The subscription business model is a business model in which a customer must pay a recurring price at regular intervals for access to a product or service . The model was pioneered by publishers of books and periodicals in the 17th century, and is now used by many businesses, websites and even pharmaceutical companies in partnership with governments.
42-659: Helsingin Sanomat , abbreviated HS and colloquially known as Hesari , is the largest subscription newspaper in Finland and the Nordic countries , owned by Sanoma . Except after certain holidays, it is published daily. Its name derives from that of the Finnish capital, Helsinki , where it is published. It is considered a newspaper of record for Finland. The paper was founded in 1889 as Päivälehti , when Finland
84-649: A paid subscription model is being favoured by more publishers who see it as a comparatively stable income stream. In the field of academic publishing , the subscription business model means that articles of a specific journal or conference proceedings are only available to subscribers. Subscriptions are typically sold to universities and other higher education institutions and research institutes , though some academic publishers also sell individual subscriptions or access to individual articles. In contrast with other media such as newspapers , subscription fees to academic publishers generally do not go towards supporting
126-440: A perpetual licensing model to a subscription model, known as " software as a service ". This move has significant implications for sales and customer support organizations. Over time, the need to close large deals decreases, resulting in lower sales costs. However, the size of the customer support organization increases so that the paying customers stay happy. Consumers may find subscriptions convenient if they believe they will buy
168-422: A predictable and constant revenue stream from subscribed individuals for the duration of the subscriber's agreement. Not only does this greatly reduce uncertainty and the riskiness of the enterprise, but it often provides payment in advance (as with magazines, and concert tickets), while allowing customers to become greatly attached to using the service and, therefore, more likely to extend by signing an agreement for
210-404: A product regularly and might save money. The customer saves time for repeated delivery of the product or service. Subscriptions which exist to support clubs and organizations call their subscribers "members" and they are given access to a group with similar interests. Subscription pricing can make it easier to pay for expensive items since they can often be paid for over time and thus can make
252-576: A psychological phenomenon may occur when a customer renews a subscription, that may not occur during a one-time transaction: if the buyer is not satisfied with the service, he/she can leave the subscription to expire and find another seller. Because customers may only need or want some of the items received, this can lead to waste and an adverse effect on the environment, depending on the products. Greater volumes of production, greater energy and natural resource consumption , and subsequently greater disposal costs are incurred. Subscription models also create
294-428: A single purchase. In addition, subscription models increase the possibility of vendor lock-in , which can have fatally business-critical implications for a customer if its business depends on the availability of software: For example, without an online connection to a licensing server to verify the licensing status every once in a while, a software under a subscription-model would typically stop functioning or fall back to
336-720: A whole season. Thus, a one-time sale of a product can become a recurring sale and build brand loyalty . Industries that use this model include mail order book sales clubs and music sales clubs, private web mail providers, cable television , satellite television providers with pay television channels, providers with digital catalogs with downloadable music or eBooks, audiobooks, satellite radio , telephone companies , mobile network operators , internet providers, software publishers , websites (e.g., blogging websites), business solutions providers, financial firms, health clubs , lawn mowing and snowplowing services, pharmaceuticals , renting an apartment, property taxes, as well as
378-717: Is based on the common vision of the municipalities in the Helsinki region regarding the challenges facing the region and the common will to contribute to the development of the region. As a part of the "Urban audit" project, Eurostat has attempted to standardise the concept of a 'metropolitan area'. According to this study the Metropolitan area of Helsinki consists of the kernel of Helsinki: Helsinki, Espoo, Vantaa, and Kauniainen. The Helsinki Larger Urban Area ( Helsingin seutu in Finnish) consists of 12 cities and municipalities:
420-416: Is by far the most important economic, cultural, and scientific region of Finland. Five of Finland's 14 universities , and six universities of applied sciences are located in the metropolitan area, as are most of the headquarters of major companies and government institutions. Finland's main airline hub and airport, Helsinki Airport , is located in the city of Vantaa . These regions are located in
462-433: Is important to have full access even to old files for decades). Also, consumers may find repeated payments to be onerous. Subscription models often require or allow the business to gather substantial amounts of information from the customer (such as magazine mailing lists), and this raises issues of privacy . A subscription model may benefit the software buyer if it forces the supplier to improve its product. Accordingly,
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#1732772164235504-425: Is limited to paying subscribers. In addition to the freemium model, other subscription pricing variations are gaining traction. For instance, the tiered pricing model is frequently used in software as a service (SaaS) platforms, offering customers different access levels and features based on their subscription tier. This model is particularly effective for tailoring services to customer requirements. Another approach
546-404: Is the metropolitan area around Helsinki , the capital city of Finland . It also includes the smaller capital region . The terms Helsinki metropolitan area, Greater Helsinki, Capital region and the other terms used are not fixed and may vary in different contexts. The metropolitan region is the largest urbanised area in the country with a population of approximately 1.6 million (2024) and
588-494: Is the usage-based pricing model, which calculates charges based on the extent of service or product utilization by the customer. This model is becoming increasingly prevalent, especially in services where customer usage varies significantly. There are different categories of subscriptions: In publishing, the subscription model typically involves a paywall , paysite , or other "toll-access" system (named in opposition to open access ). As revenues from digital advertising diminish,
630-582: The Erkko family. It is currently owned by the Sanoma media group which also owns Ilta-Sanomat . The relationship between the owners of Helsingin Sanomat and Finland's government have sometimes been close. For instance, during the run-up to the Winter War , Eljas Erkko was at the same time the paper's publisher and Finland's foreign minister . Helsingin Sanomat strongly advocated Finland joining
672-469: The European Union in the run-up to the decision to do so in 1994. It has also openly expressed support for Finland's membership of NATO . Mikael Pentikäinen was the editor-in-chief until May 2013 when he was fired from the post. Riikka Venäläinen replaced him temporarily in the post. After Riikka Venäläinen the post has been held by Kaius Niemi . After the 2022 Russian invasion of Ukraine ,
714-634: The Helsinki urban area according to the official Finnish definion of an urban area ( taajama in Finnish). Urban areas in Finland are defined as inhabited areas of at least 200 people with a maximum distance of 200 metres (660 ft) between buildings. The Helsinki urban area is the largest of its kind in Finland, and encompasses land throughout metropolitan area, with notable gaps around forests and other less-densely populated areas. The commuter towns of Lohja and Porvoo are not usually included to
756-502: The Nordic countries . This reaches about 14% of all households in Finland. The paper is a significant factor in Finnish society and in public opinion . Pertti Klemola, a Finnish journalist and scholar, once called it a state authority, an institution with its own independent social and political will. In June 2009 the site was the sixth most popular Finnish website. In 2010 it was the seventh most visited website in Finland in 2010 and
798-588: The commuting area. The sub-region has a population of about 1.66 million. The Helsinki Region Cooperation Assembly is a cooperative body of the municipalities of the Helsinki Region, whose members are the leading elected representatives of the municipalities. Seventeen municipalities participate in cooperation in the Helsinki Region: The common goal of the participating municipalities is to develop cooperation and advocacy. The cooperation
840-636: The Helsinki metropolitan area, though, if they were (considering their proximity to Helsinki and their high commuting rate), they would raise the overall population almost two million people. Hyvinkää , Järvenpää , Nurmijärvi , Tuusula , Mäntsälä and Pornainen , which have been designated as municipalities in Central Uusimaa in recent decades, have shown clear population growth due to their urban but also loose rural environment. These are also known as "Kuuma-kunnat" (literally means "hot municipalities"). In 2020 Helsinki's gross metropolitan product
882-460: The analyst knows who is an active customer and who recently churned. Additional benefits include a higher average customer lifetime value (ACLV) than that of nonrecurring business models, greater customer inertia and a more committed customer base as it transitions from purchase to opt-out decisions, and more potential for upselling and cross-selling other products or services. Some software companies such as Adobe and Autodesk have moved from
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#1732772164235924-422: The capital, are nowadays often included in regional planning, which raises the total population to about 1.74 million. Helsinki metropolitan area differs from the Helsinki sub-region ( Finnish : Helsingin seutukunta ), which also includes the municipalities of Karkkila , Lohja and Siuntio . The Helsinki sub-region is used for statistical purposes. It is based on cooperation between municipalities and
966-492: The creation of the content: the scientific articles are written by scientists and reviewed by other scientists as part of their work duties. The publisher does not pay the paper authors and reviewers. In this light, the subscription model has been called undesirable by proponents of the open access movement. Academic publications that use the subscription model are called "closed-access" in opposition to their open-access counterparts. Businesses benefit because they are assured
1008-746: The exception of the days after public holidays when the paper does not appear. Subscriptions make up 97% of the newspaper's circulation. The front page is usually devoted to advertisements. The newspaper was published in broadsheet format until 6 January 2013. The paper also has a monthly supplement named Kuukausiliite (Finnish for Monthly Supplement ), and a weekly TV guide and entertainment-oriented supplement named Nyt (meaning Now in English). Between 1999 and 2012 there were also both Finnish and English-language online newspaper editions. Content of Helsingin Sanomat can be accessed also through mobile devices. The circulation of Helsingin Sanomat
1050-426: The functionality of a freemium version, thereby making it impossible (to continue) to use the software in remote places or particularly secure environments without internet access, after the vendor has stopped supporting the version or software, or even has gone out of business leaving the customer without a chance to renew the subscription and access his data or designs maintained with the software (in some businesses it
1092-416: The kernel of Helsinki and the aforementioned eight municipalities. Statistics Finland define the commuter belt of Helsinki ( Helsingin työssäkäyntialue , Helsingfors pendlingsområde ) to include a total of 27 municipalities and a population of 1.79 million. In addition to that, there are people from as far as Lahti and even Tampere commuting to Helsinki daily. Statistics Finland also defines
1134-403: The most read paper in the country. The same year it was also the largest paper in terms of readership. Approximately 75% of households in the Helsinki metropolitan area subscribe to Helsingin Sanomat , and it functions as the region's local paper. Its total daily circulation is well over 400,000, or about 8% of Finland's total population, making it the biggest daily subscription newspaper in
1176-496: The newspaper established a Russian-language news website to cover the war. In May 2022, Russian authorities blocked access to the website of the newspaper. On 5 April 2023, editor-in-chief Kaius Niemi was arrested for driving under the influence . He was fined in court and resigned from his post. Erja Yläjärvi became the new editor-in-chief in August. Helsingin Sanomat is published daily in Finnish in compact format with
1218-544: The next period close to when the current agreement expires. In an integrated software solution, for example, the subscription pricing structure is designed so that the revenue stream from the recurring subscriptions is considerably more significant than the revenue from simple one-time purchases. Some subscription schemes (like magazines) also increase sales by not allowing subscribers to accept or reject any specific issue. This reduces customer acquisition costs and allows personalized marketing or database marketing . However,
1260-587: The opposite effect. This can be illustrated by subscribing to a service for mowing lawns. The effective use of a single mower increases when mowing for a collection of homes; instead of every family owning a lawnmower that is not used as much as the service-providing mower, the use of resources for producing lawnmowers, therefore, decreases while lawns stay cut. Helsinki metropolitan area Helsinki metropolitan area ( Finnish : Helsingin seutu , Swedish : Helsingforsregionen ) or Greater Helsinki ( Finnish : Suur-Helsinki , Swedish : Storhelsingfors )
1302-579: The paper has been politically independent and non-aligned since 1932. During the Cold War period Helsingin Sanomat was among the Finnish newspapers which were accused by the Soviet Union of being the instrument of US propaganda , and the Soviet Embassy in Helsinki frequently protested the editors of the paper. Helsingin Sanomat has a long history as a family business , owned by
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1344-425: The product seem more affordable. On the other hand, most newspaper and magazine-type subscriptions are paid upfront, which may prevent some customers from subscribing. Fixed prices may be an advantage for consumers who frequently use those services. However, it could disadvantage a customer who plans to use the service frequently but later does not. The commitment to paying for a package may have been more expensive than
1386-578: The quantity of readers it was getting became one of the major English-language sources of news regarding Finland—making it popular with English-speaking immigrants to the country. The Helsingin Sanomat International Edition closed down on 26 October 2012. English material is now published in cooperation with Helsinki Times weekly newspaper. For a while, Helsingin Sanomat also published some of its material in Russian, but
1428-444: The service was discontinued on 6 October 2014. Subscription Rather than selling products individually, a subscription offers periodic (daily, weekly, bi-weekly, monthly, semi-annual, yearly/annual, or seasonal) use or access to a product or service , or, in the case of performance-oriented organizations such as opera companies , tickets to the entire run of some set number of (e.g., five to fifteen) scheduled performances for
1470-747: The south of Finland, on the coast of the Gulf of Finland , which is part of the Baltic Sea . They are part of the region of Uusimaa . In the strictest sense, the Finnish capital region consists of four municipalities with city title, Helsinki , Vantaa , Espoo and Kauniainen . It has a population of about 1.26 million. This area is most often called the Capital region in English, Pääkaupunkiseutu in Finnish, and Huvudstadsregionen in Swedish, although
1512-413: The system requires that the business have an accurate, reliable, and timely way to manage and track subscriptions. From a marketing-analyst perspective, the vendor has the added benefit of knowing the number of currently active members since a subscription typically involves a contractual agreement. This so-called 'contractual' setting facilitates customer relationship management to a large extent because
1554-464: The total population to about 1.6 million. All of the municipalities belong to the region of Uusimaa . Of these, Järvenpää , Kerava , Tuusula , Nurmijärvi , Sipoo , Kirkkonummi , Mäntsälä and Vihti have parts of the urban area within them. Additionally, the cities of Porvoo , Lohja , Karkkila and to some extent Riihimäki , which have very close ties, motorway and, in the case of Riihimäki, commuter train accesses, and are fairly close to
1596-482: The traditional newspapers, magazines, and academic journals . Renewal of a subscription may be periodic and activated automatically so that the cost of a new period is automatically paid for by a pre-authorized charge to a credit card or a checking account. A common variation of the model in online games and on websites is the freemium model, in which the first tier of content is free. Still, access to premium features (for example, game power-ups or article archives)
1638-515: The use of the terms is not especially consistent. The vast majority of the inhabitants live in the urban areas of the cities, but within the boundaries of these cities there are also suburban and rural areas . The Helsinki metropolitan area includes around ten additional municipalities that can be considered commuter towns and exurbs of Helsinki. These municipalities are Hyvinkää , Järvenpää , Kerava , Kirkkonummi , Nurmijärvi , Sipoo , Tuusula , Mäntsälä , Pornainen and Vihti , bringing
1680-406: Was 476,163 copies in 1993, making it the most read newspaper in Finland. In the period of 1995–96 the paper sold 470,600 copies. Its circulation was 446,380 copies in 2001, making it the largest paper in the country. In 2008 the paper sold 412,421 on weekdays (a change of −1.8% from 2007) and 468,505 copies on Sundays (−1.3%). In 2011 the daily had a circulation of 365,994 copies, making it
1722-542: Was a Grand Duchy under the Tsar of Russia . Political censorship by the Russian authorities, prompted by the paper's strong advocacy of greater Finnish freedoms and even outright independence, forced Päivälehti to often temporarily suspend publication, and finally to close permanently in 1904. Its proprietors re-opened the paper under its current name in 1905. Founded as the organ of the Young Finnish Party ,
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1764-696: Was visited by 1,236,527 people per week. The English-language section of the Helsingin Sanomat website, the Helsingin Sanomat International Edition ( HSIE ), ran for thirteen years. The International Edition launched on 14 September 1999 with the aim of informing readers of news from Finland during the Finnish presidency of the European Union . It continued after the European presidency owing to
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