CEO Steps Down After Shift Towards Fried Chicken.

A boss of the UK's Domino's Pizza chain who suggested the United Kingdom might have reached peak pizza while diversifying the company into chicken products has been removed after conflicts with its governing body.

Executive Change

Andrew Rennie is leaving after a brief tenure in charge, and will be succeeded on an interim basis by the organization's operations head, Nicola Frampton, while the pizza giant seeks a long-term chief.

The outgoing executive, who worked for Domino's for a substantial period, had aimed to shift the UK's biggest pizza delivery company towards fried chicken, stating recently there was not “massive growth” left in the UK's pizza market. He said poultry was the most rapidly expanding menu item in the world.

Governance Friction

Reports indicate that there was disagreement between Rennie and the board over his approach and business vision, although Domino's announcement said he was leaving “by mutual agreement”.

Recent Product Introduction

In the autumn, Domino's launched its poultry offering – which the former chief called a “major strategic shift” for the group – and is piloting it in 210 outlets in the north-west of England and the province.

While the company is still intending to launch it across its almost 1,400 stores next year as scheduled, it views fried chicken as complementary to its main pizza offerings.

Board Statement

Bull, the Domino's chairman, said: “We are confident that there are a number of opportunities to boost expansion and value creation in Domino's core business. We are prioritizing finding the ideal CEO to direct the careful implementation of that expansion plan.”

Market Challenges

Earlier this month, Domino's, which has a substantial customer base in the British Isles, said transactions declined by 1.5 percent in the third quarter. In August, it alerted that the food delivery sector had “intensified” as it attributed reduced spending in the lead-up to the budget and rising wage costs for weaker-than-expected sales and a 15 percent decline in half-year profits.

Rival chains are also experiencing difficulties. Another major chain revealed the shutting of 68 restaurants a month ago, after the company behind its British operations entered insolvency.

Wellness Efforts

Adapting to consumer trends towards healthier eating, Domino's has introduced lower-calorie options, such as its thin-crust range of bakes below 400 kcal as well as meat-free and gluten-free pizzas. A big pepperoni bake has 2,311 calories. A large cheese and tomato pizza has 2,171, while a small has under 1,000 calories.

Interim Management

Nicola Frampton has been with Domino's since the recent past, and had a background at the betting firm William Hill. It is thought that she does not want to occupy the chief executive role long-term.

Frampton stated: “The company has a multiple active development and efficiency programs that we will be dedicated to executing at a rapid rate.”

Frampton noted these included additional efforts on the company's procurement system and new item creation, and its loyalty scheme.

The pizza chain is also lacking a long-term finance director until the spring, when Andy Andrea comes aboard from the Irish cider and beer maker a well-known firm. In the meantime, Richard Snow acts as acting financial officer.

Patrick Barrett
Patrick Barrett

Elara is a seasoned gaming journalist with a passion for slot mechanics and player advocacy in the UK market.