Has Pizza Peaked? Domino's Leader Steps Down Following Move Into Chicken.
A chief executive of Domino's Pizza Group who indicated the United Kingdom might have reached peak pizza while diversifying the franchise into fried chicken has been ousted after tensions with its governing body.
Executive Shake-Up
Rennie is departing after just two years in the top role, and will be replaced on an interim basis by the company's chief operating officer, Frampton, while Domino's looks for a permanent CEO.
The outgoing executive, who worked for Domino's for more than two decades, had aimed to pivot the UK's biggest pizza food delivery firm towards poultry-based products, remarking earlier this month there was not “huge potential” left in the UK's pizza market. He observed poultry was the most rapidly expanding protein in the world.
Governance Tensions
It is understood that there was disagreement between the CEO and the board over his strategy and management style, although the company's official statement said he was stepping down “by mutual agreement”.
Recent Product Introduction
In the autumn, Domino's launched its chicken-focused offering – which the former chief referred to as a “significant new phase” for the group – and is piloting it in 210 outlets in the north-west of England and the province.
While the firm is still going to roll it out across its extensive network in 2026 as intended, it views chicken products as an addition to its core pizza business.
Board Statement
Ian Bull, the Domino's chair, said: “Directors think that there are a range of possibilities to enhance value and value creation in the main pizza segment. We are concentrating on finding the suitable leader to lead the careful implementation of that growth strategy.”
Industry Challenges
Earlier this month, Domino's, which has a substantial customer base in the British Isles, said orders declined by 1.5% in the Q3. In August, it alerted that the takeaway market had “intensified” as it blamed weaker consumer confidence in the run-up to the government announcement and rising wage costs for below-target performance and a 15 percent decline in six-month income.
Other pizza operators are also struggling. Pizza Hut revealed the closing of 68 restaurants a last month, after the company behind its British operations entered insolvency.
Health Efforts
Adapting to customer preferences towards balanced diets, the company has rolled out light items, such as its Thin & Crispy line of pizzas below 400 calories as well as vegan and gluten-free pizzas. A family-sized pepperoni has over 2,300 kcal. A large cheese and tomato pizza has 2,171, while a personal has 909 kcal.
Interim Management
Frampton has been with Domino's since 2021, and previously worked for the betting firm William Hill. It is thought that she prefers not to take on the CEO position permanently.
She said: “We have a multiple current expansion and operational projects that we will be concentrating on implementing at speed.”
She said these involved ongoing development on the company's procurement system and product development, and its customer retention initiative.
Domino's is also without a full-time finance director until the spring, when Andy Andrea comes aboard from the Irish cider and beer maker C&C Group. For now, Snow serves as temporary CFO.