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

Executive Change

Andrew Rennie is exiting after only 24 months in leadership, and will be replaced on an acting basis by the organization's chief operating officer, Nicola Frampton, while the pizza giant seeks a new leader.

Rennie, who served at the company for over 20 years, had sought to pivot the UK's leading pizza takeaway chain towards fried chicken, commenting earlier this month there was not “massive growth” left in the UK's pizza market. He noted poultry was the fastest-growing food category in the international market.

Board Tensions

Reports indicate that there was disagreement between the CEO and the directors over his focus and direction, although the company's release said he was departing “as a joint decision”.

New Brand Introduction

In the autumn, the chain launched its Chick 'N' Dip offering – which Rennie described as a “bold new chapter” for the group – and is piloting it in 210 outlets in the north-west of England and the province.

While the company is still planning to expand it across its almost 1,400 stores next year as planned, it views fried chicken as complementary to its main pizza offerings.

Board Statement

Ian Bull, the company chair, said: “We are confident that there are a series of prospects to drive further growth and value creation in the main pizza segment. We are prioritizing identifying the right chief executive to lead the careful implementation of that development approach.”

Market Difficulties

In the latest update, Domino's, which has 13 million customers in the British Isles, said transactions declined by one and a half percent in the third quarter. In August, it warned that the takeaway market had “grown more challenging” as it blamed economic uncertainty in the lead-up to the government announcement and increasing labor expenses for below-target performance and a 15 percent decline in half-year profits.

Other pizza operators are also facing challenges. Pizza Hut disclosed the shutting of 68 restaurants a recently, after the business behind its outlets fell into administration.

Health Efforts

Responding to customer preferences towards healthier eating, Domino's has launched reduced-calorie products, such as its Thin & Crispy line of pizzas below 400 kcal as well as vegan and allergy-friendly pizzas. A large pepperoni pizza has 2,311 calories. A family cheese pizza has 2,171, while a personal has under 1,000 calories.

Acting Leadership

Nicola Frampton has been with Domino's since the recent past, and had a background at the betting firm a well-known operator. It is believed that she is not seeking to occupy the top job permanently.

She said: “We have a multiple ongoing expansion and efficiency programs that we will be focused on carrying out at pace.”

Frampton noted these included additional efforts on the company's procurement system and product development, and its customer retention initiative.

The pizza chain is also in need of a full-time chief financial officer until the spring, when Andy Andrea joins from the drinks company a well-known firm. For now, Richard Snow acts as temporary CFO.