Assessing Public Awareness and Perceptions of Sustainability Practices in the Banking Industry

• Wanning Wang, Business Undeclared, University of Delaware

• Ju-A Hwang, Department of English, University of Delaware

As a part of communities, the banking industry is devoted to enhancing sustainability, which significantly influences individuals’ daily lives and broader societal trends such as economic stability and environmental conservation (Obiora et al., 2020; UNEP, 2022). However, such efforts are often overshadowed by the more visible impacts of other industries. Many people tend to associate sustainability primarily with the food and fashion industries, which have more direct and tangible connections to the environment (McKinsey & Company, 2020; Global FoodBanking Network, 2023). They rarely consider how financial institutions can contribute to sustainability (Khan et al., 2023). In other words, public awareness of banks’ sustainability efforts remains limited.

This research explores (potential) customers’ awareness of major banks’ sustainability practices and their decision-making practices in selecting banking services by implementing a survey. A total of 115 people participated, predominantly young adults under the age of 35. The findings indicate that while a large majority of participants (98%) perceive banks investing extensively in sustainable practices positively, only 6% have chosen a financial service provider based on their sustainability efforts. For instance, one participant mentioned that “Did not consider it; not the main priority.” These results suggest that although people perceive bank industries’ efforts in enhancing sustainability positively, they do not strongly associate it with their major reasons for using banking services – managing their finances, investing for the future, and protecting their assets. It is also possible that the majority of participants were young adults who may be less exposed to or interested in the sustainability aspects of financial services.

Overall, this research highlights the need for improved communication to raise the public’s awareness of the sustainability efforts made by financial institutions so that they can play a more active role in promoting sustainability within their communities.