The Role of Sustainability in Brand Equity Value in the Financial Sector

Abstract

The behavior of firms is changing as new kinds of businesses evolve. In particular, companies are now seeking to optimize their value, especially their intangible value¿referred to as brand equity value¿which has many behavioral drivers. The analysis of brand equity determinants in the financial sector (e.g., ethical investments, sustainability and firm behavior) has received little attention. The methodology used in this study included the collection of information from publicly listed companies, followed by the execution of a statistical analysis to study the correlations between brand equity values and their determinants. We aimed to close this gap by raising the awareness of the positive impacts of sustainable investments in the financial sector and the need for a managerial implementation model to build a sustainability-oriented brand value. The objective of this research was to examine the relationships between elements such as sustainability scores or diversity measures and firms' brand value. Considering sectoral and regional effects, we observed a positive relationship between environmental and social governance scores and brand equity value.