Research from the Brazilian Franchising Association shows that segment has exceeded challenges such as high interest rates and inflationary pressures
The franchise sector in Brazil won R $ 65.967 billion in the first quarter of 2025, according to data released by the (Brazilian Franchising Association) on Tuesday (10.Jun.2025). The value represents a growth of 8.9% compared to the same period as 2024.
The information is contained in ABF’s quarterly performance research. The cleaning and conservation segment led growth between sectors, up 16.3%. Then came health, beauty and well-being (14.9%), hotels and tourism (14.7%) and food-food service (13.7%).
Despite high interest rates and inflationary pressures, the sector registered expansion, driven by increased employment and salary. According to ABF, the result was also influenced by seasonal factors, such as the absence of Easter in the quarter analyzed, as the date fell in April this year.
In the accumulated 12 months closed in March 2025, the total revenue of the sector was R $ 278.490 billion, up 11.2% over the previous period.
Among the factors that boosted the best performance segments, ABF points to the high demand for specialized services and the growth of autoservice laundries in the cleaning and conservation sector. Already health, beauty and well-being benefited from expanding services in pharmaceutical networks. Hospitality and tourism had increased demand due to the holiday and carnival movement at the beginning of the year.
The number of franchised units grew 4.4% in the first quarter. With a closure rate of 1.6%, the balance was positive at 2.8%, which represents an increase of 7,354 operations over the same period as 2024. The unit transfer index remained stable at 0.8%.
Until March, the sector had 198,730 units in operation, responsible for 1.728 million direct jobs. Street stores accounted for 53.5% of the units, followed by those located in shopping malls (16.9%).
Among the fastest growing formats, there are operations in supermarkets and galleries, which went from 4% to 6.6% of the total, and franchises home basedwhich increased from 7.8% to 10.9%.
ABF states that the sector is still in the process of diversification of business models, focusing on market adaptation and national expansion.
