History of Ncell

Ncell Private Limited was previously known as Spice Nepal Private Ltd., established in the year 2004 with

the license issued by Nepal Telecommunications Authority to operate GSM mobile services, both Post-

Paid and Pre-Paid in the country, and commercially launched its services on September 17, 2005

in Kathmandu and its vicinity. Today, 75 out of the 75 districts of Nepal are covered with Ncell.

It is gradually expanding its network coverage in various urban, semi-urban and rural areas of the

country. In many places, Ncell has been providing services to the subscribers by installing and

using satellite equipments and network. Ncell is Group of Telesonera European Company.In March

2010, Mero Mobile rebranded to Ncell, followed by the change of the legal entity name from Spice

Nepal to Ncell.Spice Nepal Private Ltd. was established in 2004 as the first private mobile operator in

Nepal and launched its services under Mero Mobile brand in 2005. In October 2008, TeliaSonera

acquired controlling interest in the company.Since its acquisition by TeliaSonera, Ncell has actively been

developing its 2G network. Coverage has increased from 40% to 90% of the population. Since 2010,

Ncell has had the best mobile network quality in Nepal confirmed by third party surveys and tests. 3G

services were launched in late 2010. Currently, Ncell is the number one GSM operator in Nepal with

over 8 million subscriptions (of which nearly 100% are prepaid) and around USD 300 million in annual

net sales. Ncell’s revenues have been nearly doubling on an annual basis.

Ncell is committed to continue investing in the future development of the telecommunication

infrastructure and services in Nepal and to contribute to the future prosperity of the country and its

citizens.

The population of Nepal, of which four in five people live in rural areas, may previously never have had

access to telecommunication services, will inevitably gain from increased possibilities to communicate

and access information. One mobile call may save a day of travelling by foot in mountainous areas.

According to a research, every 10 percent increase in mobile penetration in a developing country drives

about 1.2 percent increase in GDP growth. When Ncell was established in 2004, mobile penetration in

Nepal was under 10 percent. At the time of the acquisition by TeliaSonera, it had grown to about 40

percent of the population. Currently, it is more than 60 percent.

Ncell has extended its network to cover all the 75 administrative districts and about 90 percent of Nepal’s population - a major leap in the country’s telecommunication industry.

TeliaSonera has invested close to half a billion USD in Ncell since acquisition in 2008 and until mid-2012.

Mobile communication industry in Nepal is still in its infancy. TeliaSonera is aware of the significant role

it plays as well as the responsibility it has taken on in Nepal. Therefore it is committed to driving long-

term sustainable development in the country.

Telecommunication Industry

A telecommunication system consists of three basic elements: a transmitter that takes information and

converts it to a signal; a transmission medium that carries the signal; and, a receiver that receives the

signal and converts it back into usable information. The world history of development of

telecommunication is very long. But the history of telecommunication in Nepal is rather very young as

compared to the history and culture of Nepalese people. Telecommunication was introduced with the

installation of open wire trunk telephone line between Kathmandu and Birgunj (a border town in

southern Nepal) for the first time in Nepal around 1914 beginning of the First World War.

Until 2003, Nepal Telecom (NT) formerly known as Nepal Telecommunication Corporation (NTC) was the

only state owned telecommunication company of Nepal. Using liberalization policy and involving the

private sector in a competitive environment for the development and expansion of telecommunication

sector in Nepal, then His Majesty's Government of Nepal's decision dated December 25, 1995 had

initiated the involvement of the private sector in the development of the telecommunication services.

Then, United Telecom Limited started providing services in 2003. NTC was converted into a Public

Limited Company on April 14, 2004. Nepal Telecommunications Authority as an autonomous regulatory

body has been established on March 4, 1998 as stipulated within the framework of the

Telecommunication Act 1997 A.D. and Telecommunication Regulation 1997 A.D. Spice Nepal Private

Ltd., popularly known under its brand name "Mero Mobile", now Ncell is the first private GSM mobile

operator in Nepal. The company was established in 2004.

Now the telecommunication industry has a number of players. Some of the telecommunication

industries operating in Nepal are as follows:

Nepal Telecom Ncell United Telecom Limited (UTL) Nepal Satellite Telecom Pvt. Ltd Smart Telecom Pvt. Ltd

Hello Nepal

Customers Perception

As of March 2012, the penetration rate in Nepal was estimated at 49.02% over a population estimate of around 29 million.

Rank Operator TechnologySubscribers(in millions)

Ownership

1 Ncell GSM 7.463 (April 2012) TeliaSonera

2 Nepal Telecom CDMA, GSM 6.751 (April 2012) Nepal Telecom

Brand attributes of Ncell

Brand Identity

Brand Identity is all about creating distinct image in customers mind. Ncell too have tries to create

distinct image on customers mind. The slogan of Ncell “Ncell Nepal kai Lagi”, is one of its step towards

creating unique identity in present cut- throat competitive telecom market. The slogan itself has tried to

build unique identity by eliciting personal attachment to Nepalese customers. Likewise, Ncell has

developed its brand identity through brand symbol in the shape of a hi-tech stone in rich purple color.

Whenever we talk about Ncell the purple colors comes to our mind that is unique identity created by

Ncell.

Brand Image

Ncell center to the market as a first private mobile operator in Nepal offering its services under the

brand Mero Mobile, from that time being it has develop positive image on customers mind.

The Ncell brand came up under the common brand image of the TeliaSonera companies. So it was key

advantage for Ncell to have preoccupied brand image of TeliaSonera in international market. To have

positive brand image the product should have three main criteria like strong, favorable and uniqueness.

Ncell is found to be competent all these respect. The customers have been highly delighted from its

continuous quality services. Before the introduction of Ncell in the Telecom industry the customers were

compelled suffer the poor service quality delivered by leading mobile operator NTC. The Ncell’s

corporate values which are: being a pioneer in the market, reliability, agility in response to the market’s

and consumers’ needs, social responsibility, and a deep and abiding aspiration to be an integral part of

the country. Likewise, it has created uniqueness through the introduction of those services which were

not been experienced in Nepal. For example, Ncell introduced itself as the first private

telecommunication company to provide GSM service in Nepal.

Brand Differentiation

Ncell claimed that they have clear network. Customers also perceive Ncell network as reliable. Ncell has

been able to differentiate it from NTC by positioning itself as superior network quality. Now NTC users

also subscribe Ncell services for backup purpose. Likewise, people also differentia Ncell from other as a

brand having unique services which are still not been provided by other companies.

Brand Objectives

Ncell Nepal’s main objectives are:

Ncell has been introduced mainly with the objective of breaking monopoly held by the state-

owned Telecommunication Nepal Telecom.

To be forward among the telecommunications company providing the best services.

Brand Elements

Brand elements are those attributes of a brand or product that uniquely distinguish the brand from other brands. Ncell too have its several brand elements that has help it to make it unique as compare to other brands. Some its key brand elements are:

Brand Name

Ncell is an excellent example of re-branding in Nepalese business arena. Initially it came up with brand

name “Mero Mobile”. Later after 2010 it came up with new brand name Ncell. The word Ncell

compromises of two words N- cell, the letter “N” stands for Nepal and cell stands for simply phone.

Logos

Hi-tech stone in rich purple color is its present corporate logo. This Hi-stone reflects the strong connectivity. The logo that has been used by Ncell in Nepal is the same logo used by its parent company TeliaSonera.

Color

Ncell’s purple corporate color is very well-known in Nepalese Corporate sector. The purple color is

energizing and inspiring, it reflects the creativity, passion and reliability with which Ncell will continue to

serve its customers. This can be taken as one of the excellent example of company trying to create

brand identity through its corporate color in Nepal.

Sound

The music/sound used in Ncell TV, Radio advertisement is catchy and touching so that customers easily

recognize or recall the brand whenever they heard it in TV or Radio advertisement.

Advertisement Campaigns

Gift a gift campaign

Gift a gift campaign was launched in October. Customers take part by buying a Rs. 100 Mero Mobile

recharge card from a participating outlet. They also receive a gift-wrapped prepaid SIM card with a Rs.

15 balance, which can be used by the customer or gifted to a friend or relative. The Rs. 15 bonus SIM

card can be spent on any Mero Mobile voice, data or value added service.

The campaign message is clear: Customers share the Mero Mobile experience with their friends and

families. People to talk to each other and Ncell take great pride in providing them with the network to

do this.

Lucky Draw Campaign

Ncell launched a lucky draw campaign for its entire subscriber from August 27, 2010. The campaign Ncell

Dial 9090 is a simple lucky draw program where any Ncell subscriber can participate by dialing 9090.

Once dialed, the user will receive a registration code through SMS which the user has to keep safely in

order participating. Live lucky draw was be broadcasted every Friday on Kantipur TV at 9pm.

The campaign was run for a period of 10 weeks. Each week, 5 participants won one weekly prize each.

The weekly prizes were LCD TV, Motorbike, Laptop, BlackBerry Smartphone and tour package of

Thailand for two. At the end of the campaign, two participants won bumper prizes in addition to the

weekly prizes. The bumper prizes were: Hyundai Santro Car and Rs. 10, 00,000.

The consumers who called but still didn’t win any prize got their money back on their bonus account.

My 5 Campaign

Leading telecom service provider Ncell has introduced yet another attractive scheme “My 5” which

enables customers to make calls at cheaper rate. The scheme will come into effect from Friday

(December 28) onwards. Under this scheme, customers can select five Ncell number at only 99 Paisa per

minute exclusive of tax.

New subscribers acquiring Ncell’s SIM card under Sajilo tariff at Rs. 99 will get main balance of Rs 50 and

bonus balance Rs 49. The selected numbers for My 5 scheme can be changed anytime for which, a

minimal amount of Rs. 5 will be charged.

Apart from the new subscribers, existing pre-paid users can also select five numbers to make calls at 99

paisa. Any subscriber using pre-paid (Sajilo, Ramro and Access) numbers can avail this facility by paying

Rs. 20 per month. The scheme is open for three months. However, once acquiring it, the customers can

avail this facility for lifetime.

Ncell loaded campaign

Under the offer, customers buying Samsung Galaxy S4 can avail 1GB data for three months as freebies.

If Samsung S4 buyers already hold Ncell sim, they can instantly activate and start using the Ncell data

service on the new device. Activation can be done through SMS, IVR or USSD.

In case they do not possess Ncell sim, they can collect Ncell sim and activate the offer for free by filling

up due registration form, and showing the voucher in any Ncell Centre. The sim thus received will be of

Sajilo tariff.

The offer is being provided under a campaign named Ncell Loaded, which Ncell launched recently to

assure that the device with ‘Ncell Loaded’ logo has Ncell sim and enables the customer to enjoy Ncell’s

quality voice and fastest data services.

Ncell has committed to tie up with smartphone devices so that their customers could enjoy seamless

surfing experience. This offer on Samsung S4 is our move towards fulfilling that commitment,” said

corporate communication expert of Ncell Milan Sharma.

Buy one, get one free campaign

Ncell has started a new campaign ‘Buy One - Get One Free’, under which Ncell mobile data users buying

any monthly data pack can now enjoy the same volume of data for free. The offer launched under the

campaign is applicable to all types of monthly data packs that Ncell provides, such as 10MB, 40MB,

100MB, 300MB, 500MB, 1GB, 5GB and 10GB. Hence, if customers buy 100MB monthly data under the

new campaign, they will get another 100MB for free. The new campaign will last for 45 days and

customers must use the service received within a month.

Ncell sanga sabai danga

Ncell, the largest mobile service provider in the country, has been awarding attractive prizes to its lucky

customers each week under the campaign "Ncell Sanga Sabai Danga." Ncell on Monday announced the

lucky winners of its 5th week "Ncell Sanga Sabai Danga" scheme through a lucky draw amidst a special

function in the Capital.The scheme launched five weeks ago enables customers spending more than Rs.

50 in a week to win various attractive and worthy prizes.

Ncell Saapati campaign

Ncell Saapati allows prepaid customers to request for a loan when their current balance is less than or

equal to Rs. 2.

The received Saapati amount is added to the main balance and allows the customer to make calls to any

network, send SMS and use mobile internet as well as other services. The amount has no expiry date.

Only prepaid customers who have been using their Ncell SIM for six months or more are eligible to use

this service when their balance reduces to Rs. 2 or less. When the customer recharges his/her balance

the next time, along with the loan Rs. 20, a service fee of Rs. 2 (exclusive of tax) will be deducted from

the new balance. If the recharged amount is less than Rs. 20, the entire balance will be deducted and

the remaining credit and service tax shall be deducted upon the next recharge. If the customer does not

recharge the balance after using the service, s/he will still be able to enjoy incoming services but will not

be able to request for another Saapati until the previous credits is cleared.

The service can be availed by the customer at anytime of the day and as many times as one wishes but

to do so one must have cleared the previous credit and service fee before requesting for another

Saapati recharge.