THE INFLUENCE OF SERVICE QUALITY ON CUSTOMER LOYALTY AT

SELECTED INTERNET PROVIDERS IN TUPI, SOUTH COTABATO

A Proposed Research Title Presented to the

The Faculty of the College of Business and Good Governance

South East Asian Institute of Technology, Inc.

In Partial Fulfillment

Of the Requirements for the Subject

BA 312- Business Research

 MAY 2026

INTRODUCTION

The Problem and its Settings

In Sri Lanka, Hendeniya and Fernando (2022) reported that customers became

dissatisfied when internet providers failed to restore services immediately and respond

promptly to technical concerns, leading to frustration among subscribers. Similarly, in

Indonesia, Rachmawati (2020) stated that recurring internet interruptions and poor

customer support reduced customer trust and caused users to discontinue their

subscriptions and seek alternative providers with better service quality. In Malaysia,

Yusof et al. (2022) revealed that customers were less willing to recommend internet

providers when they experienced unreliable internet services and slow responses to repair

requests, resulting in negative word-of-mouth among users. Furthermore, Quach et al.

(2020) emphasized in Australia that poor reliability and responsiveness significantly

affected customer loyalty because dissatisfied customers tended to switch to other

internet providers based on recommendations and experiences shared by other users. In

Thailand, Namahoot and Jantasri (2021) stated that approximately 68% of broadband

internet users considered switching providers due to recurring connection problems and

delayed technical assistance, demonstrating that poor service quality strongly affects

continued subscription, word-of-mouth, and switch resistance among internet customers.

Valeriano et al. (2021) found that Filipino internet users commonly complained

about poor network reliability and inconsistent internet performance among major

providers such as PLDT, Globe, and Converge, causing dissatisfaction among

subscribers. Similarly, Lizares (2021) explained that the Philippine telecommunications

industry has long faced issues involving slow customer service response, recurring

connectivity problems, and inefficient handling of technical concerns, which weakened

customers’ trust toward internet providers. Furthermore, Balanza et al. (2024) reported

that customers expressed dissatisfaction with unstable internet connectivity and delayed

repair assistance, resulting in some subscribers discontinuing their subscriptions, refusing

to recommend the provider to others due to negative experiences, and switching to

competing internet providers based on recommendations from other users. In Cagayan,

internet connectivity report which stated that 37% of respondents relied on satellite

internet while many users still experienced slow speeds and unreliable connections, and

internet reliability was rated poorly by respondents (Dolindo & ISRG Publishers, 2025).

Supporting this issue, the Department of Information and Communications Technology

disclosed that more than 558,000 public reports regarding weak and slow internet signals

were submitted through the government’s Oplan Bantay Signal initiative, showing the

widespread concern regarding poor internet service quality in the Philippines (Paunan,

2026).

In the Koronadal, internet users continue to experience problems related to

unstable internet connectivity and delayed repair responses, which negatively affect

customer loyalty and satisfaction. A public service advisory in South Cotabato reported

recurring internet interruptions affecting customers in the province, including Koronadal

and nearby municipalities, due to network service issues and connectivity problems

experienced by internet subscribers (Brigada News, 2025). Similarly, online consumer

discussions from Filipino internet users revealed repeated complaints regarding slow
repair services, prolonged loss of signal (LOS), and poor customer support, where some

users stated that they decided to discontinue their subscriptions and switch to other

internet providers recommended by fellow customers because of negative service

experiences.

n Tupi, South Cotabato, internet subscribers frequently experience recurring

internet interruptions, wherein internet connections are lost every month or every few

months despite previous repair interventions. These service disruptions often take two to

three days to resolve, causing inconvenience to customers who rely on internet

connectivity for communication, work, education, and daily activities. During service

outages, subscribers are forced to purchase mobile data or alternative internet sources,

resulting in additional expenses beyond their monthly subscription fees. As a result, some

customers become dissatisfied with the quality of service provided and decide to

terminate their subscriptions and transfer to other internet providers that are perceived to

offer more reliable and stable internet connectivity. However, despite these recurring

service issues, some subscribers continue to maintain their existing subscriptions due to

familiarity with the provider, lack of available alternatives, or the inconvenience of

switching services. Given these circumstances, there is limited local evidence in Tupi,

South Cotabato that examines whether service quality issues such as unreliable internet

connection and delayed repair services truly influence customer loyalty in terms of

continued subscription, word-of-mouth, and switch resistance. Therefore, this study aims

to determine whether service quality significantly influences customer loyalty among

internet subscribers or whether customers remain loyal despite experiencing recurring

service problems.
Conceptual Framework

Independent Variable Dependent Variable

Service Quality Customer Loyalty

a. Tangibility a. Continued Subscription
b. Reliability b. Word of Mouth
c. Responsiveness c. Switch Resistance
d. Assurance
e. Empathy

Figure 1. Conceptual Framework of the Study

This study is anchored on a conceptual framework that examines the influence of

service quality on customer loyalty at selected internet providers in Tupi, South Cotabato.

Service quality, characterized by tangibility, reliability, responsiveness, assurance, and

empathy, is expected to influence customer loyalty among internet users. Customer

loyalty is reflected through continued subscription, word-of-mouth, and switch resistance,

which indicate the customers’ willingness to maintain their subscription, recommend the

internet provider to others, and remain with the provider despite the availability of

competing services.

Research Objectives

The study aims to determine the influence of service quality on customer loyalty

at selected internet providers in Tupi, South Cotabato.

Mainly, the study seeks to answer the following questions:

1. To determine the level of service quality in terms of:

a) Tangibility

b) Reliability

c) Responsiveness

d) Assurance

e) Empathy

2. To determine the level of customer loyalty in terms of:

a) Continued Subscription

b) Word-of-Mouth

c) Switch Resistance

3. To determine the significant relationship between service quality and customer loyalty

at selected internet providers in Tupi, South Cotabato.

Hypothesis of the Study

The study will be tested at a 0.05 level of significance.

H0: There is no significant relationship between service quality and customer loyalty at

selected internet providers in Tupi, South Cotabato.

Scope and Delimitations

This study focuses on examining the influence of service quality on customer

loyalty among subscribers of selected internet providers in Tupi, South Cotabato.

Specifically, it investigates the independent variable, service quality, in terms of

tangibility, reliability, responsiveness, assurance, and empathy. The study also measures

the dependent variable, customer loyalty, through the indicators of continued

subscription, word-of-mouth, and switch resistance. The respondents of the study are
subscribers of NTEL Internet and Cable Installation Services and Markman Tech OPC,

who have been subscribed to their respective internet providers for at least four (4)

months during the period of data collection. These two internet providers were purposely

selected because they have the largest subscriber base among the six (6) internet

providers currently operating in Tupi, South Cotabato, making them the most appropriate

sources of respondents for the study. A quantitative descriptive-correlational research

design will be utilized to determine the relationship between service quality and customer

loyalty.

The study is limited to NTEL Internet and Cable Installation Services and

Markman Tech OPC and does not include subscribers from the other four (4) internet

providers operating in Tupi, South Cotabato or internet providers outside the identified

locale. The research focuses solely on the selected indicators of service quality and

customer loyalty and does not consider other factors that may influence customer loyalty,

such as pricing, internet speed plans, promotional offers, switching costs, customer

income, availability of alternative providers, or subscribers' personal preferences. The

data gathered will be based on the perceptions and experiences of the selected

respondents regarding the internet services they receive. Furthermore, the findings are

limited to the period during which the data are collected and may not reflect future

changes in service quality or customer loyalty. Therefore, the results of the study cannot

be generalized to all internet subscribers in Tupi, South Cotabato but are applicable only

to the subscribers of NTEL Internet and Cable Installation Services and Markman Tech

OPC included in this study.

Significance of the Study

This study will provide valuable insights into the following:

Internet Provider Management. This study will help the management of selected

internet providers understand how service quality influences customer loyalty. The results

may serve as a basis for improving network reliability, responsiveness of customer

support, service assurance, and customer relations practices. These improvements may

contribute to stronger customer retention and enhanced competitiveness in the internet

service industry.

Customers. This study will benefit customers by providing awareness regarding the

importance of service quality in maintaining satisfactory internet services. It will help

them understand how tangibility, reliability, responsiveness, assurance, and empathy

influence their continued subscription, willingness to recommend the provider, and

resistance to switching services. Such awareness may encourage customers to evaluate

internet providers based on service quality and overall customer experience.

Internet Provider Industry. This study will provide valuable insights into the internet

provider industry regarding how service quality influences customer loyalty. It will

highlight how tangibility, reliability, responsiveness, assurance, and empathy affect

continued subscription, word-of-mouth, and switch resistance among internet users. The

findings may guide internet providers in improving service delivery, customer support,

and network performance to maintain customer satisfaction and loyalty.

Researchers. This study will contribute to researchers by expanding the existing body of

knowledge regarding service quality and customer loyalty in the internet provider

industry. It will provide useful information that may serve as reference material for

related studies in business management, customer behavior, and telecommunications

services. The findings may also help researchers explore other factors affecting customer

loyalty among internet users.

Future Researchers. This study will serve as a reference for future researchers who plan

to conduct similar studies involving service quality and customer loyalty. It will provide a

clear framework of variables and indicators related to tangibility, reliability,

responsiveness, assurance, empathy, continued subscription, word-of-mouth, and switch

resistance. Future researchers may replicate, modify, or expand this study to further

examine service quality and customer loyalty in different internet providers or business

industries.

METHODOLOGY

Research Design

This study utilizes a quantitative descriptive-correlational research design to

examine the influence of service quality on customer loyalty at selected internet providers

in Tupi, South Cotabato. This design enables the researchers to collect measurable data

regarding the components of service quality, including tangibility, reliability,

responsiveness, assurance, and empathy. It also allows the measurement of customer

loyalty in terms of continued subscription, word-of-mouth, and switch resistance. Data

will be gathered using a structured survey questionnaire to obtain quantifiable responses

from internet users subscribed to selected internet providers in Tupi, South Cotabato. The

collected data will then be organized and analyzed statistically to determine the

relationship between service quality and customer loyalty (Creswell & Creswell, 2023).
 The descriptive-correlational research design is appropriate for this study because

it allows the researchers to describe the current condition of internet service quality and

customer loyalty while determining whether a significant relationship exists between the

variables. This design does not manipulate or control the variables but instead observes

customers’ perceptions and experiences regarding the internet services they receive in a

natural setting. Through statistical analysis, the researchers can determine whether

variations in tangibility, reliability, responsiveness, assurance, and empathy influence

customer loyalty in terms of continued subscription, word-of-mouth, and switch

resistance. The quantitative approach ensures objectivity because it relies on numerical

data and statistical interpretation. Therefore, this research design is considered suitable

for examining the relationship between service quality and customer loyalty among

selected internet provider customers in Tupi, South Cotabato (Creswell & Creswell,

2023).

Respondents of the Study

The respondents of this study will be the internet subscribers of selected internet

providers in Tupi, South Cotabato. These respondents are considered appropriate

participants because they directly experience the quality of internet services provided by

their respective internet providers and can provide relevant information regarding

tangibility, reliability, responsiveness, assurance, empathy, continued subscription, word-

of-mouth, and switch resistance. To ensure the reliability and relevance of the data

gathered, only internet subscribers who have been subscribed to their internet provider

for at least four (4) months will be included in the study. Subscribers with longer service

experience are more familiar with the consistency of internet connectivity, responsiveness
of customer support, repair services, and the overall quality of service provided by

internet providers, which may reflect their level of customer loyalty.

Since the exact population of internet subscribers in Tupi, South Cotabato is

unknown, the study will involve one hundred (100) respondents. A sample size of 100

respondents is considered adequate for quantitative research because it provides sufficient

data for statistical analysis and allows researchers to examine relationships between

variables effectively (Memon et al., 2020). The study will utilize Quota-Purposive

Sampling, wherein quota sampling will be employed to ensure the required number of

respondents is obtained from the selected internet providers, while purposive sampling

will be used to select respondents who are relevant to the objectives of the study.

According to Campbell et al. (2020), purposive sampling is appropriate when

respondents are intentionally selected based on characteristics and experiences relevant to

the research, making Quota-Purposive Sampling suitable for obtaining representative and

information-rich respondents for the study.

Research Instrument

The researchers will utilize a modified structured questionnaire as the primary

instrument for data collection. The questionnaire is adapted from the survey instruments

used in the studies of Quach et al. (2020), Abd-Elrahman (2022), and Rachmawati (2020)

and is aligned with the variables and indicators identified in the study to ensure

consistency with the research objectives and conceptual framework. It consists of clearly

defined items that allow the measurement of service quality and customer loyalty among

internet subscribers of selected internet providers in Tupi, South Cotabato.

 The instrument is divided into two main parts. The first part measures the

independent variable, service quality, which includes tangibility, reliability,

responsiveness, assurance, and empathy. The second part measures the dependent

variable, customer loyalty, which includes indicators such as continued subscription,

word-of-mouth, and switch resistance. Each indicator is represented by a set of

statements that reflect the subscribers’ experiences and perceptions regarding the quality

of internet services provided by their internet providers and their level of loyalty toward

the service.

All items in the questionnaire will be measured using a four-point Likert scale

consisting of Strongly Agree, Agree, Disagree, and Strongly Disagree. This scale is used

to obtain measurable responses and to avoid neutral answers, thereby encouraging

respondents to provide more definite responses (Creswell & Creswell, 2023). The

instrument will be subjected to validation by experts to ensure its clarity, relevance, and

appropriateness. In addition, reliability testing will be conducted to ensure the

consistency of the responses. This approach enables the collection of quantitative data

necessary for analyzing the relationship between service quality and customer loyalty

among internet subscribers in Tupi, South Cotabato.

Table 1.
Likert Scale of the Study
Numerical Scale Range of Means Descriptive Level
4 3.25-4.00 Strongly Agree
3 2.50-3.24 Agree
2 1.75-2.49 Disagree
1 1.00-1.74 Strongly Disagree
Source: Creswell & Creswell (2023).

Data Gathering Procedure

 The data gathering procedure will begin with the validation and review of the

modified survey questionnaire to ensure that all items are clear, relevant, and aligned with

the variables of the study, particularly service quality and customer loyalty. The

questionnaire will be carefully examined to ensure that the items properly measure the

indicators of service quality, namely tangibility, reliability, responsiveness, assurance, and

empathy, as well as the indicators of customer loyalty, including continued subscription,

word-of-mouth, and switch resistance. After the verification process, the researchers will

seek formal approval from the research instructor and concerned authorities before

conducting the study among internet subscribers in Tupi, South Cotabato.

Once approval is granted, the researchers will approach the selected internet

subscribers and explain the purpose and objectives of the study, emphasizing that

participation is voluntary and that responses will be treated with strict confidentiality. The

respondents of the study consist of internet subscribers from selected internet providers in

Tupi, South Cotabato who meet the inclusion criteria established by the researchers,

particularly those who have maintained their subscription for at least four (4) months.

The survey questionnaires will then be distributed to the respondents, and adequate time

will be provided for them to carefully answer each item. After the respondents complete

the survey instruments, the researchers will collect the questionnaires and review them to

ensure completeness and accuracy of responses. The collected data will then be coded,

organized, and tabulated in preparation for statistical analysis to determine the

relationship between service quality and customer loyalty among internet subscribers in

Tupi, South Cotabato.

Data Analysis
Weighted Mean. The weighted mean will be used to determine the average level of

responses for each indicator of service quality and customer loyalty. This statistical tool

will help identify the overall perception of the respondents regarding tangibility,

reliability, responsiveness, assurance, and empathy, as well as continued subscription,

word-of-mouth, and switch resistance among internet subscribers.

Formula:

∑ fX
X́ =
∑f

Where:

X̄ = Weighted Mean

ΣfX = Sum of the product of frequency and rating value

Σf = Total number of responses

Pearson r Correlation Coefficient. The Pearson r correlation coefficient will be used to

determine the significant relationship between service quality and customer loyalty. This

statistical method will measure the degree of relationship between the independent

variable, service quality, and the dependent variable, customer loyalty among internet

subscribers in Tupi, South Cotabato.

Formula:

∑ (x i− x́)( y i − ý)
r= Where:
√∑ ¿ ¿ ¿
r = Pearson correlation coefficient

x = values of the independent variable

y = values of the dependent variable

 x̄ = mean of the independent variable

ȳ = mean of the dependent variable

Ethical Considerations

The researchers will strictly observe ethical principles throughout the conduct of

the study to ensure the protection of the rights and welfare of the respondents. Prior to the

data collection process, the researchers will secure proper permission and approval to

conduct the study among internet subscribers in Tupi, South Cotabato. The respondents

will be clearly informed about the purpose, objectives, and procedures of the research

before the distribution of the questionnaire. Participation in the study will be entirely

voluntary, and respondents will have the freedom to decline participation or withdraw

from the study at any stage without facing any negative consequences.

The researchers will ensure anonymity by not requiring respondents to provide

their names or any personal identifying information in the questionnaire. All responses

gathered from the respondents will be treated with strict confidentiality and will be used

solely for academic and research purposes. The collected data will be securely stored and

protected to prevent unauthorized access, ensuring that the information provided by the

respondents remains private and safeguarded throughout the research process.

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