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A chief executive of the UK's Domino's Pizza chain who indicated the United Kingdom might have reached pizza saturation while diversifying the chain into chicken products has been replaced after conflicts with its directors.

Leadership Shake-Up

Andrew Rennie is leaving after just two years in charge, and will be succeeded on an acting basis by the company's operations head, Nicola Frampton, while Domino's searches for a permanent CEO.

Rennie, who worked for the company for more than two decades, had sought to redirect the UK's largest pizza delivery company towards poultry-based products, remarking in a recent interview there was not “massive growth” left in the UK's pizza market. He noted chicken was the most rapidly expanding protein in the international market.

Governance Disagreements

Reports indicate that there was friction between the CEO and the board over his strategy and business vision, although the company's official statement said he was departing “as a joint decision”.

New Product Introduction

In the autumn, the chain introduced its chicken-focused product line – which the former chief referred to as a “significant new phase” for the group – and is testing it in over 200 locations 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 planned, it regards fried chicken as an addition to its main pizza offerings.

Board Statement

The Domino's chair, the Domino's chair, commented: “Directors think that there are a number of opportunities to boost expansion and profitability in Domino's core business. We are concentrating on finding the right chief executive to lead the careful implementation of that growth strategy.”

Industry Difficulties

Recently, the pizza delivery giant, which has 13 million customers in the UK and Ireland, said transactions dipped by 1.5% in the latest quarter. In the summer, it alerted that the takeaway market had “grown more challenging” 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 six-month income.

Rival chains are also struggling. Another major chain revealed the shutting of multiple locations a last month, after the business behind its British operations fell into administration.

Wellness Efforts

Trying to keep up with market shifts towards balanced diets, the company has introduced light products, such as its thin-crust line of pizzas below 400 calories as well as vegan and wheat-free options. A big pepperoni bake has 2,311 calories. A family cheese pizza has over 2,100, while a small has 909 calories.

Interim Management

Frampton has been with Domino's since the recent past, and had a background at the gambling company a well-known operator. It is believed that she prefers not to assume the chief executive role permanently.

She commented: “We have a multiple current expansion and performance initiatives that we will be concentrating on carrying out at speed.”

Frampton noted these comprised ongoing development on the company's supply chain and new item creation, and its rewards program.

The pizza chain is also lacking a full-time finance director until 16 March, when a new appointee comes aboard from the drinks company C&C Group. Until then, Richard Snow is acting financial officer.