Peak Pizza? Domino's Pizza CEO Departs After Pivot Into Fried Chicken.
A boss of Domino's Pizza Group who proposed the UK might have hit pizza saturation while broadening the company into poultry items has been ousted after tensions with its board.
Executive Shake-Up
The former CEO is departing after only 24 months in leadership, and will be succeeded on an acting basis by the company's operations head, Nicola Frampton, while Domino's searches for a long-term chief.
Rennie, who worked for Domino's for more than two decades, had attempted to redirect the UK's biggest pizza takeaway chain towards fried chicken, commenting recently there was not “huge potential” left in the UK's pizza market. He noted poultry was the most rapidly expanding menu item in the world.
Board Disagreements
Reports indicate that there was disagreement between the CEO and the governance team over his approach and management style, although Domino's announcement said he was stepping down “through mutual consent”.
New Product Introduction
In September, the chain launched its chicken-focused offering – which Rennie referred to as a “significant new phase” for the company – and is piloting it in over 200 locations in the north-west of England and Northern Ireland.
While the company is still intending to launch it across its nearly 1,400 branches in 2026 as intended, it considers fried chicken as an addition to its main pizza offerings.
Leadership Statement
Ian Bull, the Domino's chairman, said: “Directors think that there are a number of opportunities to boost expansion and profitability in our primary operations. We are prioritizing finding the right chief executive to oversee the systematic rollout of that development approach.”
Market Difficulties
Earlier this month, Domino's, which has 13 million customers in the British Isles, said transactions fell by 1.5 percent in the third quarter. In August, it warned that the food delivery sector had “grown more challenging” as it blamed economic uncertainty in the lead-up to the government announcement and rising wage costs for below-target performance and a 15 percent decline in six-month income.
Rival chains are also facing challenges. Pizza Hut disclosed the closing of 68 restaurants a recently, after the company behind its UK venues faced financial collapse.
Wellness Efforts
Responding to customer preferences towards better nutrition, Domino's has rolled out lower-calorie products, such as its thin-crust line of bakes below 400 kcal as well as plant-based and wheat-free options. A big pepperoni bake has 2,311 kcals. A family cheese pizza has 2,171, while a personal has under 1,000 calories.
Acting Management
The interim chief has been with the company since the recent past, and was formerly with the gambling company a well-known operator. It is understood that she prefers not to occupy the CEO position long-term.
She commented: “Our team has a number of current growth and operational projects that we will be focused on carrying out at pace.”
She added these included further work on the organization's logistics network and menu innovation, and its loyalty scheme.
Domino's is also in need of a full-time CFO until March 16, when Andrea starts from the Irish cider and beer maker C&C Group. In the meantime, Richard Snow serves as acting financial officer.