🔗 Share this article

A head of the UK's Domino's Pizza chain who suggested the UK might have reached peak pizza while broadening the chain into poultry items has been replaced after tensions with its board.

Executive Change

Andrew Rennie is exiting after only 24 months in charge, and will be succeeded on an interim basis by the company's chief operating officer, Frampton, while the pizza giant seeks a long-term chief.

The outgoing executive, who served at Domino's for more than two decades, had aimed to pivot the UK's leading pizza takeaway chain towards fried chicken, remarking recently there was not “significant expansion” left in the UK's pizza market. He observed chicken was the most rapidly expanding menu item in the international market.

Board Friction

Reports indicate that there was disagreement between Rennie and the governance team over his approach and direction, although Domino's official statement said he was departing “by mutual agreement”.

New Product Introduction

In the autumn, Domino's launched its chicken-focused offering – which the former chief called a “significant new phase” for the company – and is trialling it in over 200 locations in the north-west of England and the province.

While the firm is still intending to launch it across its almost 1,400 stores next year as intended, it considers fried chicken as a supplement for its main pizza offerings.

Leadership Comment

Ian Bull, the company chair, said: “Directors think that there are a range of possibilities to enhance value and performance improvement in the main pizza segment. We are concentrating on finding the suitable leader to oversee the disciplined execution of that expansion plan.”

Market Challenges

Recently, Domino's, which has 13 million customers in the UK and Ireland, said transactions fell by 1.5% in the Q3. In August, it warned that the quick-service industry had “grown more challenging” as it attributed weaker consumer confidence in the run-up to the government announcement and increasing labor expenses for below-target performance and a 15% drop in half-year profits.

Competitors are also struggling. Another major chain revealed the closure of multiple locations a last month, after the business behind its UK venues entered insolvency.

Health Initiatives

Responding to market shifts towards better nutrition, Domino's has rolled out light items, such as its light base selection of bakes below 400 calories as well as plant-based and allergy-friendly options. A family-sized pepperoni has over 2,300 kcal. A big margherita has 2,171, while a small has under 1,000 calories.

Acting Leadership

The interim chief has been with Domino's since 2021, and previously worked for the gaming group a well-known operator. It is understood that she does not want to occupy the top job on a full-time basis.

She said: “The company has a multiple active development and performance initiatives that we will be dedicated to implementing at a rapid rate.”

She said these comprised further work on the company's procurement system and product development, and its loyalty scheme.

The pizza chain is also lacking a long-term chief financial officer until 16 March, when Andy Andrea joins from the beverage producer C&C Group. For now, Richard Snow serves as interim finance chief.