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A boss of the UK's Domino's Pizza chain who proposed the United Kingdom might have reached pizza saturation while broadening the chain into chicken products has been removed after tensions with its governing body.

Leadership Transition

Rennie is exiting after just two years in leadership, and will be succeeded on an interim basis by the organization's chief operating officer, Frampton, while the pizza giant looks for a new leader.

The outgoing executive, who worked for the company for more than two decades, had sought to pivot the UK's biggest pizza takeaway chain towards fried chicken, stating earlier this month there was not “massive growth” left in the British pizza industry. He observed chicken was the quickest rising protein in the world.

Governance Tensions

Sources suggest that there was tension between the CEO and the governance team over his approach and direction, although the company's official statement said he was departing “as a joint decision”.

New Brand Launch

In September, Domino's unveiled its Chick 'N' Dip product line – which Rennie referred to as a “significant new phase” for the group – and is piloting it in select stores in the north-west of England and Northern Ireland.

While the company is still intending to launch it across its almost 1,400 stores in the coming year as scheduled, it regards fried chicken as a supplement for its main pizza offerings.

Board Comment

Ian Bull, the company chairman, said: “We are confident that there are a series of prospects to boost expansion and profitability in our primary operations. We are prioritizing finding the suitable leader to oversee the disciplined execution of that development approach.”

Market Challenges

Recently, Domino's, which has a substantial customer base in the UK and Ireland, said sales fell by 1.5 percent in the third quarter. In the summer, it cautioned that the food delivery sector had “grown more challenging” as it blamed economic uncertainty in the run-up to the budget and higher payroll outlays for disappointing revenue and a significant fall in half-year profits.

Competitors are also experiencing difficulties. Pizza Hut announced the closure of multiple locations a month ago, after the firm behind its British operations faced financial collapse.

Wellness Initiatives

Trying to keep up with customer preferences towards balanced diets, the company has rolled out light items, such as its light base line of pizzas below 400 kcals as well as vegan and gluten-free options. A large pepperoni pizza has 2,311 kcals. A large cheese and tomato pizza has over 2,100, while a personal has 909 calories.

Acting Management

Frampton has been with Domino's since 2021, and had a background at the betting firm a well-known operator. It is thought that she does not want to take on the chief executive role permanently.

She said: “The company has a several current growth and efficiency programs that we will be focused on carrying out at pace.”

She said these involved additional efforts on the company's logistics network and product development, and its customer retention initiative.

Domino's is also in need of a permanent CFO until March 16, when Andrea comes aboard from the Irish cider and beer maker C&C Group. Until then, Richard Snow is interim finance chief.