Has Pizza Peaked? Domino's Pizza Leader Steps Down Following Move Towards Fried Chicken.

The boss of the UK's Domino's Pizza chain who proposed the United Kingdom might have hit maximum pizza demand while expanding the franchise into chicken products has been ousted after conflicts with its directors.

Leadership Change

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

Rennie, who was with Domino's for a substantial period, had aimed to pivot Britain's biggest pizza takeaway chain towards poultry-based products, remarking in a recent interview there was not “massive growth” left in the UK's pizza market. He said chicken was the quickest rising protein in the globe.

Governance Disagreements

Sources suggest that there was disagreement between Rennie and the board over his strategy and business vision, although the company's official statement said he was departing “as a joint decision”.

New Brand Introduction

In September, Domino's launched its poultry product line – which Rennie called a “bold new chapter” for the group – and is testing it in select stores in the north-west of England and the province.

While the company is still going to roll it out across its nearly 1,400 branches in the coming year as planned, it considers fried chicken as complementary to its core pizza business.

Leadership Statement

Ian Bull, the company chair, said: “The board believes that there are a number of opportunities to drive further growth and profitability in our primary operations. We are prioritizing selecting the ideal CEO to oversee the careful implementation of that expansion plan.”

Market Challenges

Earlier this month, Domino's, which has a substantial customer base in the UK and Ireland, said sales fell by one and a half percent in the Q3. In the summer, it warned that the food delivery sector had “become tougher” as it blamed reduced spending in the run-up to the government announcement and higher payroll outlays for weaker-than-expected sales and a significant fall in six-month income.

Competitors are also facing challenges. Pizza Hut revealed the closing of dozens of outlets a last month, after the company behind its British operations fell into administration.

Wellness Initiatives

Trying to keep up with market shifts towards healthier eating, the company has introduced light items, such as its Thin & Crispy range of pizzas below 400 calories as well as vegan and allergy-friendly pizzas. A large pepperoni pizza has 2,311 calories. A large cheese and tomato pizza has over 2,100, while a small has under 1,000 calories.

Interim Leadership

Nicola Frampton has been with the company since 2021, and previously worked for the gambling company a well-known operator. It is thought that she is not seeking to occupy the top job on a full-time basis.

She said: “Our team has a several ongoing growth and efficiency programs that we will be focused on executing at a rapid rate.”

Frampton noted these involved additional efforts on the company's supply chain and new item creation, and its customer retention initiative.

Domino's is also in need of a long-term CFO until March 16, when Andy Andrea comes aboard from the drinks company a well-known firm. In the meantime, Snow serves as interim finance chief.

Steven Ortiz
Steven Ortiz

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