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A boss of Domino's Pizza Group who proposed the United Kingdom might have hit peak pizza while diversifying the chain into chicken products has been removed after disagreements with its directors.

Leadership Shake-Up

The former CEO is exiting after only 24 months in leadership, and will be replaced on an acting basis by the company's chief operating officer, Nicola Frampton, while Domino's searches for a new leader.

Rennie, who was with Domino's for more than two decades, had aimed to shift the UK's leading pizza delivery company towards fried chicken, commenting in a recent interview there was not “massive growth” left in the British pizza industry. He noted poultry was the quickest rising menu item in the international market.

Board Disagreements

Sources suggest that there was disagreement between the CEO and the governance team over his focus and business vision, although Domino's official statement said he was stepping down “through mutual consent”.

Recent Product Introduction

In September, Domino's unveiled its chicken-focused offering – which the former chief referred to as a “major strategic shift” for the organization – and is testing it in select stores in the North West region and the province.

While the company is still intending to launch it across its extensive network in the coming year as intended, it regards fried chicken as a supplement for its main pizza offerings.

Board Comment

Ian Bull, the Domino's chairman, stated: “We are confident that there are a number of opportunities to enhance value and profitability in the main pizza segment. We are focused on identifying the suitable leader to direct the careful implementation of that development approach.”

Industry Difficulties

Earlier this month, the pizza delivery giant, which has millions of users in the British Isles, said transactions declined by 1.5% in the third quarter. In August, it warned that the food delivery sector had “become tougher” as it blamed weaker consumer confidence in the run-up to the government announcement and higher payroll outlays for weaker-than-expected sales and a 15% drop in six-month income.

Other pizza operators are also facing challenges. Another major chain announced the closure of 68 restaurants a month ago, after the company behind its outlets faced financial collapse.

Health Efforts

Adapting to customer preferences towards better nutrition, Domino's has introduced light products, such as its Thin & Crispy range of pizzas below 400 kcal as well as meat-free and gluten-free pizzas. A big pepperoni bake has 2,311 kcals. A family cheese pizza has over 2,100, while a individual has 909 kcal.

Acting Management

The interim chief has been with the company since the recent past, and had a background at the betting firm William Hill. It is believed that she prefers not to assume the CEO position permanently.

She said: “Our team has a several ongoing expansion and efficiency programs that we will be focused on implementing at pace.”

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

The pizza chain is also lacking a long-term chief financial officer until the spring, when Andy Andrea starts from the beverage producer C&C Group. Until then, Richard Snow serves as interim finance chief.