Flag of your country Country Presentation Brazil Presented by Ricardo Camargo World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
Flag of your country Country Presentation: Brazil Demographic Data Population: 196.655.014 habitants Total area: 8.511.925 km² Population density: 23,10 /km² GDP 2010: $ 2.088. 966 millions GDP per capita: $ 10,062.49 PPP(Purchasing Power Parity): $ U$ 669, 70 Inflation rate latest 2011: 6,5% Unemployment rate latest 2011: 5,6% Sources: IBGE (January 2011) World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
Flag of your country Country Presentation: Brazil Current industry data: Development of franchising 2001 2010 Employees 459.000 777.285 N° of Units 51.000 86.365 Franchise Concepts 600 1.855 Turnover in USD U$13,966bn U$42,450bn Exchange rate U$1,00 = R$ 1,79 (December2011) World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
Flag of your country Country Presentation: Brazil Current industry data: Sector´s Growth - 2010 Food 39,9% Personal Accessories & Shoes 29,9% 29,0% Clothing 27,4% Furniture, Decoration & Gifts 20,0% Sporting, Health, Beauty & Leisure 17,9% Hotels & Tourism 17,2% IT & Electronic s 12,7% Business, Services & other retails 5,3% Education & Training Vehicles 5,1% Cleaning & Conservation 3,8% 0,3% Photos, Graphics & Signaling World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
Flag of your country Country Presentation: Brazil Structure of our association: Members: Number of members in total: 1.067 Franchisors: 828 • Franchisees: 29 • Potential Franchisors: 43 • Collaborators: 167 • Board: Our Board of Directors includes franchise representatives Source of income: membership fee 40% • marketing activities 14% • fair / conferences 25% • training activities 9% • Others 12% • World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
Flag of your country Country Presentation: Brazil 5 best running franchise-systems in Brazil Ranking By Revenue Ranking By N° of units BRAND SEGMENT BRAND SEGMENT O BOTICÁRIO COSMETIC & PERFUM MCDONALD´S FOOD COLCHÕES ORTOBOM MATTRESSES O BOTICÁRIO COSMETIC & PPERFUM DIA% SUPERMARKET KUMON EDUCATION & TRAINING HABIB´S FOOD MCDONALD´S FOOD L´ACQUA DI FIORI COSMETIC & PERFUM BOB’S FOOD World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
Flag of your country Country Presentation: Brazil Successful international franchise -systems in Brazil (By Number of Units) 1655 1260 1118 896 648 World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
Flag of your country Country Presentation: Brazil Best exported franchise-systems (by Number of Units abroad) 104 108 69 46 32 World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
Flag of your country Country Presentation: Brazil Climate for franchising in our country: Trends in franchising: • Microfranchising: Concepts where the initial capital investment don´t exceed R$50.000 or the monthly revenue doesn`t exceed R$30.000. These concepts are targeted for the lower class and minor investors; • Growth on the Services Segment, especially on the house services (Plummer, Electricist, etc. ); • Industry sectors are using franchising as a distribution channel; • Due to the big commercial concentration on the capitals and main cities, there is a franchising movement going on towards more internalized areas, smaller cities and less developed cities; • Franchising is developing an important role in the Brazilian retail sector. World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
Flag of your country Country Presentation: Brazil Financing a franchise-system: Government support: ABF has a partnership with the Ministry of Development, and with APEX, a Government Agency that promotes the export of Brazilian products and brands. For both, the resources provided to ABF are used to promote the Brazilian franchising sector in Brazil and abroad. ABF also has a partnership with SEBRAE, for activities of training and education. Other forms of financial support: In terms of national financial support, the following Brazilian Banks offer lines of credit for the Franchise Sector: - Banco do Brasil - Caixa Econômica Federal - BNDS - Banco do Nordeste World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
Flag of your country Country Presentation: Brazil Legal framework: • Since1994 Brazil has a specific franchise law (Law # 8.955); • All companies associated to ABF are in agreement with the Law of Franchising, as disposed in the association Code of Ethics. World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
Flag of your country Country Presentation: Brazil Contact data of our association: Brazilian Franchise Association Av. Das Nações Unidas, 10.989 – 11°floor 04578-000, São Paulo – SP Brazil Tel: +55 11 3020-8828 E-mail: rcamargo@abf.com.br web: www.abf.com.br Executive director: Ricardo Camargo President: Ricardo Bomeny Manager of Relations Dept.: Rogério Feijó World Franchise Council Meeting, 27 February – 3 March 2012, Mexico City
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