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The head of Domino's Pizza Group who proposed the UK might have reached pizza saturation while diversifying the chain into chicken products has been replaced after disagreements with its directors.

Leadership Change

The former CEO is leaving after only 24 months in leadership, and will be succeeded on an temporary basis by the company's operations head, Nicola Frampton, while Domino's looks for a new leader.

The outgoing executive, who served at Domino's for a substantial period, had sought to pivot the UK's leading pizza takeaway chain towards poultry-based products, stating in a recent interview there was not “significant expansion” left in the British pizza industry. He observed chicken was the most rapidly expanding protein in the world.

Governance Disagreements

Sources suggest that there was tension between Rennie and the directors over his approach and management style, although the company's official statement said he was leaving “by mutual agreement”.

Recent Brand Launch

In September, Domino's introduced its poultry offering – which Rennie referred to as a “major strategic shift” for the group – and is trialling it in over 200 locations in the north-west of England and Northern Ireland.

While the business is still going to roll it out across its nearly 1,400 branches in the coming year as planned, it regards chicken products as a supplement for its primary pizza operations.

Leadership Statement

Ian Bull, the Domino's chair, stated: “The board believes that there are a number of opportunities to drive further growth and profitability in our primary operations. We are prioritizing finding the suitable leader to direct the systematic rollout of that growth strategy.”

Market Difficulties

Earlier this month, the pizza delivery giant, which has a substantial customer base in the British Isles, said transactions fell by one and a half percent in the Q3. In the summer, it alerted that the quick-service industry had “become tougher” as it blamed weaker consumer confidence in the period before the government announcement and increasing labor expenses for below-target performance and a 15 percent decline in six-month income.

Competitors are also struggling. Pizza Hut disclosed the closure of dozens of outlets a month ago, after the business behind its outlets faced financial collapse.

Wellness Initiatives

Trying to keep up with customer preferences towards balanced diets, the company has introduced light items, such as its Thin & Crispy range of pizzas below 400 kcal as well as plant-based and gluten-free options. A large pepperoni pizza has 2,311 kcals. A large cheese and tomato pizza has 2,171, while a small has 909 kcal.

Interim Management

The interim chief has been with Domino's since the recent past, and was formerly with the betting firm William Hill. It is understood that she prefers not to take on the chief executive role long-term.

Frampton stated: “We have a multiple current expansion and operational projects that we will be focused on implementing at speed.”

She said these involved ongoing development on the company's procurement system and menu innovation, and its customer retention initiative.

Domino's is also in need of a long-term finance director until the spring, when a new appointee starts from the beverage producer C&C Group. For now, Snow is interim finance chief.