Once again SÃO PAULO – O Boticário is the largest franchisor in the country, in terms of the number of franchise units. The data is part of the ranking of the 50 largest franchise chains in Brazil, released at a press conference on Wednesday (16) by the Brazilian Franchise Association (ABF) on the sector’s results in 2021.
The level for entering the rating increased last year: the total number of units of the largest brands increased by 23% compared to the total in 2020, and the minimum number of units increased by 29%, from 315 to 406.
the botanical It remained at number one in the ranking, reaching 3,652 franchise units. the From zero to the topEntrepreneurship brand InfomoneyIn fact, he interviewed the founders of The Beauty Network about their founding of the country’s largest franchisor:
actually Cocoa Show It rose one place compared to the 2020 ranking, and reached second place. The chain adopted a strong expansion strategy and reached 2,827 units in 2021. From zero to the top He also spoke with founder Alexander Costa about the history of the Cacau Show, which began when he was selling chocolate and truffles at the age of 17.
the McDonald’s It dropped one place to third with 2,585 franchise operations. Gazin Semijoias, Ortobom, Pit Stop Skol, Subway, AM/PM, Seguralta and Lubrax complete the top ten in the standings.
The list contains 52 brands in total, due to which two sites are linked. See the full ranking of the 50 biggest franchises in Brazil:
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Of the 52 brands in the ranking, eight are publicly traded: McDonald’s, Pit Stop Skol, Burger King Brasil, CVC Brasil, Espaçolaser, Localiza, Hering Store and Arezzo. the From zero to the top He recently interviewed Paulo Moraes, one of its founders, about how the network attracted bidder Xuxa Meneghel as a partner and made an initial public offering that raised R$2.64 billion in 2021.
Franchise results in 2021
Franchises gained R$185 billion in 2021. The sector showed a 10.7% expansion compared to the 2020 result (167 billion R$), approaching the turnover of R$187 billion seen in 2019, before the novel coronavirus epidemic. “a saw 10.5% decrease in revenue between 2019 and 2020and now a growth of 10.7% between 2020 and 2021. This is indicative of a “V” recovery in the franchise sector,” said Andre Friedheim, President of ABF.
Among the factors that affected the expansion of franchise revenues, ABF cited the suspension of social distancing measures, with the gradual resumption of consumption habits and an increase in the movement of shopping centers. It also highlighted the efficiency gains for franchise networks through digitization, and the launch of franchise models with remote sales and services.
The franchise segment collected 2,882 franchisees operating in the country in 2021, an increase of 8% over 2020, and a 1.2% increase over 2019.
The number of franchise units, and the balance between franchise opening and closing, increased compared to both 2020 and 2019. The sector finished last year with 170,999 franchise units in operation in Brazil, expanding by 9.1% during 2020 and 6.2% over 2019 average. Units per franchisor 59.3, up 1% over 2020 and 7.6% over 2019.
The most important sectors in the past year
ABF also revealed revenue growth by franchise segment between 2020 and 2021. Home and Construction Hotels and Tourism; Cleanliness and preservation. And food in trade and distribution showed the highest rate of expansion.
The sectors that recorded the least expansion were telecommunications, information technology, and electronics. educational services; and nourishes it food service. No sector has shown a decline in revenue.
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Only in the ranking of the 50 largest franchisees, the presence of the food sectors has increased, while the presence of services and other businesses has decreased. The rest of the sectors showed stability compared to the 2020 ranking.
2022 predictions
ABF conducted a survey with its partners, who account for 80% of franchise sector revenue, about the outlook for this year. The research expects an 8% expansion in the sector’s revenues to reach R$202 billion. It also estimates a 5% increase in the number of franchisors, to 3,026, and a 7% increase in the number of franchisors, to 182,969.
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