In order to shed more light upon the effect of pricing for the successful launch of service innovations (SIs), we investigate the effect of a high versus low launch price on perceived price fairness and, ultimately, adoption intention and two potential moderators. In a experiment we find that the negative effect of a high versus a low launch price on price fairness is moderated by consumer innovativeness and expected future price reduction. Furthermore, we find price fairness to mediate the pricing strategy-adoption intention relationship. Results help managers to better design pricing strategies for SIs
