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A boss of the UK's Domino's Pizza chain who suggested the UK might have hit peak pizza while broadening the chain into poultry items has been ousted after conflicts with its board.

Leadership Transition

Andrew Rennie is exiting after only 24 months in charge, and will be succeeded on an temporary basis by the organization's chief operating officer, Nicola Frampton, while the pizza giant searches for a new leader.

Rennie, who worked for Domino's for a substantial period, had aimed to shift the UK's biggest pizza delivery company towards chicken offerings, stating earlier this month there was not “huge potential” left in the British pizza industry. He said poultry was the fastest-growing menu item in the international market.

Board Disagreements

Reports indicate that there was friction between the CEO and the directors over his approach and management style, although Domino's official statement said he was stepping down “as a joint decision”.

New Product Introduction

In the autumn, Domino's unveiled its poultry product line – which Rennie described as a “major strategic shift” for the company – and is piloting it in 210 outlets in the north-west of England and Northern Ireland.

While the business is still planning to expand it across its extensive network in the coming year as planned, it considers chicken products as a supplement for its core pizza business.

Board Comment

The Domino's chair, the company chairman, said: “Directors think that there are a number of opportunities to boost expansion and value creation in the main pizza segment. We are prioritizing identifying the suitable leader to direct the disciplined execution of that development approach.”

Industry Difficulties

Recently, Domino's, which has millions of users in the UK and Ireland, said transactions dipped by one and a half percent in the third quarter. In the summer, it alerted that the food delivery sector had “become tougher” as it blamed reduced spending in the period before the government announcement and higher payroll outlays for disappointing revenue and a significant fall in half-year profits.

Competitors are also facing challenges. Another major chain revealed the closure of 68 restaurants a last month, after the firm behind its British operations faced financial collapse.

Wellness Initiatives

Adapting to customer preferences towards healthier eating, Domino's has rolled out lower-calorie options, such as its Thin & Crispy range of bakes below 400 calories as well as meat-free and gluten-free pizzas. A large pepperoni pizza has 2,311 calories. A big margherita has over 2,100, while a small has 909 kcal.

Acting Leadership

Frampton has been with the company since the recent past, and had a background at the gambling company William Hill. It is thought that she prefers not to assume the CEO position permanently.

She commented: “We have a several active expansion and efficiency programs that we will be focused on executing at speed.”

She said these comprised further work on the organization's procurement system and new item creation, and its loyalty scheme.

Domino's is also in need of a permanent finance director until March 16, when Andrea joins from the drinks company C&C Group. In the meantime, Snow serves as acting financial officer.