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The boss of the UK's Domino's Pizza chain who suggested the UK might have hit pizza saturation while expanding the franchise into chicken products has been ousted after conflicts with its directors.

Executive Shake-Up

Andrew Rennie is exiting after a brief tenure in charge, and will be succeeded on an temporary basis by the organization's operations head, Frampton, while the pizza giant looks for a long-term chief.

The outgoing executive, who served at the company for more than two decades, had sought to redirect Britain's biggest pizza food delivery firm towards poultry-based products, remarking in a recent interview there was not “massive growth” left in the UK's pizza market. He observed chicken was the most rapidly expanding food category in the international market.

Board Tensions

Sources suggest that there was tension between the CEO and the board over his strategy and direction, although the company's release said he was leaving “as a joint decision”.

Recent Brand Introduction

In the autumn, the chain introduced its Chick 'N' Dip product line – which the former chief referred to as a “bold new chapter” for the group – and is trialling it in 210 outlets in the north-west of England and the province.

While the business is still intending to launch it across its extensive network in the coming year as scheduled, it views chicken products as complementary to its primary pizza operations.

Board Comment

Bull, the Domino's chair, stated: “The board believes that there are a range of possibilities to boost expansion and profitability in the main pizza segment. We are prioritizing identifying the suitable leader to direct the systematic rollout of that growth strategy.”

Market Challenges

In the latest update, Domino's, which has a substantial customer base in the British Isles, said sales dipped by 1.5 percent in the Q3. In the summer, it cautioned that the takeaway market had “become tougher” as it blamed weaker consumer confidence in the period before the government announcement and higher payroll outlays for below-target performance and a 15% drop in interim earnings.

Rival chains are also facing challenges. Pizza Hut disclosed the closure of multiple locations a last month, after the company behind its UK venues entered insolvency.

Health Initiatives

Responding to consumer trends towards better nutrition, Domino's has launched lower-calorie options, such as its Thin & Crispy selection of bakes below 400 kcals as well as meat-free and wheat-free options. A big pepperoni bake has 2,311 calories. A large cheese and tomato pizza has over 2,100, while a personal has 909 calories.

Interim Leadership

The interim chief has been with Domino's since the recent past, and previously worked for the gambling company a well-known operator. It is understood that she is not seeking to take on the chief executive role on a full-time basis.

She commented: “Our team has a multiple current development and performance initiatives that we will be concentrating on executing at pace.”

She said these comprised additional efforts on the organization's procurement system and new item creation, and its rewards program.

Domino's is also in need of a full-time chief financial officer until the spring, when a new appointee starts from the Irish cider and beer maker a well-known firm. In the meantime, Richard Snow is interim finance chief.