Mexican fuel retailer Hidrosina says sales have gone up in the handful of stations it rebranded under its own name last year, departing from the traditional state-owned Pemex model.
The retailer has around 210 stations nationwide, most retaining the Pemex brand that still predominates across the country.
The sales increase could be an early indication of consumer preference in the underserved fuel market that has begun to open up under Mexico's 2014 energy reform.
In January 2016, franchise owners were allowed to rebrand some of the 12,000 stations that make up Pemex's retail network.
Over the past 12 months, Hidrosina, which has been operating as a franchisee in Mexico for more than 20 years and still relies on Pemex for all of its supply, has rebranded 20 stations, all located in Mexico City.
"We have had a very good response... After 70 years of monopoly, the consumer is looking for something new," Roberto De Leo Spinola, an in-house consultant at Hidrosina, told Argus.
Hidrosina says the next decisive steps will be fuel price liberalization, and Pemex's first open seasons for storage and logistics that kicks off on 15 February in the northwestern states of Baja California and Sonora.
By law, Pemex had to make available some of its storage and pipeline capacity to the private sector.
In these two states, the first subject to the staggered open season process, Pemex will offer up to 15pc of its storage capacity, or 161,600 bl, and between 11-61pc of the four pipelines it operates.
The remaining 85pc will stay in Pemex's hands to ensure fuel supply in the region, the company says.
Market-driven prices will be introduced in those same two states on 30 March, followed by the states of Baja California Sur, Durango and Sinaloa, then most of the rest of the country, ending with the states of the Yucatan peninsula in December.
Spinola says the open seasons should boost retail margins by reducing logistical costs, which make up about 2pc of pump prices.
Taxes represent about 42pc and gasoline itself 51pc, Spinola said. The remaining 5pc represents the retailer's margin, from which the company must cover its costs.
"We can only alter logistics and our margin. This is why it is so important that the infrastructure opens up," Spinola said.
The Mexican government has been under fire after fuel prices jumped by up to 20pc on 1 January under a new temporary formula tied to US Gulf coast prices.
The government will readjust pump prices on 4 February and again on 11 February before daily updates begin on 18 February.
Faced with rising discontent and multiple protests that sparked fuel shortages, energy officials defended the government's strategy at a recent congressional hearing and pledged to stay on course.
Critics say the higher prices are driving up inflation.
