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A boss of the UK's Domino's Pizza chain who indicated the UK might have hit pizza saturation while expanding the company into chicken products has been ousted after tensions with its directors.

Executive Transition

The former CEO is leaving after only 24 months in the top role, and will be succeeded on an temporary basis by the organization's operations head, Frampton, while Domino's searches for a permanent CEO.

The outgoing executive, who served at Domino's for over 20 years, had aimed to shift the UK's largest pizza delivery company towards fried chicken, remarking recently there was not “significant expansion” left in the pizza sector in the UK. He said chicken was the most rapidly expanding food category in the international market.

Governance Tensions

Sources suggest that there was tension between the CEO and the board over his focus and management style, although the company's official statement said he was departing “as a joint decision”.

New Brand Introduction

In the autumn, the chain launched its poultry product line – which Rennie described as a “significant new phase” for the company – and is trialling it in select stores in the north-west of England and the province.

While the business is still planning to expand it across its almost 1,400 stores next year as planned, it considers chicken products as a supplement for its main pizza offerings.

Leadership Statement

Bull, the Domino's chair, stated: “The board believes that there are a series of prospects to boost expansion and value creation in the main pizza segment. We are concentrating on finding the ideal CEO to direct the careful implementation of that expansion plan.”

Market Difficulties

Recently, the pizza delivery giant, which has a substantial customer base in the UK and Ireland, said transactions declined by 1.5% in the latest quarter. In August, it alerted that the takeaway market had “intensified” as it blamed economic uncertainty in the run-up to the government announcement and increasing labor expenses for below-target performance and a 15% drop in six-month income.

Competitors are also facing challenges. Pizza Hut announced the shutting of multiple locations a last month, after the firm behind its British operations faced financial collapse.

Health Efforts

Responding to customer preferences towards better nutrition, Domino's has introduced lower-calorie options, such as its Thin & Crispy line of bakes below 400 kcals as well as meat-free and wheat-free options. A family-sized pepperoni has over 2,300 kcal. A family cheese pizza has over 2,100, while a personal has 909 calories.

Interim Leadership

Nicola Frampton has been with Domino's since 2021, and had a background at the betting firm a well-known operator. It is understood that she is not seeking to assume the top job permanently.

She said: “The company has a multiple ongoing expansion and operational projects that we will be concentrating on implementing at a rapid rate.”

She added these comprised ongoing development on the company's logistics network and menu innovation, and its loyalty scheme.

Domino's is also without a permanent chief financial officer until the spring, when Andy Andrea starts from the Irish cider and beer maker a well-known firm. In the meantime, Richard Snow acts as interim finance chief.