NEPAL BUSINESS COLLEGE

Lincoln University College, Malaysia

Questionnaire for market survey on which telecommunication

network is used mostly in the Nepal's Market
A PROJECT REPORT

Submitted to

Sangam Gurung

Marketing Mentor

In Partial Fulfillment of the Requirement For Lincoln Innovation.

Submitted by:
Abish Dahal

22, July, 2018

 Letter of Approval

This is to certify that this Report prepared by Abish Dahal entitled “Questionnaire for

market survey on which telecommunication network is used mostly in the Nepal's

Market” is partial fulfillment of the requirements for the degree of Lincoln Innovation has

been well studied. In our opinion it is satisfactory in the scope and quality as a project for the

required degree.
 Abstract

Telecommunications in Nepal is century long. The first telephone line was introduced in

Kathmandu with open wire trunk between Kathmandu and Raxual (Indian border town) in

1914. But telecom service was formally provided mainly after the establishment of MOHAN

AKASHWANI in B.S. 2005. Evolving from such primitive practice to the present day telecom

scenario, Nepal has become a progressive and competitive Telecom market. According to the

latest figures, 8 companies have been licensed to operate voice based telephony services out of

which 5 are heavily invested by foreign companies. The investment market of telecom is a

subject of interest for many foreign companies

 Objectives for Research

 Telecommunication service that is popular in Nepal.

 For how long they are using telecommunication service?
 Which Service type they are using?
 Numbers of Sim Card that people carry.
 Reasons for selection of particular network
 How much spending on Sim card per month?
 How much satisfaction with the service?
Telecommunication Service provider in Nepal
Here are descriptions about the company that offer telecommunication service in Nepal:
1. NEPAL TELECOM
Nepal Telecom is the first mobile network operator in Nepal. It was founded in 1913 A.D and till
date the company is in function. During the time of establishment it was known as
Telecommunication Department. Later on 1969 A.D the name was changes
as Telecommunications Development Board. After the company was formally established as
fully-state owned company in 1975 A.D, it was named as Nepal Telecommunication
Corporation. The company was transformed to a public limited company from state own
company on 2060 B.S. On 2061 B.S the company was named as Nepal Doorsanchar Company
Limited. It is a state owned network provider with 85% of government share. Nepal Telecom is
only provider of fixed line, ISDN (Integrated Services Digital Network) and leased-line. Recent
data shows us the Nepal Telecom has 10 million users including all GSM mobile, landline
CDMA and internet service. The company also claimed to be the first operator to provide 3G
service in South Asia. The company carries long history. Its name and status changed with the
time and technology. Nepal Telecom provides good service covering all parts of Nepal whether
it is urban area or rural area

Source: www.ntc.net.np

2. NCELL
Nell is one of the most popular mobile network operators in Nepal. It is the first privately owned
mobile network operator ever in Nepal and also the first to operate public GSM service. . It was
initially known as Mero Mobile later on 12 March 2010 it was named as Ncell. Spice Nepal Pvt
Ltd use to own Mero Mobile which was established in 2004 later on TeliaSonera (Swedish and
Finnish telecommunications company) took control over the company in October 2008 and
rebranded the name to Ncell. Recently, on 12 April 20116, Axiata Group Berhad (Malaysian
telecommunications group) bought the 80% ownership of Ncell at 1.36 billion US dollars.

The service of Ncell is all over Nepal. Whether it is urban area or rural area the company has
nice grip over the people and the costumers are also satisfied with the services provided by
company. The subscribers of Ncell have reached to 14 million as of August 2016. Also, you
won’t be surprise to know that Nell is the largest ISP (Internet Service Provider) in Nepal and it
has more than 3 million subscribers.

Website: https://www.ncell.axiata.com

3. SMART CELL – SMART TELECOM PRIVATE LIMITED (STPL):

Smart Telecom is another Telecommunication Service Providers in Nepal which was established
on July 1, 2008.it is a private company. The company is said to be the third largest and faster
growing mobile operator of Nepal. It is a joint venture company with 80% foreign share. The
base subscriber of Smart Telecom Private Limited is around 1.3 million.

The company is providing telecomm services over VSAT and other available technology. It is
growing its services in rural area of the country by providing LSM services. It is also providing
GSM services. Overall the services are being extended in 4 development region out of five
covering 34 districts. Smart Telecom Private Limited (STPL) is planning to expand its network
services to all over Nepal (From start of year 2017) with state-of the- art- technology. The
company has 2G GSM technology for now but it is planning to upgrade to 3G.

Source: http://www.smarttel.com.np

4. NEPAL SATELLITE TELECOM

Nepal Satellite Telecom is next Telecommunication Service Providers in Nepal. It is also the
third private company to provide GSM services in the country. Many of you have not heard
about this network. It is not your fault. The company started giving services from rural area of
the country. The brand name given to operate is “Hello Nepal”. The company mainly focused on
the people of least developed region of Nepal. The company sets mid-western region as its
operational base and planning to expand to another region of the country.

Source: http://utlnepal.com
 Findings from research

The questionnaire survey that we accomplished, we found out that NTC and NCELL were ruling
market. Most of the people were using telecommunication service for more than 5 years, the
story that they delivered while purchasing the sim was quite interesting as they mentioned that
they have to stand in queue for more than 2 days to buy a Sim card. Similarly most of the people
preferred the telecommunication service due to better network and internet facilities, they were
belligerent for the network as in some places as the condition of network in certain places were
very devastating. It was surprising to see that none of the people purchased the sim due to the
advertisement in today’s scenario. The survey showed that there was high spending on recharge,
most of the people used to spend more than 1000 on recharge The services of
telecommunication network were just satisfactory to some peoples where as some of them were
satisfied while one of the consumer was highly satisfied.
 Sales

NCELL
NTC
Both NTC and NCELL
OTHERS

If we analyze this Pie Chart we can seek that there a tight competition between users of NTC
and Ncell as the difference comes in 1. It means to state that out of 10 people that were surveyed,
5 of them were NCELL users while 4 of them were NTC users. Similarly one of the users was
using both NTC and Ncell. Furthermore the stats surprises as none of the people out of 10 were
using other telecommunication services beside NTC and NCELL.
 Conclusion

To sum up, the research helped me to put on a lot of acquaintance. There were lots
telecommunication service provider in Nepal, but NTC and NCELL were able to form a
monopoly market as others telecommunication services were just in Name. The main reasons for
succeed of those 2 giants company were the quality network that the companies were providing.
Internet was also the reason for people attention which influenced people to purchase. But the
advertisement strategies of the telecommunication service were not abundant which should be
made abundant for rich success. Consumers were not much satisfied with the services which
should be analyzed as critical issues by company. Smart cell and Hello Nepal should formulate
such strategy that will make them survive in the market, Otherwise they will just be listed on
History.