Domino's closes three stores in Townsville over franchisee failures

In Australia, specifically in Townsville, three Domino's stores closed temporarily on December 2, 2024. The closures, affecting the Domino's Bushland Beach, Burdell (North Shore), and Mount Louisa, were due to sustainability problems faced by the franchisee. This decision came just ahead of the school holidays, raising concerns for the predominantly young staff who are now out of work. Domino's expressed its commitment to support the impacted team members during this transition and plans to reopen the stores as soon as possible. Surprisingly, despite the recent downturn, six other Domino's locations remain operational in nearby areas including Kirwan, West End, Hermit Park, North Ward, Aitkenvale, and Fairfield Central. These closures arrived as Domino's reported a 1.3 percent decrease in sales for the first month of its 2025 financial year, indicating potential struggles in the overall business framework. In a significant leadership change, Don Meij announced his retirement as CEO after two decades in the role, with Mark van Dyck stepping in as the new head, raising hopes for a strategic turnaround for the brand. Meij reflected on his time at the helm, noting the company’s transformation from a Brisbane-based establishment into a global player with approximately 3,700 stores and considerable revenues nearing $4 billion. The sudden closure of the Townsville locations amidst leadership transitions points to underlying challenges within the business model.