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Ukay-Ukay

How to Start an Ukay-Ukay Business in the Philippines in 2023

What is ukay-ukay.

Ukay-ukay stores are thrift shops specialising in secondhand clothing, shoes, bags and other goods sold at much lower prices than brand-new items. Ukay-ukays have become a trendy shopping option in the Philippines due to their ability to save money and remain stylish. In addition, sustainable fashion and an increase in concern about environmental protection have rendered the ukay-ukay business more relevant than ever before.

However, launching an ukay-ukay business can be profitable but requires careful planning, market research and knowledge of legal requirements. In this article, we will walk through how to start an ukay-ukay business in the Philippines, including legalities, market research costs, startup costs, inventory sourcing requirements for store setup/design, and operations/management considerations.

Table of Contents

Legalities of ukay-ukay business in the philippines.

Despite its popularity, it is important to note that ukay-ukay importation has been illegal in the Philippines for 55 years under RA No. 4653. This law was enacted to protect Filipinos’ health and maintain the nation’s dignity by prohibiting the commercial importation of used clothing and rags.

Aspiring ukay-ukay entrepreneurs must understand that selling used clothing and other garments is only allowed if the items are sourced and accumulated within the Philippines. The law does not explicitly state the liability of those who buy and resell imported ukay-ukay items, but importation is still strictly prohibited.

However, it should be emphasized that not all ukay-ukay stores are automatically illegal. Those who operate ukay-ukay businesses must be aware of the laws and regulations concerning the sourcing and selling used clothing and other items. This includes obtaining the necessary permits and licenses to operate legally.

Regarding enforcement, the Philippine National Police-Criminal Investigation and Detection Group (PNP-CIDG) and Bureau of Customs (BOC) are responsible for ensuring the importation and sale of illegal ukay-ukay items are prevented. While ukay-ukay stores and online sellers are not the primary targets of the authorities, they should still comply with the laws and regulations to avoid any legal complications.

To operate a successful and legal ukay-ukay business, it is important to stay updated on the laws and regulations concerning the industry. In addition, ukay-ukay store owners must establish a reliable and legal supply chain for their inventory.

Market Research

Launching any business requires an in-depth knowledge of both customers and markets; opening an ukay-ukay store is no exception. Here are some key aspects to keep in mind when starting an ukay-ukay business:

  • Identifying the Target Market and Location:  The initial step in market research involves identifying your target market and location. Since Ukay-ukay stores typically cater to budget-minded customers, an ideal spot would be near public markets, schools or busy commercial areas with heavy foot traffic. Furthermore, demographic factors should also be considered, such as age ranges, income levels and fashion preferences in that region.
  • Competition Analysis:  To effectively compete, it is crucial to conduct an in-depth competitive analysis in your area and understand their pricing, product offerings and target market. Doing this will allow you to develop an attractive unique selling proposition and set competitive prices.
  • Price Points and Potential Profitability:  Establishing reasonable product prices is critical to drawing customers in and making a profit. This requires considering costs related to goods production, overhead expenses and desired profit margins as well as considering potential demand and whether higher-priced points could be sold successfully.

By conducting extensive market research, ukay-ukay store owners can make educated decisions regarding location, pricing and product offerings that maximize profitability.

Startup Costs of an Ukay-Ukay Business in the Philippines

Starting an ukay-ukay business in the Philippines requires initial investments that cover various expenses. These may include:

  • Required Permits and Licenses:  As part of their legal obligations in the Philippines, every business requires various permits and licenses to operate legally, such as barangay clearance, mayor’s permit and Bureau of Internal Revenue registration. Their costs depend on factors like location and size.
  • Rent and utilities:  One of the primary expenses involved with opening an ukay-ukay store is renting physical space; its rental cost depends on its location, size, condition and rental agreement terms. You also must cover utility costs such as electricity, water and internet service to run it smoothly.
  • Inventory Costs:  Your inventory costs depend on the quality, quantity and variety of items in your stockpile for sale. Items may come from wholesale suppliers, garage sales or flea markets – among others – so factoring transportation fees and cleaning/repairing expenses into the equation could prove crucial to its success.
  • Other Expenses to Consider : When starting up an ukay-ukay business, other expenses should also be factored in: employee salaries, marketing/advertising budgets, accounting/bookkeeping services fees, and insurance costs should all be considered.

An effective business plan will enable you to determine how much capital is necessary to start an ukay-ukay business and effectively distribute resources. In addition, knowing your startup costs allows for setting realistic expectations while preventing financial pitfalls that could compromise its success.

Sourcing Inventory for the Ukay Ukay Business

Once you have secured the required permits and licenses and set up your store or online platform, the next step should be sourcing inventory. Here are some tips for finding suppliers, evaluating quality items and negotiating prices:

  • Find Potential Suppliers : To locate suppliers, attend garage sales, thrift stores and flea markets, and search online or social media platforms such as Facebook or Instagram for them. In addition, warehouses that sell secondhand clothing in bulk could also be great places to look.
  • Evaluate Quality of Items:  Before buying anything, carefully examine its quality. Look out for any damages, stains or tears which could erode its value; remember to wash and sanitize before listing on eBay or anywhere else for sale.
  • Negotiate Prices : In the ukay-ukay business, bargaining is standard practice – don’t be intimidated into offering less than you need when negotiating prices with suppliers! Instead, negotiate to secure the best possible offer while ensuring that selling them remains profitable.

With these steps in place, your ukay-ukay store can guarantee a constant stream of quality items to offer its target market.

Store Set-up and Design for the Ukay Ukay Business

After you have secured your inventory and identified your target market, the next step should be creating an inviting atmosphere for customers to shop at your store. Below are a few factors you should keep in mind for creating the ideal store setting:

  • Choosing a Location:  Select an accessible and visible spot that serves your target market, considering factors such as foot traffic, parking availability and public transit accessibility.
  • Interior Design and Layout:  Establish an interior layout that allows customers to browse comfortably and efficiently, using racks, hangers, shelves and decorative elements as needed to organize items in your store neatly and pleasantly. Make sure it is well-lit and clean as well.
  • Marketing Materials and Signage:  Draw customers in with eye-catching signs and marketing materials by using social media to promote your store and showcase its best finds. You could also offer promotions and discounts to encourage them to visit.

Remember that your store design and setup should reflect your brand identity and appeal to your target market.

Marketing and Promotion of the Ukay-Ukay Business

Marketing and promotion are essential in any successful business venture, including ukay-ukay stores. Here are some practical strategies you can employ to promote your ukay-ukay shop:

  • Establishing Social Media Presence for an Ukay-Ukay Business : Social media platforms like Facebook, TikTok and Instagram offer great ways to showcase your inventory and connect with potential customers. You can set up a business page, post pictures of products, use relevant hashtags to increase brand recognition, and engage with followers – all ways of building social media presence for an ukay-ukay business!
  • Utilizing Online Marketplaces and Live Selling:  Marketplaces like Shopee and Lazada are widely popular in the Philippines, so use these to expand your audience. Furthermore, live selling through Facebook, TikTok, Instagram, or other social media platforms may allow you to showcase inventory life while engaging potential buyers directly.
  • Traditional Marketing Strategies:  In addition to using modern tactics like flyers and posters to promote your ukay-ukay store, traditional strategies such as attending local events or sponsoring community activities to raise brand awareness may also prove effective.
  • Promotions and Discounts for Customers:  Promote special discounts on specific items or offer buy-one-get-one-free offers to lure more sales.

Implementing these marketing strategies will increase visibility and draw more customers to your ukay-ukay business.

Operations and Management of the Ukay-Ukay Business

Successfully running an ukay-ukay business involves overseeing several aspects of its operation to ensure its success. Here are some essential considerations when overseeing such an endeavor:

  • Hiring Staff:  Decide the number of staff needed to run your store, hiring individuals who understand the products you sell while offering exceptional customer service.
  • Establishing Policies:  Develop policies and procedures for your store, such as operating hours, payment methods and return policies. Ensure your staff consistently adheres to these to prevent confusion and customer dissatisfaction.
  • Managing Inventory and Sales:  Track your inventory and sales regularly to optimize both. Adjust inventory levels according to specific items’ popularity; utilize sales data as an informed basis for what items to stock and when discounts should take effect.
  • Maintaining Customer Satisfaction : Provide exceptional customer service to keep your customers coming back and coming back for more. Train your staff on how to effectively deal with customer complaints while offering tailored recommendations based on individual customer preferences.

You can ensure its long-term success by effectively overseeing these aspects of your business.

Step-by-Step Guide Summary on How to Start an Ukay-Ukay Business in the Philippines in 2023:

  • Understand the legalities of operating an ukay-ukay business in the Philippines and acquire the necessary permits and licenses to operate legally.
  • Conduct market research to identify your target market, competition, and potential profitability. Determine the location of your store and the price points for your items.
  • Determine your startup costs, including inventory, rent and utilities (if applicable), permits and licenses, and other necessary expenses.
  • Source your inventory from reputable suppliers, evaluate the quality of items, and negotiate prices.
  • Set up your store, considering the location, interior design and layout, and marketing materials and signage.
  • Establish policies and procedures, manage inventory and sales, and maintain customer satisfaction.
  • Utilize social media platforms to build your online presence, utilize online marketplaces and live selling, traditional marketing strategies, and offer promotions and discounts to attract customers.

Establishing an ukay-ukay business can be highly profitable if the correct steps and regulations are followed. Market research to assess target customers and competition are paramount in assessing its viability; also essential is understanding all legalities surrounding the industry (including any import restrictions or bans) to operate legally.

Also Read: Top 15 Profitable and Unique Small Business Ideas in the Philippines 2023

To successfully launch an ukay-ukay business, securing all necessary permits and licenses and sourcing inventory from reliable suppliers is necessary. Furthermore, setting up your store and hiring staff are necessary steps towards long-term success, while managing inventory sales and customer satisfaction must also be prioritized for long-term success.

Marketing and promotion are also integral parts of growing a successful business. Establishing a robust social media presence, using online marketplaces such as live selling platforms like Facebook or Tiktok for sales, employing traditional marketing strategies, and offering discounts or promotions can help your company attract and keep customers.

As previously discussed, beginning an ukay-ukay business requires careful planning, research, and compliance with legal regulations. However, by following the steps outlined here and remaining committed to your venture, you can succeed in this booming sector in the Philippines.

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Ukay Ukay Business: How to Start and Grow Your Own

clothes displayed in ukay ukay business in the Philippines

Looking to start your own Ukay Ukay business? It is the guide for you! In this post, we’ll discuss everything you need to know to get started: from what products to sell to how to market your store. So read on, and learn everything you need to grow a successful Ukay Ukay empire!

What Is Ukay Ukay?

Ukay Ukay is a type of business that deals in second-hand clothes. The term “ukay ukay” comes from the Filipino verb “mag ukay”, which means rummaging or digging through something. In the context of business, Ukay Ukay refers to going through mountains of clothes to find hidden gems.

Related : How to Start Sari sari Store in the Philippines?

Benefits of Ukay Ukay Business In the Philippines

There are many benefits to starting an Ukay Ukay business in the Philippines. For one, it’s a very lucrative business. With the right products and marketing strategy, you can make a lot of money from Ukay Ukay.

Easy Way To Earn Profit

Ukay Ukay is one of the businesses in the Philippines that has a high earning potential. You can easily make a profit by reselling clothes at a higher price. For instance, you can buy a shirt for P100 and sell it for P300. That’s a 200% markup!

Help The Environment

Ukay Ukay businesses help the environment by recycling clothes. Instead of throwing away clothes, Ukay Ukay businesses give them a second life. It reduces waste and helps preserve our natural resources.

Create Jobs

Ukay Ukay businesses create jobs for people who sort and sell clothes. In addition, Ukay Ukay businesses provide opportunities for entrepreneurs to start their own businesses.

Easy To Start

Ukay Ukay businesses are easy to start. You don’t need a lot of capital to get started. You only need a small space to set up your shop and some clothes to sell.

How To Start A Ukay Ukay Business In The Philippines

Now that you know the benefits of starting a Ukay Ukay business let’s discuss how to start one. Here are the steps you need to take:

1. Look for suppliers of second-hand clothes.

There are many places where you can find second-hand clothes. You can buy them from ukay ukay bales, online sellers, or thrift shops. Once you find a supplier, negotiate a comfortable price for both of you.

2. Choose a good location for your Ukay Ukay business.

Your Ukay Ukay business will be more successful if you choose a good location. Look for a place with high foot traffic. It will help you attract more customers to your store.

3. Set up your Ukay Ukay shop.

Now it’s time to set up your Ukay Ukay shop. Make sure that your shop is well-lit and organized. It will make it more inviting for customers to come in and browse through your clothes.

4. Advertise your Ukay Ukay business.

There are many ways to advertise your Ukay Ukay business. You can put up flyers in your neighborhood or advertise online. You can also offer discounts and promotions to attract customers to your store.

5. Give good customer service.

Good customer service is one of the keys to a successful Ukay Ukay business. Ensure you attend to your customers’ needs and answer their questions promptly. It will make them more likely to come back to your store in the future.

Related: How To Do Annual Inventory Listing BIR 2022

How To Grow Your Ukay Ukay Business

Once you’ve started your Ukay Ukay business, it’s time to start growing it. Here are some tips on how to do that:

1. Get more suppliers.

One way to grow your Ukay Ukay business is to get more suppliers of second-hand clothes. It will give you a more comprehensive selection of clothes to sell and help you attract more customers.

2. Open more branches.

Another way to grow your Ukay Ukay business is to open additional branches in other areas. This will help you reach a broader market and increase your sales.

3. Offer online shopping.

Nowadays, many people prefer to shop online instead of going to physical stores. You can take advantage of this by offering online shopping on your website or social media page. It will help you reach a wider audience and boost your sales.

Facebook Live

Facebook Live is a great way to show your customers what’s new in your Ukay Ukay store. You can use it to give a tour of your shop, or show off new arrivals. It will help you generate interest and attract more customers to your store.

Shoppee Live

Shoppee Live is another great way to show your customers what’s new in your Ukay Ukay store. You can use it for touring your shop or showing off new arrivals. It will help you generate interest and attract more customers to your store.

You can also use Instagram to promote your Ukay Ukay business. Please take pictures of your shop and new arrivals, and post them on your page. Use hashtags to reach a wider audience, and encourage customers to tag their friends in your posts.

Tips For Running A Successful Ukay Ukay Business

Here are some tips for running a successful Ukay Ukay business:

1. Keep your clothes organized.

ukay ukay business

One way to keep customers returning to your store is to organize your clothes. It will make it easier for them to find what they’re looking for and prevent them from getting frustrated.

2. Offer good quality clothes.

Another way to ensure customer loyalty is to offer good quality clothes. It means that the clothes you sell should be in good condition and free of stains or defects.

3. Sort through clothes carefully before putting them on display.

Make sure you only put clothes in good condition on display. It will make your store more inviting for customers to come in and browse through your clothes.

4. Hang clothes up instead of folding them.

ukay ukay business

Hanging clothes up instead of folding them will make your store look more organized and professional. Customers will be more likely to buy clothes from a store that looks well-organized.

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5. Offer a wide variety of clothes.

Make sure that you offer a wide variety of clothes in your store. It will attract different types of customers to your store. You can also offer accessories like bags and shoes to complement the clothes you’re selling.

6. Keep your prices reasonable.

One of the keys to a successful Ukay Ukay business is keeping your prices reasonable. It will attract more customers to your store. Remember, you don’t need to charge high fees to profit. A good price is lower than the clothes’ original retail price.

7. Offer discounts and promotions.

ukay ukay business

Offering discounts and promotions are a great way to attract customers to your store. You can offer a discount on specific items or have a promotion where customers can get a discount if they buy a certain amount of clothes.

Common Mistakes Made In Starting And Growing A Ukay Ukay Business

Some common mistakes people make when starting and growing a Ukay Ukay business. Here are some of the most common mistakes:

1. Not doing enough research

One of the most common mistakes people make when starting a Ukay Ukay business is not doing enough research. Make sure you research the market and understand the competition before starting your business.

2. Not having a plan

Another mistake that people make is not having a plan. It would help if you had a plan for your business, including your goals and how you will achieve them. Without a plan, it won’t be easy to grow your business and achieve your goals.

3. Not investing enough in advertising

Another mistake that people make is not investing enough in advertising. Advertising is essential for attracting customers to your store. Make sure that you allocate a reasonable budget for advertising.

4. Not offering a wide variety of clothes

Another mistake is not offering a wide variety of clothes in their store. It would help if you offered a variety of clothes to attract different types of customers to your store.

5. Not giving good customer service

Good customer service is one of the most important things for a successful Ukay Ukay business. Ensure you attend to your customers’ needs and answer their questions promptly. It will make them more likely to come back to your store in the future.

Are you excited to start your own Ukay Ukay business? Excellent! We’re here to help you every step of the way. This post outlined everything you need to know: what products to sell to how to market your store. But if you still have questions or need help getting started, don’t hesitate to contact us. Our team is more than happy to assist you in starting your very own successful Ukay Ukay business. So what are you waiting for? Get started today!

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What are the legal requirement and fees for this *Ukay Ukay) type of business?

Permits and Licenses: Aspiring Ukay-Ukay entrepreneurs must obtain necessary permits and licenses to operate legally. This includes: • Barangay Clearance • Mayor’s Permit • Bureau of Internal Revenue Registration. • Fire Safety Inspection Certificate, Sanitary Permit, Building Permit, and Electrical Inspection Certificate might also be required depending on the circumstances of the business.

Fees: • The Barangay Clearance fee is around ₱200. • For registering a small business with the Bureau of Internal Revenue (BIR), some of the fees include: • BIR Annual Registration Fee: Php 500 • Documentary Stamp: Php 75 • Books of Account: Php 200 • Cost of Printing Official Receipts: Php 3,500.

Can you start the ukay ukay business around 10k pesos?

Yes, you can start an “ukay-ukay” business in the Philippines with PHP 10,000. However, you will start with small ukay ukay. Focus on finding a cost-effective location or selling online, source affordable inventory, and use social media for marketing. Keep track of your expenses and sales, and make sure to comply with local business regulations. Reinvest your earnings to grow the business.

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11 Pros and Cons of an Ukay-Ukay Business

With the spread of ukay-ukay stores , the practice of buying thrift items has become popular among Filipinos. The appeal of low-cost clothing continues to entice visitors into these stores in search of branded clothing for cheap prices. Ukay-ukay is so popular since it is a cost-effective option for shopping on a budget.

ukay-ukay business

Just like any other business, the success of an ukay-ukay business is mostly determined by the owner’s efforts and traits. Before you start, it’s better to learn the pros and cons of the business.

1. Be your own boss

You are the one who makes practically all of the decisions when beginning an ukay-ukay retail business. Having the ability to make decisions may be both empowering and liberating.

2. Profit is quick

The profit comes quickly because it is computed on a per-sale basis. If you want a steady stream of income with a fast turnover, ukay-ukay business is perfect for you. Customers who haggle are common in ukay-ukay stores, so entrepreneurs must be prepared to negotiate wisely with them. To keep client loyalty, a discount of Php10-20 is acceptable, if it would still end in a profit.

3. You get to meet people from different walks of life

If you enjoy interacting with people, this business is definitely for you. There is never a dull moment when it comes to managing your ukay-ukay store. You will have to be very hands-on in entertaining your customers as you assist them. This could be an opportunity to widen your connections and network.

4. Simple business model

The advantage of an ukay-ukay store business is that it has a basic business plan that is easy to learn. There is a lot of information available to you on the internet (Facebook groups, Youtube videos, etc). This will assist you with getting your business up and running.

5. You have the option to run your business from home

Many entrepreneurs enjoy running a business just within the comforts of their homes. This makes it ideal for stay-at-home mothers or students who need a side hustle. You will no longer need to pay for rent, making your overhead expenses lower than other businesses.

6. Never goes out of style

With ukay-ukay, there will always be something for someone. May it be a pair of vintage pants or thrift bags, customers often find something they like. Especially Pinoys who like cheap, trendy goods, ukay items are easy to sell. It is very lucrative in cities or even provinces anywhere in the country.

Disadvantages

1. it can be exhausting as it involves more physical work.

Managing an ukay-ukay store business often involves a lot more physical effort than other types of businesses. The majority of your days will be spent walking, running errands for your business, and completing a variety of chores.

The task of initially cleaning or washing your goods is already tiring itself. After that, you still have to organize and pack them. You also have to prepare them one by one for display. If you plan on selling your goods online, it needs additional work as you also need to upload photos and label each one of your goods. It is also a popular trend among sellers to conduct live selling.

2. It requires a lot of time

Aside from the physical strain, managing an ukay-ukay business also needs ample time. From the preparation, organizing, selling, and packing of goods, you must have enough time for all the required tasks. If you can afford it, you can employ extra hands to help you.

3. Not all goods are sellable

In sourcing your goods, you can either thrift them by yourself or buy them wholesale from suppliers. Either way, you must be prepared that not all your items will be purchased. You must be prepared for losses and lean months. You can still dispose of items through giveaways or discounts.

4. Finding the right supplier is challenging

Most business owners now prefer finding a supplier instead of thrifting goods by themselves. However, finding the right supplier is not an easy task. It can require a lot of time, energy and trial/error. It’s crucial to know which suppliers are reliable and trustworthy. Dealing with suppliers who are already well-known and have a good reputation among ukay-ukay business owners is the ideal option.

5. Many competitors

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A Quick Start Guide to Online Ukay-Ukay Business Success

How to Find Success in Online Ukay-Ukay Business

  • by Web Admin
  • June 29, 2022
  • Online Business

Along with the pandemic is the rise of online ukay-ukay businesses. 

Some sell secondhand clothes to declutter and earn extra money. Some have found great success in opening an online ukay-ukay business. 

But let’s face it – selling ukay-ukay is risky. And it is challenging to stand out. So, what now?

No worries! We got you covered. This article will show you actionable tips on how to find success in your online ukay-ukay business. Let’s begin!

What is Ukay-Ukay ?

In the Philippines, ukay-ukay is a mode of shopping where people dig through piles of clothes in search of a good find. It also refers to secondhand shops in the Philippines. 

In contrast to luxury and rapid fashion, ukay-ukay profit comes from other people’s discarded clothing, and turnover is not reliant on seasons or catwalk trends.

Do’s and Don’ts for Online Ukay-Ukay Business Success 

In the Cebuano dialect, ukay means to dig. And ukay-ukay indicates searching or digging through a pile of garments to spot the most valuable clothing at a reduced price. 

Clothes are usual in ukay-ukay , but some stores also sell shoes, bags, and other accessories.

business plan for ukay ukay

Ukay-ukay clothes are sold in bales, so you’ll never know what kind of clothes you will find and how much you can sell them for. 

You need to put in more work to ensure they’re in good condition before selling them. And in some cases, clothes in your bale may not even pass for selling. 

Nevertheless, if done right, selling ukay-ukay can be profitable! So then, what do you need to know to find success in the ukay-ukay business? Let’s find out…

Do’s of Selling Ukay-Ukay

  • When acquiring items, be patient and always check the items for defects and stains. Focus on finding a reliable supplier who can provide quality clothes in good condition. 
  • Care for your items and think about the well-being of your customers. Dry clean or wash the fabric to remove dust and particles from shipping. 
  • If you’re into sewing, you may experiment with redesigning and upcycling your secondhand finds to make them more appealing to your target market. 
  • Build a good reputation with customers by providing excellent customer service and offering fair prices. Once they like your items and service, they will surely return for new arrivals.
  • Nurture customer relationships . Your current customers’ loyalty could be a significant asset to an ukay-ukay business. They can promote your business to their friends as a trusted ukay-ukay store.

Don’ts of Selling Ukay-Ukay

  • Don’t display all product arrivals at once. It will keep the consumers checking out the store for new arrivals.
  • Don’t stop at displaying your items on your online store. Online live selling is now a trend, so try it out if you haven’t yet.
  • Don’t be rude to your supplier or customer. Building relationships with the people you work with is a significant factor in finding business success.
  • Don’t give unreasonable prices on your products. People buying ukay-ukay expect affordable and cheaper products, so do your research and see what the ballpark is.

Marketing Tips for Ukay-Ukay Business

For people to patronize your secondhand products, you must show them that it is worth buying your products. Put in the effort to ensure your customers that your products are of good quality and worth the price. 

Here are some ukay-ukay marketing tips:

Prepare a Good Setup for Your Photoshoot 

Visual content is your best bet for marketing your ukay-ukay items. Present every clothing item in a way your consumers would find it presentable. Add creative touches and use proper lighting to highlight your products. 

Give Discounts and Sales

Filipinos love good deals and prefer purchasing items at a lower price. Be strategic in your giving promotions. For example, only put old inventory for sale. Or you can also create bundles by putting together stylish clothing with lesser ones.

Increase the Face Value of Your Products 

Compare your ukay-ukay products with branded items that celebrities use. By making a side-to-side comparison social media post, you can show your customers that they can be stylish without emptying their wallets.

Model Your Products  

Show your consumers how they can mix and match each piece of clothing. Offer them different styles and jump on what’s currently trending. Position yourself as their friendly neighborhood stylist by recommending OOTDs and top picks for various events. 

How to Price Your Products to Make the Most Money

People buy ukay-ukay to save money. So then, how can you price your products, so your online ukay-ukay business is making good money?

Buy Ukay-Ukay Items in Bundles 

Buying in bundles is much cheaper and could give you a higher profit. This way, you can price your products reasonably and profitably. Be willing to negotiate, but don’t sell yourself short.

Research the Going Rate for Your Product 

Before buying bundles of products, make sure you have specific market knowledge. How much is it selling? How much do bargain consumers pay for these types of products? 

Factor in Shipping and Handling Costs 

One of the factors you need to consider is the delivery fee of the items. When pricing your items, ensure you’ve included the shipping and handling cost to get the profit you want.

Entering the online ukay-ukay business might be risky if you lack industry knowledge, sources, and a target market. However, you can still find success if you do your research, create an action plan, and do the work. 

And here’s our bonus tip: 

Increase customer trust with secure packaging, tracking numbers for safe delivery, payment methods, and protective measures from scammers. Improve your customers’ experience by using an all-in-one social commerce app… 

business plan for ukay ukay

Streamline Your Online Ukay-Ukay Business with Prosperna, Your Partner to eCommerce Success

Prosperna is an all-in-one eCommerce platform for businesses of all sizes. From accepting orders to processing payments to booking shipping – do all these automatically in one platform.

Our mission is to empower 100,000 Philippine MSMEs with simple and affordable eCommerce solutions. We are super passionate about helping Philippine MSMEs – we’re giving you a free account forever!  Increase your success in your online ukay-ukay business with your very own online store.

Create your free-forever Prosperna account now.

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Dennis Velasco

Dennis Velasco is the CEO and Founder of Prosperna, an all-in-one eCommerce platform for Philippine businesses. As a technology evangelist at heart, Dennis is super passionate about helping MSMEs "level the playing field" with technology. Feel free to connect with him on Facebook and LinkedIn .

Prosperna Marketing Site | <strong>How to Find Success in Online Ukay-Ukay Business</strong>

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Prosperna Marketing Site | Launching Your Online Clothing Business in the Philippines: 5 Steps to Success

Launching Your Online Clothing Business in the Philippines: 5 Steps to Success

Prosperna Marketing Site | Effective Techniques to Maximize Profits When Selling Digital Products Online

Effective Techniques to Maximize Profits When Selling Digital Products Online

Prosperna Marketing Site | Benefits of Starting an Ukay-Ukay Business

Friday, July 20, 2018

How to start an ukay-ukay business in the philippines.

business plan for ukay ukay

#1. Research and Plan

business plan for ukay ukay

#2. Finance Your Business and Buy Supplies

  • Clothing racks
  • Cloth hangers
  • Plastic Cellophane (Small, Medium, and Large)
  • Record Book

#3. Look for Reliable Suppliers. 

#4. count the actual cost of each item in your bale. , #5. be friendly and accommodating to your customers, #6 register your business (if you're setting up a physical store), #7 advertise your store.

business plan for ukay ukay

About The Rain Maker

64 comments:

business plan for ukay ukay

Good i learned something today. As im planning to make ukay ukay business. Thank you.

Hello. Ukay2 supplier here 😊 feel free to contact me for the pricelist. Thankyou

Hi! Can you email me your pricelist? Thank you.

Hi I am looking for an ukay2x supplier. You can email me at [email protected]

Looking for ukay ukay supplier can please send me the price list [email protected]

Can i have your contact number? Im looking for ukay2 supplier too.

Looking for supplier. please send me pricelist in my email. Thank you. [email protected]

Hi i am looking also a direct supplier can you e mail me also the pricelist? [email protected]. Thanks

hi, please call me at 09665821575, I need Ukay-ukay supplier. Preferably Asian sizes...Thanks.

Hi looking for ukay ukay direct supplier pls. send me quote @ [email protected]. Thanks & God Bless!!!

If I am going to open a phsysical store can I register it in our baranggay only? And wouldn't it be a problem if I declare it as an ukay ukay store? Since importation of used clothing's is prohibited by law in Philippines? I'd really wanted to open a store but this is my main concern...

business plan for ukay ukay

I was searching for loan to sort out my bills& debts, then I saw comments about Crown magic ATM Credit Cards that can be hacked to withdraw money from any ATM machines around you . I doubted this but decided to give it a try by contacting them  YOu can also Whatsapp: +12134218707 email [email protected]   they responded with their guidelines on how the card works. I was assured that the card can withdraw $5,000 instant per day & was credited with $50,000 so i requested for one & paid the delivery fee to obtain the card, i was shock to see the UPS agent in my resident with a parcel{card} i signed and went back inside and confirmed the card work after the agent left. This is no doubt because I have the card & have made use of the card. These hackers are USA based hackers set out to help people with financial freedom!!

Thank you for this blog...

It helps a lot. Thanks

Hello! Ukay2 supplier here, feel free to contact me for the pricelist.Thankyou 😊

Hi, ano fb mo? Just to check out on products

Ano po fb page mo maam?

Fb page mo po maam?

Hi, I am looking for Ukay Ukay supplier too. Pls email me at [email protected] iclude your pricelist, items categories and mode of Payment. Thanks in Advance. ☺❤

hello..pede po.mag inquire about sa ukay bales nyopo..thanks..

How much po ang price po per 45kilo.

How can I contact you po?

how about if i put ukay ukay business infront of our house? san ako pwde mgpaalam, need pba business permit or thru brgy and homeowners assn officers nlng? thank you

Wow what a very nice start-up tips. Thanks Rainmaker ...keep blogging madam...

Hello can you send me sample pricelist? Want to open my ukay ukay business somm in MNL. Thank you :)

Please email me at [email protected] Thank you

Good morning po, I'm planning to open an ukay ukay any recommendation po?

Great blog sis 👍✨😇👌

I'M NOW FULFILL FINANCIALLY BECAUSE OF THE LOAN I GOT FROM LFDS .I would like to bring this to the notice of the public about how i came in contact with LFDS after i lost my job and being denied loan by my bank and other financial institution due to my credit score. I could not pay my children's fees. I was behind on bills, about to be thrown out of the house due to my inability to pay my rent, It was during this period my kids were taken from me by foster care. Then i set out to seek for funds online where i lost $3,670 that i borrowed from friends which i was rip off by two online loan companies. Until i read about:Le_Meridian Funding Service  ([email protected] / [email protected]) somewhere on the internet, Still wasn't convince because of what i have been through until a relative of mine who is a clergy also told me about the ongoing loan scheme of LFDS at a very low interest rate of 1.9%% and lovely repayment terms without penalty for default of payment. I have no choice than to also contact them which i did through text +1-989-394-3740 and Mr Benjamin responded back to me That day was the I'M best and greatest day of my life which can never be forgotten when i receive a credit alert of $400,000.00 Usd loan amount i applied for. I utilized the loan effectively to pay up my debts and to start up a business and today i and my kids are so happy and fulfill. You can as well contact them through email: ([email protected] / [email protected])  WhatsApptext  helpline: +1-989-394-3740 Why am i doing this? I am doing this to save as many that are in need of a loan not to be victim of scams on the internet. Thanks and God bless you all, I'm Oleksander Artem from Horizon Park BC , Ukrain.

Hello everyone, I'm Patricia Sherman in Oklahoma USA right now. I would like to share with you my experience of borrowing USD $185,000.00 to clear my bank draft and start a new business. It all started when I lost my house and I took my stuff because of the bank policy and I met some bills and some personal needs. So I became very desperate and started looking for funds in every way. Fortunately for me, a friend of mine, Linda told me about a credit company firm, I was intrigued by the fraud, but I was intrigued by my situation and had no choice but to get advice from my friend about this company. contacting them really doubted me because of my past experience with online lenders, did you know that little? '' [email protected] This company has been very helpful to me and my colleague and today, thanks to this credit company, the proud owner of well-organized work and responsibilities, they smiled back at me. So if you really need to grow or start your own business, or if you really need to borrow money in any financial hardship, we recommend you find a financial development opportunity in your business today. {E-mail:} [email protected] / whats-app number +393511617486.... online for credit not a victim of scam Thank you.

Are u a direct importer/distributor? Just email me or message me on messenger. Looking forward to hear from you. [email protected]

Hi po nakita ko po yung supplier na pinost nyo? Ask ko lang po if they deliver in Lanao del norte in mindanao? And what po courrier nila?

Hi po Im planning po sana na mag business ng ukay ukay since kelangan ng extra income ngayon. Kaso kinakabahan ako hehehe.. lalo na po sa mga scammer first time kasi. May masusugest po ba kayo na trusted supplier/distributor/importer?

I am looking for legit and trusted supplier. Feel free to contact me on my mobile number 09101172238 or email me [email protected]. Thank you so much

What's the link po ng fb group so we can join. Thanks!

direct supplier here from Dubai po...u can watsapp me on 971567369524

hi! direct ukay-ukay supplier her form Dubai po. watsapp me on 971567369524

Hi. Im looking for direct ukay ukay supplier. Im from bacolod city, negros occidental, phlippines.

I'm looking for a direct supplier of fashion polo blouse or pure crop tops. Kindly text me at this number 09673682187. Thank you!!

Hi im planning to start an UKAY UKAY business and looking for supplier if available im interested in women's fashion please contact me at 09219365056 or thru email im from davap city

I'm a supplier of Aussie Dubai Super Creme Rompers and imported Forever 21 mall pullouts. Hit me up if you are interested. Thanks.

what are your pricelists?

business plan for ukay ukay

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hello im from philippined i have plan tp start this kind of business..i have some question is it profitable business?

business plan for ukay ukay

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Hi. Im looking for direct ukay ukay supplier. Im from Tandag City, Surigao del Sur, phlippines.

Hi Im Looking for ukay ukay supplier can please send me the price list [email protected]

looking for ukay supplier. lets talk via email [email protected]. ty

Thanks for the post and your post is very valuable. Similarly there is a tremendous opportunity for textile industry in Dubai UAE. Moreover textile industry is second largest trading business after oil in the UAE. Below few opportunities for textile industry in UAE (Dubai) 1. Tourism 2. Innovative technologies 3. Local Market 4. E-Commerce 5. International Apparel & Textile Fair (IATF) To know more about textile industry in UAE kindly reach to us https://www.commitbiz.com/blog/business-opportunities-for-the-textiles-industry-in-dubai

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About Me

In everyday usage, the term "rainmaker" can apply to anyone – from the salesperson who always finishes first in billings to the marketing guru who consistently finds innovative ways to present a company's products. In the purest sense, a rainmaker is a difference-maker. And this blog is written by an ambitious young Filipina whose childhood dream was to "be rich". In here, she'll refer to herself in the third person and write about her hustle to reaching success and making a difference.

How to Start an Ukay-Ukay Business in the Philippines

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Ukay-Ukay /Wagwagan Business

Profile image of Tezzine Paragua

Recently I have tried selling ukay-ukay. Since I am an avid fan of relief goods and the opportunity to know who the importer came I grabbed the chance to try the business – first hand experience of doing it was my goal.

Related Papers

business plan for ukay ukay

Nancy L. Fischer

This article on the history of the vintage clothing trend is is part of a special issue of the journal Culture Unbound on Circulating Stuff (http://www.cultureunbound.ep.liu.se/contents.asp?doi=10.3384/cu.2000.1525.1571). It is a more updated, accurate and comprehensive account of the history of wearing vintage clothing than my conference presentation, Forever Vintage.

Studia ethnologica Croatica

Mateja Habinc

This article is an open access article distributed under the terms and conditions of the CC BY-NC-ND 4.0 license. This article contradicts Slovenian public opinion that asserts there is no tradition of secondhand clothes stores in Slovenia. It briefly demonstrates that secondhand retail clothing has a long history in the country that was interrupted for a few decades following the 1960s. In addition, the article reflects upon the question of why "socialist mentality" or more precisely, a "specifically Slovenian socialist mentality" is publicly perceived as the main reason for the contemporary lack of such a retail sector. According to the author, it is not unimportant that such mentality is most often ascribed to marginal and lower social strata who supposedly link secondhand clothes with poverty, thus sustaining their premodern ("socialist") notions. However, public perceptions of the modernization process can only primarily hide contemporary social differences.

Andrew Brooks

One of the understudied geographies of the world economy is the large-scale export of second-hand clothing form the global North to Africa. The consumption and re-use of clothing traces a transnational gradient of inequality between the rich and poor. This thesis examines the (re)production of second-hand clothing commodities in Britain, the international economic geographies of the used-clothing trade and the labour activities of African market traders. Coordinated and non-integrated patterns of trade are investigated through a theoretical approach which draws upon Fine’s ‘system of provision’ analysis from heterodox economics and connects this to existing commodity studies approaches in geography. Within global second-hand clothing networks there are differential power relations between charities, companies and individuals. The socially and historically embedded roles of British charities and firms in the collection, processing and export of second-hand clothing are introduced. This is connected to the main empirical exploration of the downstream social and economic impacts of second-hand clothing imports in Africa. Linkages are made across the new and used clothing sectors and in the relationships between the decline of clothing industries across Africa, economic liberalisation and the growth of used-clothing imports. Patterns of import are investigated, with specific reference to Mozambique, where Indian merchants control distribution. Second-hand clothing markets are widespread in African urban centres and retail activities in Maputo are examined in-depth drawing upon twelve months of ethnographic research. Through specific social formations market traders have precarious livelihoods. Incomes do not provide opportunities for Mozambicans to progress out of poverty. By examining different processes at various locations in the international economy, it is demonstrated how it is not second-hand clothes which create economic relationships, but definite social relations between people.

This paper examines the international trade in used clothes to Africa through a Global Production Network approach. The trade depends on used-clothing commodities being (re)produced from unwanted clothing in high-income countries and being exported and re-valued in Africa. A network of charitable and capitalist exchange links the richest and poorest peoples in accidental intimacy as garments are re-worn. Used-clothing traders’ livelihoods in Maputo, Mozambique are inherently linked to globalization processes. The economic geography of the production of used-clothing commodities in the United Kingdom is investigated and the import and retail of used-clothing in Maputo is mapped. The livelihoods of used clothing traders and their business strategies are explored. Within global used-clothing networks there are differential capitalisation, positionalities and power relations of market participants. Informal traders’ businesses are risky and they have low levels of influence and agency, inhibiting their ability to organise and their opportunities for representation

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planning to start a ukay-ukay business.

Hi! Good day, i was planning to start a ukay-ukay business but had no idea how/where buy a bundle or ano ba ang systema ng ukay-ukay business.

kung sino man ang may idea or meron din ukay-ukay business gusto kong matuto at magsimula ng maliit na business.

ang location ng pagtatayoan ng ukay-ukay ko sana ay sa mindanao sa GenSan, Which is madami ring kacompetensya. my plan is yung ukay-ukay sana na maganda ang quality (sorry hindi ko ma describe ng maayos, yung mga kasuotan na pwede ipang gala ganun), sana matulongan niyo ako magsimula ng business.😊

Mga katanongan ko tungkol sa business na ito:

Mga na sa magkano kaya ang kailangan na puhonan para magsimula ng ukay-ukay business?

Paano ba ma maintain ang business na ito?

Saan o Kanino makakuha ng magandang bundle na ukay-ukay?

; Yan lang ang mga katanongan ko kasi yan ang ang knowledge ko tungkol sa ukay-ukay business kung meron man kulang pakidagdagan nalang, maraming salamat.👌

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How to Start a Ukay-Ukay Business in the Philippines

Kaniyet Rayev

Filipinos have become enamoured with ukay-ukay stores because everyone loves cheap clothing deals. The popularity of these stores lies in their ability to provide branded clothes at a fraction of the price. It is the perfect solution for affordable shopping.

But while starting an online business may seem risky, particularly an online ukay-ukay store, we’ll show you how to be ahead of competition with these helpful tips.

What is Ukay-Ukay Business

Ukay-ukay stores are known for their large piles of pre-loved clothes that people must dig through to find a good deal. Shopping at these stores in the Philippines is a completely different experience from any other kind of shopping.

These clothes may undoubtedly come from other countries and are often very cheap. Still, many Filipinos love shopping at ukay-ukays because of the thrill of finding unique and often very stylish clothing, while it is also a great way to save money on clothing.

Meaning of the word Ukay

Ukay comes from the Cebuano word for ‘dig’, and ukay ukay is therefore to dig or sift through a mound of clothes to find hidden treasures at a fraction of the regular price. It’s also similar to wagwag, which means dusting off a piece of clothing, or SM (segunda mano in Spanish, meaning second-hand), coined after a popular retail chain in the Philippines.

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The advantages of starting an ukay-ukay business, 1. you are in control of your business.

As the sole decision maker and the boss of your own business, you get to decide how you want to run this business. It’s an especially great online business for students who are new to the field of entrepreneurship as you get to learn on the job, without having to commit too much capital.

2. Calculating your profit is quick

Since you can compute your profit with every sale, keeping track of your margins is easy. That said, do expect customers to haggle, as it has become a culture to do so in the Philippines. And even on the internet, you’ll want to offer options for customers to negotiate and not lose that aspect of the business. That’s where loyalty programs and price bidding ecommerce platform features can help retain some aspects of this culture.

After all, everyone loves buying at a discounted price, and even better when you can do it discreetly without revealing your identity, or having someone staring at your haggling process with the store owner.

3. Meet people from all walks of life

While the emphasis is on selling cheap clothing, it doesn’t mean that those are your only customers. You’ll be surprised to discover that customers patronizing your online store do come from all walks of life, especially when vintage clothing is a trend now.

4. The business model is simple and easy to learn

But the best advantage of this business is that it is easy to pick up and doesn’t require any advanced skills. Moreover, there are many groups and online forums that you can take reference to, as there are many Filipinos who have succeeded in this business, and are sharing their knowledge and experience on these platforms.

5. You have the option to run your business from home

With an online store, you can also have the option to run this entire business from the comfort of your home. Unsurprisingly, the online selling business is popular among housewives, given its flexibility, and they get the chance to sell their pre-loved clothes online to earn a side income.

Since everything is online, you won’t even incur the typical operational cost of a traditional business, such as rent or employee salary. And if you adopt a dropshipping model , you don’t need to worry about inventory either.

The Disadvantages of an Ukay-Ukay Business

Despite the advantages, there are also disadvantages and it’s always good to consider these factors before deciding to venture into it.

1. It can be difficult to compete with big online retailers

Given that this is a business selling secondhand clothing, it’s difficult to compete with big online retailers who are selling new clothes at a fraction of the price. This is especially true if your thrift store is not well-organized and lacks a good selection of clothes.

2. It can be difficult to establish customer loyalty

Since customers know they can get great deals at ukay-ukays, they often do not feel the need to return. As a result, it can be difficult to establish customer loyalty, especially if you’re not offering competitive prices, poor selection of products, or your customer service is not up to par.

3. You may experience stock shortages

Since you are buying used clothes from different sources, it’s difficult to predict what kind of stock you will have at any given time. This can lead to frustration for customers looking for a specific item and feeling disappointed when you’re unable to meet their needs.

4. There is a greater chance of receiving stained or damaged items

Since these clothes are pre-owned, there is a greater chance of receiving stained or damaged items from your suppliers. While you may be able to find ways to fix these items and resell them at a reduced price, it can still be frustrating for customers who are looking for high-quality clothing at a discounted price.

5. High competition due to low barriers to entry

Since starting a ukay-ukay business in the Philippines has a low barrier to entry, experiencing stiff competition is inevitable. And with many competitors entering the market, it might lead to a drop in profit margins. Additionally, this can lead to saturation of the business, resulting in customers finding it difficult to differentiate one’s store from the others, leading to lower customer retention rates.

What You Need in Order to Start a Ukay-Ukay Store in the Philippines

All you need is to find a platform to build your online store. There are free online store builders where you can easily create a professionally-looking website for your business. The website will help facilitate your online selling so you can focus on the other aspects of the business, such as delivery, marketing and promotion.

When starting your business, it is important to consider how to offer savings on your products to attract new customers. You may also be able to convince current customers who are thinking of buying from a different ukay-ukay online store to switch to yours. Offering savings in the form of gifts is one way to consider.

Also, remember that you don’t need to spend much money to make a good impression. You can have a product showcase that is not as good as the ones in shopping malls, but it should look decent, where the products are in good condition. This is important because most Filipinos are careful with their appearance and do not want to wear something that looks old.

Things to Remember about Running an Ukay-Ukay Online Store

Focus on existing customers.

Ultimately, you’re now in the reselling business, which means it is all about having regular customers who will continue to make repeated purchases.

Once you start to earn revenue either from orders, sales, or a new business loan ( an investor has given you more money), you should focus on customer service such as improving the overall website experience and offering products of better quality. Such insights can be gathered from customers’ feedback, so it’s crucial to set up a review section.

And if you encountered customers who are seeking refunds due to clothes that don’t fit? Be prepared to make such incidents an opportunity for customers to love you more without abusing your kindness.

Be Extra Nice to Your Suppliers

No matter where your suppliers come from, it is important to have good partnerships and remain cooperative with them. This means setting clear expectations for things like payment terms, delivery commitments, and so on.

For the majority of them, your ukay-ukay online store is an excellent way for them to penetrate into the offline to online business model. They want a partner that helps them reduce their learning curve and technical processes. By bridging this gap for them, it will help build trust between you and your suppliers, leading to long-term partnerships.

Build a Customer Database

When someone buys something from your store, you may want to get their contact details (if they allow it) and a record of their purchases. This way, you will know their preferred style and choice. Thus, when new stocks match their particular style, they will be the first people to know. In that way, they can call first dips to the new products before it is listed on your ukay-ukay online store. This can help to retain your customers as they feel more valued by such a gesture, resulting in more repeated purchase from them.

Remember, this is a business where you sell used clothes. It’s not as glamorous as a fashion shop, but you still want to offer the best customer experience. Thankfully with an online store, it’s easy to set up the right automation system.

Now that you know all about ukay-ukay businesses and how to start your own successful thrift store, what are you waiting for?

This type of online business is a great opportunity for entrepreneurs who want to be their own boss, set their own hours, and make a profit while doing something they love. With hard work and dedication, you can build a thriving ukay-ukay business that brings in customers from all over the Philippines.

Start building your own online store today!

Common questions about Ukay-Ukay business

Is it profitable to run an Ukay-Ukay business?

Yes, with the right strategies in place and some hard work, you can turn it into a profitable business.

Is It legal to Ukay-Ukay?

Yes, it is a legal business so long as you register and get the right permits.

What Type of Business is Ukay-Ukay?

Ukay-ukay is a retail store where secondhand clothes and goods are sold.

What are the features of a Ukay-Ukay business?

The features of a successful ukay-ukay business include proper planning, organised store front, good customer service, marketing and promotion.

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