Taco Bell Sets Foot Inside Brazil

Over the last decade, American fast food chains have setup shop or expanded in Brazil. In the last couple of years, expansion has been particularly strong, despite a poor economy. Three examples include Subway, Domino's Pizza, and Pizza Hut, which have increased the number of units and have expanded to smaller markets outside of Sao Paulo and Rio de Janeiro. This expansion of units was designed to not only increase revenues, but also to gobble up market share as other franchises suffered.

Fast food franchise expansion coincides with an overall growth in the sector. Franchises grew 8.3% in 2015. Currently, Subway is the largest fast food franchise in Brazil with nearly 2,000 stores.

Recently, the owner of Wizard, the country's largest chain of English schools, announced the entrance of Taco Bell. Formerly, Taco Bell was one of the largest American fast food chains with no presence in Brazil. The restaurant plans on opening three stores in Sao Paulo by the end of 2016. Expansion is expected to continue to Rio de Janeiro, Minas Gerais and Parana the following year.

The fast food chain plans on opening 100 Taco Bell locations in the country by 2020. 25 stores are expected to be owned by the fund group in Brazil, while 75 will be franchises.

To read more about the entrance of Taco Bell in Brazil visit (in Portuguese) Taco Bell Enters Brazil

For more about the fast food market in Brazil Bras Research has produced the Fast Food in Brazil 2015 industry report. The report covers the top fast food and QSR chains in the country in 2015 including the companies' operational indicators, geographical reach, retail presence and product lines. For more information visit Fast Food in Brazil 2015