Retail Food Group to shut down Michel’s Patisserie brand, opting to convert stores

A popular bakery and cafe chain will be shutting down across the country after a tough few years of trade.

Popular bakery and cafe chain Michel’s Patisserie will be shutting down, as its parent company reveals plans to convert the stores into its other brands.

Retail Food Group has confirmed it will shut down the 19 Michel’s franchises it operates in NSW, Queensland and Victoria.

Michel’s Patisserie will be closing down.

The Gold Coast-based group, which also owns Donut King, Gloria Jean’s, Brumby’s Bakery and Crust Gourmet Pizza, will work with existing franchisees to ensure the transition goes smoothly.

“This process (converting from the Michel’s brand) will take place in collaboration with our franchise partners, with the timing of any conversions based on the individual circumstances of each partner to ensure the best outcome for them and their customers,” a RFG spokeswoman said.

“We continue to support those franchise partners consistent with the terms of their existing Michel’s Patisserie franchise agreements.

“We are working with all Michel’s franchisees in connection with the conversion opportunity.

“That includes an offer of financial and other support.”

Michel’s Patisserie has been a well established brand since 1980.

The spokeswoman said the chosen brands to take over the stores will be Gloria Jean’s and Donut King.

“In light of this assessment, we are engaging with all Michel’s Patisserie franchise partners to explore the opportunity for them to convert their business to the Gloria Jean’s brand, or where that outcome is not feasible, the Donut King brand,” she said.

“We believe that each of the Gloria Jean’s and Donut King brands provide exciting opportunities and a compelling option for Michel’s Patisserie franchise partners considering their immediate or longer-term business futures.

“We’d like to take this opportunity to thank all of our Michel’s Patisserie franchise partners for their ongoing passion for the brand and look forward to working with each of them in a collaborative and transparent way, to achieve a positive outcome that is best suited for individual circumstances.”

French pastry chef Michel Catteon founded the original Michel’s Patisserie cafe on Sydney’s north shore in 1980.

At its peak, there were more than 300 locations across the country.

However, the iconic brand has had a turbulent few years of trade.

In the financial year ending June 2024, RFG generated a net profit of $5.8m after generating a loss in the previous corresponding period.

RFG was taken to court by consumer watchdog Australian Competition and Consumer Commission over claims RFG sold franchises knowing they were operating at a loss in 2022.

While RFG was not made to admit the allegations as part of a court settlement, it was ordered to either repay affected franchisees or wipe their debts in full.

Originally published as Retail Food Group to shut down Michel’s Patisserie brand, opting to convert stores