Is Oxxo a franchise? Chain reached 500 stores in Brazil in three years | Business

Just over three years ago in Brazil, the network of local markets Oxxo opened store number 500 last March, in São Paulo. The strength of expansion makes entrepreneurs wonder if the brand operates with franchises in Brazil, but this is not the case. Oxxo stores are owned, operated by Grupo Nós, a joint venture between Raízen and FEMSA Comercio.

Currently, the network is present in 15 cities in the state of São Paulo and employs almost 5 thousand people. According to a press release, Oxxo’s strategy for 2024 is to continue expanding in the state, exploring new regions with potential for the proximity format.

In addition to the capital of São Paulo, Oxxo has been present in Baixada Santista, since October last year, and in the interior, in the region of Campinas – the city that received the brand’s first Brazilian unit, in 2020.

Oxxo was born in Mexico in 1978 and today has more than 20 thousand units spread across Latin America. Here in Brazil, the brand adapted to local behavior and started offering typical products, such as French bread, cheese bread and coxinha, items not included in the portfolio of the headquarters in Mexico.

Despite not operating with Oxxo brand franchises, Grupo Nós has another brand that is growing based on the format: Shell Select. The convenience store chain has 1,300 units across the country, both owned and franchised. Last year, it even launched a Shell Café, to offer food services in some units.

Few supermarket chains operate in franchise format in Brazil. The Spanish network Dia, which recently announced the closure of more than 334 operations, and filed for judicial recovery, was the first to venture into the format. Today, of the remaining 244 stores in São Paulo, 123 are operated by franchisees. Carrefour launched the Carrefour Express proximity format for franchises last year.

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