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The head of the UK's Domino's Pizza chain who suggested the United Kingdom might have hit pizza saturation while diversifying the franchise into chicken products has been ousted after disagreements with its governing body.

Executive Transition

Rennie is exiting after only 24 months in charge, and will be succeeded on an acting basis by the company's chief operating officer, Nicola Frampton, while the pizza giant searches for a permanent CEO.

Rennie, who was with the company for more than two decades, had aimed to shift the UK's largest pizza takeaway chain towards fried chicken, stating earlier this month there was not “massive growth” left in the British pizza industry. He noted chicken was the most rapidly expanding food category in the globe.

Board Disagreements

Reports indicate that there was tension between Rennie and the directors over his strategy and business vision, although Domino's release said he was stepping down “as a joint decision”.

Recent Brand Launch

In the autumn, Domino's introduced its poultry product line – which the former chief referred to as a “bold new chapter” for the organization – and is trialling it in over 200 locations in the north-west of England and the province.

While the firm is still going to roll it out across its almost 1,400 stores in the coming year as planned, it views chicken products as complementary to its core pizza business.

Board Statement

Bull, the Domino's chairman, stated: “The board believes that there are a number of opportunities to boost expansion and value creation in the main pizza segment. We are concentrating on identifying the right chief executive to direct the careful implementation of that development approach.”

Industry Challenges

Earlier this month, the pizza delivery giant, which has millions of users in the UK and Ireland, said sales declined by 1.5% in the Q3. In the summer, it warned that the takeaway market had “grown more challenging” as it attributed economic uncertainty in the period before the government announcement and higher payroll outlays for disappointing revenue and a 15 percent decline in six-month income.

Competitors are also facing challenges. Another major chain disclosed the closure of 68 restaurants a month ago, after the firm behind its outlets fell into administration.

Wellness Efforts

Responding to market shifts towards balanced diets, Domino's has rolled out lower-calorie products, such as its Thin & Crispy selection of pizzas below 400 kcal as well as plant-based and allergy-friendly options. A big pepperoni bake has 2,311 kcals. A big margherita has 2,171, while a small has 909 kcal.

Acting Management

The interim chief has been with the company since the recent past, and was formerly with the gaming group William Hill. It is believed that she prefers not to assume the top job permanently.

She commented: “Our team has a several active expansion and operational projects that we will be dedicated to carrying out at pace.”

Frampton noted these included further work on the company's logistics network and menu innovation, and its loyalty scheme.

The pizza chain is also in need of a full-time finance director until the spring, when Andrea comes aboard from the beverage producer a well-known firm. In the meantime, Richard Snow is acting financial officer.