How consumers perceive environmental advertising in the banking context

Kara K W Chan, Fei Fan

Research output: Contribution to journalArticlepeer-review

Abstract

A study was conducted to investigate how consumers respond to banking advertisements with environmental claims. The study adopts a 2×2×2 factorial design. Altogether 195 participants in Hong Kong, China, were asked to read an advertisement of either a well-known or a lesser-known bank, featuring either a global or a local environmental issue, and containing a substantive or an associative environmental claim. The advertisement featuring global warming generated more favorable attitudes toward the advertisement than the ad featuring air pollution in Hong Kong. Use of a substantive claim was able to generate a more favorable advertising effect than use of an associative claim. Advertising effectiveness was higher among participants who were more concerned about the environment. Lesser-known banks have the potential to leverage on environmental advertising. They should choose environmental issues with significant impact and adopt substantive claims. This is the first experimental study on effectiveness of environmental advertising used in the banking context.

Original languageEnglish
Pages (from-to)69-82
JournalAsian Journal of Business Research
Volume5
Issue number1
DOIs
Publication statusPublished - 2015

User-Defined Keywords

  • advertising effect
  • consumer perceptions
  • experimental design

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