Abstract
Community-based Internet cafés play a critical role in addressing the rural digital divide in the Philippines by providing shared and affordable access to online services essential for education, communication, and socioeconomic participation. However, their sustainability in rural settings remains uncertain because of infrastructural constraints and limited market data. This study assessed the market demand, service utilization patterns, demand–supply adequacy, and financial viability of establishing a community-based Internet café in Reina Mercedes, Isabela, a rural municipality with limited household Internet connectivity (HIC). A quantitative descriptive design with feasibility analysis was employed using a validated and pilot-tested questionnaire (Cronbach’s alpha ≥ .70). Data were collected from 374 respondents aged 15–60 years, selected through simple random sampling, and analyzed using descriptive statistics, demand–supply comparison, and cost–revenue and breakeven analysis. The results revealed very high community demand, with 95.41% of respondents reporting current Internet café use and 92.25% expressing willingness to patronize a proposed facility. Internet browsing (45.72%) and gaming (41.18%) emerged as the most preferred services among the participants. A substantial demand–supply gap was identified, with an estimated 18,821 potential users versus only 1,460 service units in the region. Financial analysis indicated total operating costs of ₱429,077.50, a contribution margin ratio of 50%, and a breakeven sales level of ₱214,538.75. The findings confirm that establishing a community-based Internet café in the study area is financially viable and socially responsive, with significant implications for improving digital inclusion and educational access in rural Philippine communities.
keywords: community demand, digital divide, financial viability, internet café, rural Philippine municipality
https://doi.org/10.65494/pinagpalapublishing.120