Pizza Market Saturation? Domino's Pizza Leader Exits Following Move Into Fried Chicken.
The chief executive of the UK's Domino's Pizza chain who suggested the United Kingdom might have reached maximum pizza demand while diversifying the company into poultry items has been removed after conflicts with its board.
Executive Transition
The former CEO is leaving after a brief tenure in charge, and will be replaced on an acting basis by the organization's operations head, Nicola Frampton, while the pizza giant looks for a permanent CEO.
Rennie, who served at Domino's for over 20 years, had sought to shift the UK's largest pizza takeaway chain towards chicken offerings, commenting recently there was not “significant expansion” left in the pizza sector in the UK. He said poultry was the most rapidly expanding food category in the international market.
Board Tensions
Sources suggest that there was tension between the CEO and the governance team over his focus and direction, although the company's official statement said he was departing “through mutual consent”.
New Brand Launch
In the autumn, the chain launched its poultry offering – which Rennie described as a “bold new chapter” for the group – and is trialling it in select stores in the North West region and Northern Ireland.
While the firm is still intending to launch it across its almost 1,400 stores in 2026 as intended, it considers chicken products as complementary to its main pizza offerings.
Leadership Comment
Ian Bull, the Domino's chairman, said: “Directors think that there are a range of possibilities to boost expansion and performance improvement in the main pizza segment. We are prioritizing identifying the suitable leader to lead the disciplined execution of that development approach.”
Industry Difficulties
In the latest update, Domino's, which has a substantial customer base in the UK and Ireland, said sales dipped by 1.5% in the Q3. In the summer, it cautioned that the food delivery sector had “become tougher” as it attributed weaker consumer confidence in the period before the government announcement and higher payroll outlays for below-target performance and a significant fall in six-month income.
Other pizza operators are also struggling. Pizza Hut disclosed the closure of 68 restaurants a month ago, after the company behind its outlets fell into administration.
Health Initiatives
Responding to consumer trends towards healthier eating, Domino's has launched reduced-calorie items, such as its Thin & Crispy line of bakes below 400 kcals as well as plant-based and wheat-free options. A family-sized pepperoni has 2,311 kcals. A family cheese pizza has 2,171, while a small has under 1,000 calories.
Interim Leadership
Nicola Frampton has been with the company since 2021, and had a background at the gaming group William Hill. It is understood that she is not seeking to assume the chief executive role long-term.
She said: “Our team has a number of current expansion and operational projects that we will be focused on carrying out at pace.”
She said these comprised ongoing development on the company's procurement system and menu innovation, and its loyalty scheme.
The pizza chain is also without a permanent chief financial officer until March 16, when Andy Andrea joins from the Irish cider and beer maker C&C Group. For now, Snow acts as acting financial officer.