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A head of Domino's Pizza Group who suggested the UK might have hit peak pizza while expanding the chain into chicken products has been replaced after disagreements with its board.

Executive Shake-Up

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

Rennie, who was with the company for more than two decades, had attempted to shift the UK's leading pizza delivery company towards chicken offerings, stating recently there was not “huge potential” left in the pizza sector in the UK. He observed poultry was the quickest rising food category in the globe.

Governance Friction

Reports indicate that there was disagreement between the CEO and the governance team over his strategy and direction, although Domino's announcement said he was stepping down “by mutual agreement”.

Recent Product Introduction

In September, Domino's launched its chicken-focused offering – which Rennie called a “bold new chapter” for the group – and is testing it in select stores in the north-west of England and the province.

While the firm is still intending to launch it across its almost 1,400 stores in the coming year as planned, it regards fried chicken as an addition to its core pizza business.

Board Comment

Ian Bull, the Domino's chair, commented: “We are confident that there are a range of possibilities to enhance value and value creation in our primary operations. We are prioritizing identifying the right chief executive to oversee the careful implementation of that expansion plan.”

Market Challenges

Recently, the pizza delivery giant, which has 13 million customers in the British Isles, said orders declined by 1.5 percent in the Q3. In August, it warned that the food delivery sector had “become tougher” as it blamed reduced spending in the lead-up to the government announcement and higher payroll outlays for weaker-than-expected sales and a 15% drop in interim earnings.

Rival chains are also experiencing difficulties. Pizza Hut revealed the shutting of 68 restaurants a last month, after the business behind its British operations faced financial collapse.

Health Initiatives

Adapting to consumer trends towards balanced diets, Domino's has launched reduced-calorie options, such as its light base line of pizzas below 400 calories as well as plant-based and gluten-free options. A family-sized pepperoni has over 2,300 kcal. A family cheese pizza has 2,171, while a individual has 909 kcal.

Interim Management

The interim chief has been with the company since 2021, and had a background at the gaming group William Hill. It is thought that she is not seeking to occupy the top job permanently.

She commented: “We have a several active development and efficiency programs that we will be dedicated to implementing at speed.”

Frampton noted these included ongoing development on the company's procurement system and menu innovation, and its loyalty scheme.

Domino's is also without a permanent CFO until 16 March, when Andy Andrea joins from the beverage producer a well-known firm. Until then, Richard Snow is acting financial officer.