The Satisfaction of

the Customers of
Ukay-Ukay here in
Gingoog City

Members:
Lowela P. Cabana
Kenneth C. Gabriel
Jagred Ramo
Zaira Balaba

Introduction
 The clothing industry is one of the leading businesses throughtout the world. It is
never out of demandes since it is one of the basic needs of the human beings
(Armanda,2018). Due to this reason, consumers focuses on the brand name, quality
and cost up of promotion. One of the alternatives tp sustain the needs of the consumers
when it comes to clothing is the importation of Second hand garments for the other
countries. It becomes a trend because of its low price and it has various choices of
product with the same quality and it has an original brand. Importing second hand
garments are still exisiting tpday and now it is called as Ukay ukay here in the
Philippines.

The term ukay ukay is derived from the Filipino hukay, which means to dig up.
Ukay-ukay, synonymous with wagwag, which is the act of dusting off a piece of clothing
by taking hold of end and snapping it in the air (Valdez,2014). Ukay ukay shopping is
like treasure hunting, but instead of looking for a treasure, you are literally digging from
the piles of clothes which one mostly vintage and of high value (Macasera,2013).

Among the many forms of expression, fashion is a straight forward gauge of

one's individuality. You are what you wear but that is so much as the brand and price
tag as the way you carry yourself. In search of value for money, many Filipinos turn to
ukay ukay stores of shift for quality clothing at very affordable price (Ramirez,2010).
According to De Jong (2013), getting some decent attire to wear is very difficult for a low
income family, for then ukay ukay is the answer to their problems, at leasf they can buy
a fair outfit for any amount money in hand.

As time went by, together with the lifestyle of Filipinos ukay ukay became
numerous anywhere in the country. In 2001, Philippines imported US $2.29 billion or
Php 116.7 billion word of consumer goods (Acosta,2000). Many Filipinos now get used
to shop at Ukay ukay stores all over the Philippines because of the brand name and
perceived quality and they feel like a winner after a bargain hunt. Also, consumers don't
have any concerns in terms of health hazard in purchasing ukay ukay as long a they
have meet their needs and wants. Just like other stores, consumer reaction towards the
product is important and in buying second hand garments is their choices, this would be
an evident of satisfaction.

Customers would be satisfied because in ukay ukay they can't just get the trendy
clothes they want but it has a good quality and affordable price. When we say
satisfaction it is the desire of each buyer, it depends on quality of product and the
services offered also a comfortable environment. By that, satisfied customers will have
high quality and these customers will increase repeated purchase intention, so as to
affect thee company's market share and return on investment (Bolton and Drew,1191).
Satisfying customers desires deals a huge impact because the idea of buying stall or
places is limited and chances of high profit is possible. Furthermore, throught the
satisfaction of the customers it creats a long term relationship with your customers.

The basis of the study is the level of customer’s satisfaction towards ukay-ukay
here in Gingoog City, a province of Misamis Oriental. It has several ukay-ukay stalls has
been existing and still operating today. Most existing ukay-ukay businesses are far from
each other and identifying the consumer’s reaction in terms the distance whether people
are satisfied or not. As part of our observations, there are still some of the customers
preferred to go in other cities, but despite of that ukay-ukay stalls here are still
operating.

The purpose of this study is to know the level of satisfaction of the consumer in
the ukay-ukay in terms of price, product, place and promotion here in Gingoog City. In
result to this, the researcher will be able to recommend to the ukay-ukay owner what
would be the better things to do or the strategies that they should use in order to satisfy
the demands of the consumers.

Statement of the Problem

 The research study aims to identify the satisfaction of the customers of the ukay
ukay here in Gingoog City. This will be guided by answering the following question.

1. What are the demographic profile of the respondents in terms of;

a) Age
b) Gender

2. What are the consumer behaviour in buying ukay-ukay in terms of:

a) Place
b) Price
c) Quality
d) Promotion

3. Is there a significant effect if the consumers will be satisfied of ukay

ukay here in Gingoog City?
 Scope of the Study

The study is to determine the satisfaction of customer of buying ukay-ukay here in

Gingoog City. This research want to comprehend how customer being satisfied of
buying ukay-ukay despite from the lack of small stall, hot condition and no proper
installment.
The research of this study will be utilizing the data by using a survey to be conducted to
the customers buying ukay-ukay, asking them honestly answer the questions regarding
from price, quality and service offered based on their experience.
The result of the study will be used to determine the satisfaction of the customer of
buying ukay-ukayin Gingoog City. The outcome of the study will also guide the
researchers to recommend possible techniques to satisfy customer in buying ukay-ukay
and chances of high profit for the owner.

Limitation of the Study

This research limits only in Gingoog City where there are stall of ukay-ukay located. It is
also conducted to the behaviour of customer whether customer are satisfied or not.
 Significance of the Study

The findings of this study will be beneficial to the following:

Ukay-ukay owners- this study will help them by knowing what are the things they need
to do in order to satisfy the customer demands and it will help them to increase their
profits.
Customers – through this study this will be their opportunity to voice out their opinions
about ukay ukay.
Government- this study will help them to boost the city’s economy. Also, they will
realize that even though ukay-ukay imports and sells cheaper second-hand garments
clothes, it has a great help to the citizens who are in lower class.
Entrepreneurs- This study will give idea for young entrepreneurs on what other
opportunity that they may take
Future researchers- This study will give references that they can use as the basis of
their research.
 Definition of Terms

Service- This refers to the valuable action deed or effort performed to satisfy a need of
to fulfil a demand
Consumer- This refers to a person who buys goods and services.
Satisfaction- It is a consumer’s fulfilment response.
Ukay-Ukay- A person deals with the after used goods.
Price- This refers to the value that will purchase a finite quantity, weight or other
measure of a good or service.
Product- A good, idea, method, object, or service created as a result of a process and
services a need or satisfies.
Promotion- This refers to the strategy that they will use in selling the product.
Place- This refers to the area of a certain business.
Loyalty- Measure of commitment based on obligation.
Customer Satisfaction – This refers to the overall happiness or the customer feelings
about the product and services.

CHAPTER II
Theoretical Framework

Satisfaction is an overall customer attitude towards a service providers or an

emotional rection to the difference between what customers anticipate and what they
receive, regarding the fulfilment of some need, goal or desire (Hansemark and
Albinsson, 2013) . Customer satisfaction is one of the key goals for evry organizations.
In service sector, it is exceptionally important because customer satisfaction is probably
the main key to a successful business, recognitionand retention of customer. It is very
important to clarify not only the most important determinants of customer.satisfaction
with the services of factors but also methods that allow to fin out, exploring in the most
effective way.

The basis of understanding the consumers satisfaction is respectively resides in

people’s ability of learning from their previous experience. Since this study is to
determine whether the customers are satisfied or dissatisfied of buying ukay-ukay
therefore The Disconfirmation paradigm by Richard L. Oliver and Kano model are
perfect for this study.

THE DISCONFIRMATION THEORY

The Disconfirmation of paradigm is to study the level of satisfaction of an

individual that prior to expectations with observant performance. In this theory, the
customer’s perception of overall satisfaction results from a comparison between
expectation and outcome performance. Therefore, expectation and outcome
performance are two important variables which can influence the judgment of
satisfaction measure. Customers’ satisfaction is one of the crucial factors to predict the
customer purchase tendency. To investigate satisfaction toward the products is also a
main topic in customer behavior research. Based on expectation disconfirmation theory,
firm can increase satisfaction by increasing perceived product performance or
decreasing expectation.

Szymanski and Henard (2014), found in meta analysis tgat the disconfirmation
theory is the best predictor of customer satisfaction. Disconfirmation theory argues that
the satisfaction is related to the size and direction of the disconfirmation experience that
occurs as a result of comparing service performance against expectations. Ekinci et al
(2004) cites Olivers updated definiton on the disconfirmation theory, that satisfaction is
the guests fulfilment response. It is a judgement that a product or service feature or the
product or service itself, provided (or is providing) a pleasurable level of consumption
related fulfilment including levels of under or over fulfilment.

Mattila, A & O'Neill,J.W (2003) argues that satisfaction is related to the size of
direction of the disconfirmation experience that occurs as a result of comparing service
performance against expectation.

In the process of satisfaction judgment, first buyers may experience from

expectation of the specific product or service prior to purchase. Second, consumption
reveals a perceive performance level of product which is influence by expectations if
difference between actual performance and expectation is perceived as being small.
Hence,. Perceived performance may increase or decrease directly with expectations as
indicated by the arrow drawn from expectation to perceived performance. Third,
perceived performance may either confirm or disconfirm pre purchase expectation
(Anderson and Sullivan, 1993). Fourth, satisfaction is positively affected by expectations
and the perceive level of disconfirmation. Thus, to decrease expectations is a viable
alternative for the firm (Kompalle and Lehmann,2001). Expectation disconfirmation
theory, expectation provides baseline or anchor level of satisfaction. It also be
considered as belief probabilities of what the consequence of an even will be
(Oliver,1980)

Moreover, this theory states that, if performance exceeds expectations, users will
be positively disconfirmed or satisfied. The customer’s expectations have been built
over time by a variety of inputs (as shown in the top left of the model), which are the
firm’s most recent communications (mainly advertising and promotional deals). The
firm’s brand image (which is the aggregate of their long-term communication efforts),
Word-of-mouth (WOM) communication from other people (possibly also including
salespeople), External media reports, online reviews and information, and the
customer’s previous experiences with the firm. The organization has significant control
over the first two inputs (communications and brand image) and, therefore, attempt to
build strong, positive but realistic expectations of the firm and its offerings to potential
customers (that is, its target market). Their effectiveness in this regard is impacted by
the quality and consistency of their communications program, as well as by their total
level of promotional spend and their share-of-voice relative to their direct competitors.
The next two inputs (word-of-mouth and traditional, online and social media reports) is
much harder to control. Typically firms have implemented public relations programs in
order to generate positive media attention. These days many firms are also active on
social media platforms and also focus upon sponsorship and corporate social
responsibility projects.

THE KANO MODEL

The Kano et al
(1996) model of

customer satisfaction
classifies attributes
based on how they are
perceived by

customers and their effect on customer satisfaction.79 The model is based on three

types of attributes viz. basic or expected attributes, (2) performance or spoken

attributes, and (3) surprise and delight attributes.

The performance or spoken attributes are the expressed expectations of the

customer. The basic or expected attributes are as the meaning implies the basic

attributes without any major significance of worth mentioning. The third one, the

surprise and delight attributes are those, which are beyond the customers’

expectations.

Kano model measures satisfaction against customer perceptions of attribute

performance;80 grades the customer requirements and determines the levels of

satisfaction.81 The underlying assumption behind Kano’s method is that the customer

satisfaction is not always proportional to how fully functional the product or service is

or in other words, higher quality does not necessarily lead to higher satisfaction for all

product attributes or services requirements. In his model, Kano (Kano, 1984)

distinguishes between three types of basic requirements, which influence customer

satisfaction.

First is the , must be requirement it is the main criteria of the product/service. This is
crucial competetive and if they do not provide much satisfaction, the customet will not
be interested in product at all (Antony and Preece,2002) . If these condition are not met
and do not perform the basic functions, the customers will extremely be unhappy.
Second is the One-dimensional requirements are usually explicitly demanded by the
customer – the higher the level of fulfilment, the
higher the customer’s satisfaction and vice versa. Third is the Attractive Requirements
these requirements are based on the evaluatiobof the product which is mailnt
determined by what level of customer will be satisfied with a roduct (Webbed and
Wallance,2007).

There are also additional attributes that was mention by Kano these are : Indifferent
attributes, Excitement attributes, and Reverse attributes. Excitement
Simply stated, these are the requirements that are unexpected and pleasant surprises
or delights. These are the innovations you bring into your offering. They delight the
customer when there, but do not cause any dissatisfaction when missing because the
customer never expected them in the first place. Kano originally called these “Attractive
or Delighters” because that’s exactly what they do. Indifferent
Simply stated, these are the requirements that the customers simply don’t care if they
are present or absent, their satisfaction remains neutral under either circumstance.
Reverse simply stated, these are the requirements that cause dissatisfaction when
present and satisfaction when absent. These are very rare but do happen occasionally.

Schematic Diagram of the Variables

IndependentVariables Dependent

Place Customer Satisfaction

Price
Product
Service
 CHAPTER III

Research Methodology
This chapter indicates the procedures and method being used in conducting the
research. It includes research design, research setting, sampling procedure, data
gathering instrument and data gathering procedure.

Research Design
This study made used of quantitative research method. It is a descriptive design
which determines the level of customer satisfaction of ukay-ukay here in Gingoog City.
This design was used since it gathers information from the customers of ukay-ukay.

Research Settings
The research was conducted in Gingoog City. It is the second class city in the
province of Misamis Oriental. It is located centred between Magsaysay and Medina.
From Cagayan De Oro City it has a 122km away and 74km away from Butuan City.
 Sampling Procedure
The respondents of the research are those who buy second hand garments here
in Gingoog City. The method being used is the non probability sampling method
because the respondents are specific and well determine.

Data Gathering Instrument

In gathering information the researchers used the survey questionnaire to
measure the result about the satisfaction of customers in different business sector in
ukay-ukay.

Data Gathering Procedure

The researchers will ask for permission to the different sector of ukay ukay to
have a survey for the data needed for the study. The researchers will formally write a
letter to the owner of Ukay ukay business sector to allow us to conduct a survey in their
area.
 BUSINESS RESEARCH
QUESTIONNAIRE

This study is being conducted by students of Christ the King College as part of the
Business Research assignment. This is a survey questionnaire about the customer
satisfaction of Ukay-ukay in Gingoog City. This survey is done to help not just the
business itself but also to everyone to fulfillthe need and wants of the both parties.
This study is intended for educational purpose only. This questionnaire is randomly
given to the customers of ukay ukay here in Gingoog City. Thank you for your time and
cooperation.

Please answer the following questions:

AGE: _______ GENDER: Female _____ Male _____

1. How often do you buy Ukay ukay products?

 Weekly Monthly Occasionally Seldom a year
2. I don’t have a problem about the distance of ukay ukay places.
Strongly agree Agree Strongly disagree Disagree
3. Ukay ukay in Gingoog City offers a good quality product
Strongly agree Agree Strongly disagree Disagree
4. I am comfortable to the place where I buy ukay ukay

Strongly agree Agree Strongly disagree Disagree

5. Ukay ukay in Gingoog City offers an affordable price

Strongly agree Agree Strongly disagree Disagree
6. Ukay ukay in Gingoog City offers fashionable garments
Strongly agree Agree Strongly disagree Disagree
7. I am proud to be an ukay ukay hunter in Gingoog City
Strongly agree Agree Strongly disagree Disagree
8. I prefer to buy here in Gingoog City than to other cities like Cagayan De Oro
City and Butuan City
Strongly agree Agree Strongly disagree Disagree