--By Gaurav Aryal
DishHome, the only direct to home (DTH) cable television network of Nepal has introduced high definition (HD) channels to cater to the demanding urban clients. Dish Media Network Pvt Ltd had launched five HD channels targeted especially at urban clients in May 2014. According to the company, HD channels best utilise the full capacity of high end LCD and LED TVs and give viewers the real pleasure of watching TV.
Suman Pokharel, managing director of the company says that HD channels are targeted at DishHome’s urban market. He informed that a separate set top box priced at Rs 5999 is launched in the market for urban clients who seek optimum picture quality and HD channels. For its rural market and standard definition (SD), the company has launched SD set top box, which is priced Rs 3999. While assuring viewers that the quality of services and content of DishHome will constantly be enhanced along with adding new channels he informed that the company will gradually introduce value added service in the future following streamlining of existing services and products.
Along with enhancing and expanding its services, the company plans to educate the market about the features and benefits of using DTH services. “There are numerous facilities available in DishHome such as personal video recording, excellent picture quality among others. As it is a different technology than the conventional analogue channel, it gets the best out of modern TV sets,” he says. The company indulged in market penetration is open for feedback from its customers and promises to work on those suggestions to ensure best customer satisfaction.
The Monopoly
At this moment DishHome is the only company in Nepal offering cable TV in the digital platform. It has been making efforts to reach each and every corners of the country including rural and urban areas where analogue cable operators cannot reach easily. The company has been offering services through 2200 outlets spread across the whole country.
Though two companies – Dish Nepal and Home TV - started offering DTH services, they were merged in 2011 and rebranded as DishHome. Since then, it does not have any direct competitor. As a single player in providing digital cable TV, it has however been competing with the conventional cable operators. Along with that Pokharel says that the company is also facing competition from the illegal use of Indian DTH service providers and pirated channels.
As a single player, DishHome promises to provide infotainment content to general public. Pokharel says that the company’s products and services are targeted mainly at middle class customers. The growing income level and purchasing capacity due to rise in remittance has expanded market prospects for the company.
Suman Pokharel Managing Director Dish Media Network Pvt Ltd |
The Growth
Pokharel reveals that the company’s customer base has increased by 40 to 50 percent this year compared to that of 2013. He claims that the company now has 350,000 customers across Nepal. He says that the merger of two companies has created a synergy that has benefitted the new entity establish in the market. Even though the technology is relatively new in Nepal, he says, the market response has been overwhelming in the recent times. He recalls doubt and confusion among the consumers in the early days but the scenario is said to be positive now with the improvement in quality of services. “Overall situation is quite satisfactory, but there are still a lot of things that needs to be done,” he said.
With the cable TV digitisation from 2015 in municipalities, the company sees further rise in the market share as well as creation ofequal playing field for all the companies as they will be upgraded to the digital platform. Pokharel further says that 2.2 million households that own TV are probable market for the company. As 3.6 million households are connected with electricity he further says that the market prospect too is continuously growing along with 4 per cent annual increase in electrification. He says that there are immense prospects in the rural areas.
Challenging Operation
The company feels threats from the use of pirated channels that are broadcast without taking downlink permission by cable operators. Pokharel suggests the government should be consistent in monitoring and curtailing illegal practices and use of Indian DTH service providers. Besides that the company also find it challenging to spread awareness about the products and services among the general public and make them adapt to new technology.
The DTH technology has some technological limitations such as rain fade that disrupts the transmission of channels during bad weather. To minimise the problem, the company has set up two satellite hubs in Bhaisepati and Gairidhara. Pokharel claims that the problem has been minimised to some extent.
CSR Activities
Pokharel claims the service provided by the company to rural people has increased their access to the information as its CSR activities. He says it would be unimaginable for people in remote areas to wait for a cable TV operator to provide services there. In such areas, the company’s service access has helped in increasing the people’s access to information and entertainment content, believes Pokharel. He further says that the company believes in giving back to the society where the company operates and claimed that they will launch CSR programmes in the days ahead. .
SWOT Analysis
Strengths
- New technology
- Clear picture quality
- Easy to installbeing a wireless technology
- No geographical barrier
Weaknesses
- Some technological limitations such as rain fade
- Less awareness among public about digital content and privacy
- Dependent on foreign satellites and TV channels
Opportunities
- Growing penetration of TV sets
- Reducing power cut
- Increasing purchasing power of people
- Rising middle class
- Expanding market
- Electrification in rural areas
- Decreasing price of LCD and LED TVs and their attraction
Threats
- Broadcasting pirated TV channels
- Use of Indian DTH service providers that are declared illegal in Nepal