Has Pizza Peaked? Domino's Pizza Leader Steps Down Following Move Into Chicken.
The chief executive of the UK's Domino's Pizza chain who suggested the United Kingdom might have reached maximum pizza demand while diversifying the chain into poultry items has been ousted after conflicts with its governing body.
Executive Shake-Up
Rennie is departing after only 24 months in charge, and will be replaced on an temporary basis by the organization's chief operating officer, Frampton, while the pizza giant looks for a long-term chief.
The outgoing executive, who was with the company for over 20 years, had sought to pivot the UK's leading pizza takeaway chain towards fried chicken, remarking earlier this month there was not “massive growth” left in the British pizza industry. He said chicken was the most rapidly expanding protein in the world.
Board Disagreements
Reports indicate that there was disagreement between the CEO and the board over his approach and management style, although Domino's announcement said he was stepping down “as a joint decision”.
Recent Product Launch
In the autumn, Domino's introduced its Chick 'N' Dip offering – which the former chief described as a “significant new phase” for the company – and is piloting it in over 200 locations in the North West region and the province.
While the company is still intending to launch it across its nearly 1,400 branches in 2026 as planned, it regards chicken products as an addition to its primary pizza operations.
Board Statement
The Domino's chair, the company chairman, stated: “The board believes that there are a range of possibilities to boost expansion and profitability in our primary operations. We are focused on finding the suitable leader to lead the careful implementation of that growth strategy.”
Industry Difficulties
Earlier this month, Domino's, which has millions of users in the UK and Ireland, said sales declined by 1.5 percent in the third quarter. In the summer, it warned that the takeaway market had “intensified” as it attributed economic uncertainty in the period before the budget and rising wage costs for weaker-than-expected sales and a 15 percent decline in interim earnings.
Other pizza operators are also facing challenges. Pizza Hut disclosed the closure of dozens of outlets a recently, after the business behind its British operations faced financial collapse.
Health Initiatives
Trying to keep up with customer preferences towards healthier eating, Domino's has launched light options, such as its light base selection of pizzas below 400 calories as well as plant-based and wheat-free pizzas. A family-sized pepperoni has 2,311 kcals. A large cheese and tomato pizza has 2,171 kcal, while a personal has 909 kcal.
Acting Leadership
The interim chief has been with the company since 2021, and had a background at the gaming group William Hill. It is believed that she does not want to take on the chief executive role on a full-time basis.
Frampton stated: “We have a number of current development and efficiency programs that we will be dedicated to executing at pace.”
Frampton noted these comprised additional efforts on the company's supply chain and menu innovation, and its loyalty scheme.
The pizza chain is also without a full-time finance director until 16 March, when Andrea joins from the beverage producer a well-known firm. In the meantime, Richard Snow serves as interim finance chief.