Peak Pizza? Domino's CEO Departs After Shift Towards Fried Chicken.

A boss of Domino's Pizza Group who proposed the UK might have hit peak pizza while expanding the franchise into poultry items has been removed after tensions with its board.

Executive Change

Rennie is departing after just two years in the top role, and will be succeeded on an acting basis by the company's operations head, Frampton, while the pizza giant looks for a long-term chief.

Rennie, who was with Domino's for more than two decades, had attempted to shift Britain's leading pizza food delivery firm towards poultry-based products, stating earlier this month there was not “massive growth” left in the British pizza industry. He observed poultry was the quickest rising protein in the international market.

Board Disagreements

It is understood that there was friction between the CEO and the governance team over his strategy and management style, although the company's announcement said he was departing “by mutual agreement”.

Recent Brand Introduction

In the autumn, the chain unveiled its chicken-focused brand – which the former chief described as a “bold new chapter” for the group – and is trialling it in over 200 locations in the North West region and Northern Ireland.

While the company is still intending to launch it across its almost 1,400 stores next year as planned, it considers chicken products as an addition to its main pizza offerings.

Board Comment

Ian Bull, the company chair, said: “The board believes that there are a number of opportunities to boost expansion and performance improvement in Domino's core business. We are focused on selecting the ideal CEO to oversee the disciplined execution of that expansion plan.”

Industry Difficulties

In the latest update, Domino's, which has a substantial customer base in the UK and Ireland, said transactions declined by one and a half percent in the Q3. In the summer, it warned that the quick-service industry had “become tougher” as it attributed reduced spending in the run-up to the government announcement and rising wage costs for weaker-than-expected sales and a 15% drop in six-month income.

Competitors are also struggling. Pizza Hut revealed the closure of dozens of outlets a last month, after the firm behind its UK venues faced financial collapse.

Wellness Efforts

Adapting to market shifts towards balanced diets, the company has rolled out light items, such as its thin-crust range of pizzas below 400 kcal as well as vegan and allergy-friendly options. A large pepperoni pizza has over 2,300 kcal. A big margherita has 2,171 kcal, while a personal has 909 kcal.

Acting Management

Frampton has been with Domino's since 2021, and previously worked for the betting firm William Hill. It is believed that she is not seeking to take on the top job permanently.

Frampton stated: “The company has a number of current development and efficiency programs that we will be concentrating on carrying out at a rapid rate.”

Frampton noted these involved additional efforts on the organization's supply chain and menu innovation, and its rewards program.

Domino's is also lacking a long-term chief financial officer until 16 March, when Andrea starts from the Irish cider and beer maker C&C Group. In the meantime, Richard Snow is interim finance chief.

Ashley Wright
Ashley Wright

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