Newspapers, digital subscription services can optimize profits with new model

For decades, newspapers have relied on print advertising as their primary source of revenue. However, as newspaper readers continue to read more of their news online rather than in print, advertising revenue is dwindling for many newspapers. Now, researchers from the University of Missouri have developed a model that will enable newspapers to maximize their revenues from advertisements and subscriptions by offering a variety of subscription plans. The researchers' test of their new model at one major US newspaper indicated a potential increase of more 17 percent in the newspaper's profits.

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