Michel’s Patisserie Closures in Australia ‘Aim to Rebrand Nineteen Franchised Outlets
Renowned Australian food and beverage retailer Retail Food Group (RFG) will close Michel’s Patisserie brand.
Michel’s Patisserie Closures in Australia ‘Their aim is to rebrand nineteen franchised outlets spread around Victoria, Queensland, and New South Wales into two of RFG’s other main brands, Gloria Jean’s Coffees and Doughnut King.
This is a major overhaul meant to improve profitability and match franchisees to more successful brands.
Simple Changes for Franchise Members
RFG has assured every Michel’s Patisserie franchise owner of far-reaching support. Working with all of its partners, the group is customizing the transformation to fit certain situations.
Business assistance and financial support programs help to simplify brand migration. Subject to feasibility assessments, the franchisees would be advised to rename either Gloria Jean’s or Doughnut King to guarantee continuity and maximize future development prospects.
The Decline of an Australian Icon
Originally created in 1980 by French pastry chef Michel Catteon, Michel’s Patisserie peaked with more than three hundred outlets around the country.
Over the past ten years, the brand has faced even more difficult challenges notwithstanding its strong legacy and early success. Changing consumer tastes, rising running costs, and more intense competition all helped to steadily shrink its market share.
Apparently, there was a recession more recently that supported RFG’s aggressive reorganizing project.
Legal Disputes and Financial Rebound Michel’s Patisserie’s tactical shutting makes sense given RFG’s more general financial turnaround.
RFG is dedicated to harmonizing its key brands after announcing a net profit of $5.8 million for the year ended June 2024—a clear turnaround from the loss of the year before.
Recent group history has not, however, been without disagreement. Suing RFG on claims of deceived franchisees about the viability of their businesses, the Australian Competition and Consumer Commission (ACCC) authorized a court-ordered settlement, therefore restoring or voiding the debts of impacted franchisees even though it did not take responsibility. Futures of Franchisees Handling the business with Doughnut King and Gloria Jean Unlike Michel’s Patisserie, Gloria Jean’s Coffees and Doughnut King have developed a brand and strong commercial infrastructure.
Franchisees’ Future with Gloria Jean’s and Donut King
Offering franchisees vibrant options, Gloria Jean’s offers reflect specialist coffee culture, and Doughnut King is a retro-style favorite among Australian customers.
Leveraging the ongoing success of its brands will help RFG rebrand to give stability and fresh profitability to its franchise system. More general consequences for the status of food retailing The collapse of Michel’s Patisserie represents more widespread issues with Australian traditional modes of food selling. Companies who fail to adapt to new times or innovate run the danger of becoming outdated. Simultaneously, though, it shows a larger shift towards consumer-driven goods and generally simplified procedures.
The choice taken by Retail Food Group emphasizes a crucial lesson: survival in the very competitive food and beverage sector of the day depends on keeping a dynamic, flexible company strategy.
