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The chief executive of Domino's Pizza Group who suggested the UK might have hit peak pizza while expanding the chain into chicken products has been removed after tensions with its board.

Executive Change

The former CEO is exiting after just two years in leadership, and will be succeeded on an temporary basis by the organization's operations head, Frampton, while the pizza giant searches for a permanent CEO.

The outgoing executive, who worked for Domino's for over 20 years, had attempted to pivot the UK's leading pizza food delivery firm towards chicken offerings, commenting in a recent interview there was not “huge potential” left in the British pizza industry. He said chicken was the most rapidly expanding protein in the international market.

Governance Friction

Reports indicate that there was disagreement between the CEO and the directors over his strategy and management style, although Domino's release said he was departing “by mutual agreement”.

Recent Product Introduction

In the autumn, the chain unveiled its poultry brand – which Rennie described as a “major strategic shift” for the organization – and is trialling it in over 200 locations in the North West region and the province.

While the business is still planning to expand it across its nearly 1,400 branches next year as intended, it regards chicken products as a supplement for its main pizza offerings.

Board Statement

Ian Bull, the Domino's chair, commented: “We are confident that there are a number of opportunities to drive further growth and performance improvement in our primary operations. We are prioritizing finding the right chief executive to lead the disciplined execution of that development approach.”

Industry Difficulties

In the latest update, Domino's, which has millions of users in the British Isles, said sales fell by 1.5 percent in the third quarter. In the summer, it cautioned that the food delivery sector had “grown more challenging” as it blamed reduced spending in the lead-up to the budget and higher payroll outlays for weaker-than-expected sales and a 15 percent decline in half-year profits.

Competitors are also struggling. Another major chain announced the closing of multiple locations a month ago, after the firm behind its UK venues fell into administration.

Wellness Efforts

Trying to keep up with customer preferences towards better nutrition, Domino's has rolled out lower-calorie products, such as its Thin & Crispy line of bakes below 400 calories as well as plant-based and wheat-free pizzas. A family-sized pepperoni has 2,311 kcals. A large cheese and tomato pizza has 2,171 kcal, while a small has 909 calories.

Acting Management

Nicola Frampton has been with Domino's since the recent past, and was formerly with the betting firm William Hill. It is believed that she is not seeking to take on the CEO position on a full-time basis.

She commented: “Our team has a number of current development and efficiency programs that we will be concentrating on carrying out at pace.”

She said these involved further work on the company's procurement system and menu innovation, and its loyalty scheme.

The pizza chain is also in need of a permanent chief financial officer until 16 March, when Andy Andrea starts from the Irish cider and beer maker a well-known firm. In the meantime, Snow serves as acting financial officer.