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The head of Domino's Pizza Group who indicated the UK might have reached peak pizza while diversifying the company into chicken products has been removed after tensions with its governing body.

Executive Change

The former CEO is leaving after only 24 months in leadership, and will be replaced on an temporary basis by the company's operations head, Nicola Frampton, while Domino's searches for a new leader.

The outgoing executive, who served at the company for more than two decades, had sought to shift Britain's leading pizza delivery company towards poultry-based products, stating recently there was not “significant expansion” left in the UK's pizza market. He observed chicken was the quickest rising menu item in the world.

Governance Disagreements

Reports indicate that there was tension between the CEO and the governance team over his approach and management style, although Domino's official statement said he was leaving “through mutual consent”.

Recent Product Introduction

In September, the chain introduced its chicken-focused product line – which the former chief described as a “major strategic shift” for the company – and is testing it in 210 outlets in the North West region and Northern Ireland.

While the business is still intending to launch it across its almost 1,400 stores in the coming year as intended, it views chicken products as a supplement for its core pizza business.

Board Comment

The Domino's chair, the Domino's chair, said: “Directors think that there are a range of possibilities to enhance value and performance improvement in Domino's core business. We are concentrating on finding the right chief executive to oversee the careful implementation of that expansion plan.”

Market Difficulties

In the latest update, Domino's, which has 13 million customers in the UK and Ireland, said sales dipped by 1.5 percent in the third quarter. In the summer, it cautioned that the food delivery sector had “intensified” as it attributed economic uncertainty in the run-up to the budget and rising wage costs for disappointing revenue and a significant fall in half-year profits.

Other pizza operators are also facing challenges. Another major chain disclosed the closing of 68 restaurants a last month, after the business behind its British operations fell into administration.

Health Efforts

Trying to keep up with consumer trends towards healthier eating, the company has rolled out light options, such as its thin-crust selection of pizzas below 400 calories as well as plant-based and gluten-free pizzas. A family-sized pepperoni has 2,311 kcals. A large cheese and tomato pizza has 2,171 kcal, while a individual has under 1,000 calories.

Acting Leadership

The interim chief has been with Domino's since 2021, and previously worked for the gaming group a well-known operator. It is thought that she prefers not to occupy the CEO position permanently.

She commented: “The company has a number of ongoing development and operational projects that we will be concentrating on executing at speed.”

She added these involved further work on the company's supply chain and menu innovation, and its customer retention initiative.

Domino's is also without a full-time chief financial officer until the spring, when Andy Andrea joins from the beverage producer C&C Group. For now, Snow acts as acting financial officer.