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A boss of Domino's Pizza Group who proposed the UK might have reached pizza saturation while expanding the franchise into fried chicken has been replaced after disagreements with its directors.

Leadership Shake-Up

Rennie is leaving after just two years in leadership, and will be replaced on an temporary basis by the company's chief operating officer, Nicola Frampton, while the pizza giant searches for a permanent CEO.

Rennie, who was with the company for over 20 years, had attempted to shift Britain's leading pizza takeaway chain towards chicken offerings, stating earlier this month there was not “huge potential” left in the UK's pizza market. He observed chicken was the fastest-growing food category in the world.

Board Tensions

Sources suggest that there was tension between Rennie and the governance team over his approach and business vision, although the company's announcement said he was stepping down “as a joint decision”.

Recent Brand Introduction

In September, the chain launched its Chick 'N' Dip product line – which Rennie referred to as a “significant new phase” for the organization – and is testing it in 210 outlets in the North West region and the province.

While the business is still going to roll it out across its extensive network next year as scheduled, it considers chicken products as complementary to its core pizza business.

Board Comment

Ian Bull, the Domino's chair, stated: “The board believes that there are a range of possibilities to drive further growth and performance improvement in Domino's core business. We are focused on finding the right chief executive to direct the disciplined execution of that growth strategy.”

Industry Difficulties

Recently, the pizza delivery giant, which has 13 million customers in the British Isles, said orders fell by 1.5% in the Q3. In the summer, it cautioned that the quick-service industry had “grown more challenging” as it attributed economic uncertainty in the lead-up to the government announcement and higher payroll outlays for weaker-than-expected sales and a significant fall in interim earnings.

Rival chains are also struggling. Pizza Hut announced the shutting of 68 restaurants a month ago, after the company behind its outlets entered insolvency.

Health Efforts

Adapting to customer preferences towards healthier eating, Domino's has rolled out lower-calorie items, such as its light base range of pizzas below 400 calories as well as plant-based and allergy-friendly pizzas. A family-sized pepperoni has 2,311 calories. A large cheese and tomato pizza has 2,171, while a individual has 909 kcal.

Interim Management

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

She said: “Our team has a number of active development and efficiency programs that we will be concentrating on executing at a rapid rate.”

Frampton noted these included additional efforts on the organization's procurement system and menu innovation, and its customer retention initiative.

The pizza chain is also in need of a long-term finance director until 16 March, when a new appointee starts from the Irish cider and beer maker a well-known firm. For now, Snow acts as temporary CFO.