Post by : Badri Ariffin

In a surprising move, Domino’s UK announced that CEO Andrew Rennie has stepped down with immediate effect, marking a major change in the company’s leadership as it looks to diversify beyond its core pizza business. Nicola Frampton, the current chief operations officer, will take over as interim CEO.

Rennie’s departure comes amid growing concerns that the UK pizza market is reaching saturation. He had previously told the Financial Times that there is little “massive growth” left in the sector, suggesting that the brand needed to explore new avenues to maintain momentum.

Chick ‘N’ Dip: A New Direction

Earlier this year, Domino’s introduced the Chick ‘N’ Dip sub-brand to capitalize on the rising demand for chicken products in the UK. The concept has already expanded to roughly 200 locations, and plans are underway to roll it out more broadly across the chain in 2026.

This pivot reflects a strategic shift as the company attempts to reduce its reliance on pizza sales, which have recently been impacted by price inflation and declining demand. Over the past three months, Domino’s reported a drop in the number of pizzas sold—a challenge not unique to the brand, as competitors like Pizza Hut have also faced pressure, with the UK franchise closing 68 sites earlier this year.

Leadership and Growth Strategy

Internal sources suggest that Rennie’s approach to managing Domino’s core pizza operations may have caused friction with the board. Chairman Ian Bull emphasized that the board is committed to driving growth within the core business while exploring new opportunities, signaling a careful but forward-looking strategy.

Nicola Frampton, now leading the company on an interim basis, will focus on enhancing the supply chain, accelerating product innovation, and preparing the launch of a nationwide loyalty program next year. The board is actively seeking a permanent CEO to continue this dual strategy of stabilizing core pizza sales while expanding newer offerings.

With shares down roughly 14% over the past year, Domino’s faces both challenges and opportunities as it navigates this transitional phase, balancing traditional strengths with a fresh approach to meet changing customer tastes.

#Business News #Economic