Size and presence
The five largest franchise networks account for 14.6% of the measured units
Share of the 57,941 active units of the 503 measured networks that belongs to the five largest networks
See the full table (9 rows)
| Segment | Networks | Units | Largest network | Share of the largest | Share of the 5 largest | HHI |
|---|---|---|---|---|---|---|
| Food, retail and distribution | 25 | 6,001 | Cacau Show | 54.1% | 74.9% | 3,084 |
| Tourism and hospitality (few networks) | 7 | 472 | CVC | 36.2% | 83.9% | 2,042 |
| Gyms and sports | 21 | 2,457 | SkyFit Academia | 15.0% | 56.5% | 828 |
| Education | 31 | 3,297 | KNN Idiomas | 11.4% | 40.5% | 530 |
| Health, beauty and wellness | 86 | 12,364 | O Boticário | 15.8% | 38.1% | 471 |
| Fashion and accessories | 83 | 9,657 | Óticas Diniz | 8.7% | 32.7% | 318 |
| Food | 124 | 12,670 | McDonald's | 9.2% | 31.5% | 290 |
| Services and other businesses | 126 | 11,023 | Lavô | 5.3% | 19.5% | 159 |
| All measured networks | 503 | 57,941 | Cacau Show | 5.6% | 14.6% | 86 |
The count of each network's units in the CNPJ (Brazilian company registry) records makes it possible to measure how much of the total is in the largest networks of each segment. The indicator uses two common measures in concentration analysis, the share of the largest networks and the Herfindahl-Hirschman index (HHI), which sums the squares of the shares and ranges from close to zero, when there are many networks of similar size, to 10,000, when a single network has all the units.
In the set of 503 measured networks, the largest has 5.6% of the units and the five largest account for 14.6%. The HHI of 86 is equivalent to a set of about 116 networks of equal size. The median is 61.0 units per network.
In six of the seven segments with at least ten networks, the largest network has between 5.3% and 15.8% of the units. The exception is food, retail and distribution, in which Cacau Show holds 54.1% of the units and the HHI reaches 3,084. The least concentrated segment is services and other businesses, with 126 networks, the five largest accounting for 19.5% and an HHI of 159. Tourism and hospitality has fewer than ten measured networks, and the figures for that segment are indicative.
How we calculate
The base is the active establishments in the expected CNAE (national classification of economic activities) subclasses of the networks with a Receita Federal (the federal tax authority) count in the network profile, that is, with 30 or more active units, read in the open CNPJ data of Receita Federal, reference month October 2026, by the trade name that matches each network's expression. Networks are grouped by the segment of the observatory's universe. In each segment we calculate the share of the largest network, of the three and of the five largest, and the HHI, the sum of the squares of the shares in percent. The equivalent number of networks is 10,000 divided by the HHI. For comparison, the same calculation with all 1,876 networks with a Receita Federal count, including those with fewer than 30 units, gives 12.1% for the five largest and an HHI of 59.
What this figure does not show
- Concentration is measured among the networks the observatory tracks, not in the segment's market, which includes independent businesses and networks outside the universe.
- Units are counted by trade name. Networks whose units use another name are undercounted, which mainly affects services.
- Brands of the same group count separately. Added up by controlling company, the shares of the largest would be higher in some segments.
- Stores shared by two brands count in both networks, an effect that reaches fewer than 0.1% of the units.
Frequently asked questions
Is Brazilian franchising concentrated in a few networks?
Not across the measured networks as a whole. The five largest franchise networks account for 14.6% of the units and the HHI (Herfindahl-Hirschman index) is 86, equivalent to about 116 networks of equal size. The exception is food, retail and distribution, in which the largest network has 54.1% of the units.
Which segment has the most networks competing for units?
Services and other businesses, with 126 measured franchise networks, the five largest accounting for 19.5% of the units and an HHI (Herfindahl-Hirschman index) of 159.
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Size and presenceOther indicators in the same group
Maintained by Marktech, which serves franchise networks and franchises. The brands cited belong to their owners and are mentioned here only to identify the network the data refers to.