Peak Pizza? Domino's Leader Exits After Shift Into Fried Chicken.

A head of the UK's Domino's Pizza chain who proposed the United Kingdom might have hit pizza saturation while expanding the franchise into fried chicken has been ousted after disagreements with its directors.

Leadership Change

Andrew Rennie is departing after only 24 months in leadership, and will be succeeded on an interim basis by the company's chief operating officer, Nicola Frampton, while Domino's searches for a long-term chief.

The outgoing executive, who served at the company for more than two decades, had aimed to shift Britain's largest pizza takeaway chain towards chicken offerings, remarking earlier this month there was not “huge potential” left in the UK's pizza market. He noted poultry was the fastest-growing protein in the globe.

Board Disagreements

Reports indicate that there was tension between the CEO and the governance team over his focus and management style, although the company's announcement said he was stepping down “as a joint decision”.

Recent Product Launch

In the autumn, Domino's introduced its poultry brand – which the former chief described as a “significant new phase” for the company – and is piloting it in 210 outlets in the North West region and the province.

While the company is still planning to expand it across its nearly 1,400 branches in the coming year as planned, it regards chicken products as an addition to its main pizza offerings.

Leadership Statement

Bull, the Domino's chairman, commented: “Directors think that there are a series of prospects to drive further growth and profitability in our primary operations. We are focused on finding the ideal CEO to oversee the disciplined execution of that expansion plan.”

Industry Challenges

In the latest update, the pizza delivery giant, which has millions of users in the UK and Ireland, said orders declined by one and a half percent in the latest quarter. In August, it cautioned that the food delivery sector had “become tougher” as it attributed economic uncertainty in the run-up to the government announcement and rising wage costs for disappointing revenue and a 15% drop in half-year profits.

Rival chains are also struggling. Another major chain announced the closing of multiple locations a recently, after the firm behind its British operations entered insolvency.

Wellness Efforts

Trying to keep up with market shifts towards healthier eating, the company has rolled out light products, such as its Thin & Crispy range of pizzas below 400 kcals as well as vegan and wheat-free pizzas. A family-sized pepperoni has over 2,300 kcal. A big margherita has 2,171 kcal, while a personal has under 1,000 calories.

Interim Leadership

Frampton has been with Domino's since the recent past, and previously worked for the betting firm William Hill. It is believed that she prefers not to take on the CEO position long-term.

She commented: “We have a number of active development and efficiency programs that we will be dedicated to carrying out at speed.”

Frampton noted these involved ongoing development on the company's logistics network and product development, and its rewards program.

The pizza chain is also lacking a permanent finance director until 16 March, when a new appointee starts from the beverage producer a well-known firm. For now, Snow serves as interim finance chief.

Jill Morrison
Jill Morrison

Elara is a passionate storyteller with a background in creative writing, dedicated to crafting immersive tales that resonate with readers worldwide.