Has Pizza Peaked? Domino's Chief Executive Steps Down Following Pivot Into Chicken.
A head of Domino's Pizza Group who indicated the UK might have reached peak pizza while diversifying the company into fried chicken has been ousted after disagreements with its governing body.
Leadership Transition
The former CEO is exiting after just two years in the top role, and will be replaced on an temporary basis by the company's operations head, Nicola Frampton, while the pizza giant looks for a long-term chief.
The outgoing executive, who was with Domino's for over 20 years, had attempted to redirect Britain's largest pizza takeaway chain towards chicken offerings, remarking earlier this month there was not “significant expansion” left in the British pizza industry. He said poultry was the quickest rising menu item in the world.
Board Friction
Sources suggest that there was friction between Rennie and the board over his focus and business vision, although the company's release said he was stepping down “as a joint decision”.
Recent Product Launch
In September, the chain unveiled its Chick 'N' Dip product line – which the former chief referred to as a “major strategic shift” for the group – and is trialling it in select stores in the north-west of England and Northern Ireland.
While the company is still intending to launch it across its almost 1,400 stores in 2026 as scheduled, it regards chicken products as a supplement for its core pizza business.
Board Comment
Bull, the Domino's chair, stated: “We are confident that there are a range of possibilities to boost expansion and profitability in Domino's core business. We are focused on identifying the suitable leader to oversee the disciplined execution of that development approach.”
Market Difficulties
In the latest update, Domino's, which has 13 million customers in the British Isles, said sales dipped by one and a half percent in the Q3. In August, it cautioned that the quick-service industry had “become tougher” as it blamed weaker consumer confidence in the lead-up to the government announcement and rising wage costs for below-target performance and a 15% drop in half-year profits.
Competitors are also struggling. Another major chain revealed the closing of dozens of outlets a last month, after the company behind its UK venues entered insolvency.
Health Efforts
Responding to consumer trends towards healthier eating, Domino's has rolled out reduced-calorie options, such as its light base range of pizzas below 400 kcal as well as vegan and gluten-free pizzas. A large pepperoni pizza has 2,311 kcals. A large cheese and tomato pizza has 2,171, while a small has under 1,000 calories.
Interim Leadership
The interim chief has been with Domino's since 2021, and previously worked for the betting firm a well-known operator. It is thought that she does not want to assume the top job on a full-time basis.
She commented: “We have a number of current growth and operational projects that we will be focused on carrying out at pace.”
She said these involved further work on the organization's logistics network and product development, and its loyalty scheme.
Domino's is also without a full-time chief financial officer until 16 March, when Andy Andrea starts from the Irish cider and beer maker C&C Group. In the meantime, Snow acts as acting financial officer.