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The boss of the UK's Domino's Pizza chain who indicated the UK might have reached pizza saturation while expanding the franchise into fried chicken has been replaced after tensions with its directors.

Leadership Change

Andrew Rennie is leaving after a brief tenure in charge, and will be succeeded on an interim basis by the company's operations head, Nicola Frampton, while Domino's seeks a permanent CEO.

The outgoing executive, who served at the company for more than two decades, had attempted to pivot the UK's biggest pizza delivery company towards chicken offerings, stating earlier this month there was not “huge potential” left in the UK's pizza market. He noted chicken was the quickest rising protein in the world.

Board Disagreements

Reports indicate that there was disagreement between the CEO and the governance team over his strategy and business vision, although the company's announcement said he was departing “through mutual consent”.

Recent Brand Launch

In September, the chain launched its poultry product line – which the former chief referred to as a “bold new chapter” for the company – and is testing it in over 200 locations in the North West region and Northern Ireland.

While the business is still going to roll it out across its extensive network next year as scheduled, it regards chicken products as a supplement for its primary pizza operations.

Board Statement

The Domino's chair, the company chair, commented: “The board believes that there are a number of opportunities to drive further growth and profitability in the main pizza segment. We are prioritizing identifying the ideal CEO to direct the careful implementation of that expansion plan.”

Market Challenges

In the latest update, Domino's, which has 13 million customers in the British Isles, said transactions dipped by one and a half percent in the third quarter. In August, it warned that the takeaway market had “grown more challenging” as it attributed reduced spending in the period before the budget and increasing labor expenses for weaker-than-expected sales and a 15% drop in half-year profits.

Competitors are also experiencing difficulties. Another major chain disclosed the closure of dozens of outlets a recently, after the firm behind its British operations fell into administration.

Wellness Initiatives

Trying to keep up with market shifts towards healthier eating, Domino's has launched light items, such as its Thin & Crispy selection of bakes below 400 kcal as well as plant-based and wheat-free options. A family-sized pepperoni has 2,311 calories. A large cheese and tomato pizza has 2,171 kcal, while a personal has under 1,000 calories.

Acting Management

Frampton has been with Domino's since 2021, and previously worked for the betting firm a well-known operator. It is understood that she is not seeking to occupy the top job permanently.

She said: “The company has a several ongoing expansion and performance initiatives that we will be focused on executing at speed.”

She added these comprised additional efforts on the company's procurement system and menu innovation, and its rewards program.

The pizza chain is also in need of a permanent CFO until March 16, when a new appointee comes aboard from the beverage producer a well-known firm. In the meantime, Richard Snow serves as interim finance chief.