This final lesson examines the ethical dimensions of financial services marketing and contemporary challenges facing the sector.

8.1 Ethics in Financial Services Marketing

The IBSL curriculum includes “Corporate governance and market ethics” as a key topic . The Strathmore University course covers “Social Responsibility and Ethics in Financial Services Marketing” . Key ethical issues include:

  • Mis-selling: The risk of selling unsuitable products to meet sales targets.

  • Consumer Protection: Ensuring fair treatment of customers.

  • Conflicts of Interest: Managing situations where personal interests conflict with duties to clients.

  • Legislative Restrictions: Marketing communications must comply with “Legislative restrictions on the presentation of financial products” .

8.2 ESG and Sustainable Finance

The 4th edition of the Ennew and Waite textbook includes a “brand-new chapter devoted to environmental, social and corporate governance” . The University of Edinburgh syllabus examines “moral and ethical issues in financial services marketing practice” . Key trends include:

  • ESG Integration: Considering environmental, social, and governance factors in marketing decisions.

  • Social Responsibility: The social and environmental impact of financial institutions.

  • Sustainable Products: Developing financial products that meet sustainability goals.

8.3 Digital Transformation and Technology

The impact of digital advances is a key contemporary issue. The University of Edinburgh syllabus covers “The role of technology in financial services” . The 4th edition features “Revised coverage of the impact of digital advances in all aspects of business models and marketing practice, including how artificial intelligence (AI) and social marketing are changing financial services and customer experience” .

8.4 Contemporary Challenges

  • FinTech and New Entrants: “Alternatives to conventional banking models”  and “Financial service combined with a product/good” .

  • Regulatory Developments: “The latest regulatory developments for safeguarding the fair treatment of customers” .

  • Customer Experience: “Care for the employee and the customer” and “Customer experience and path” .

  • Globalisation: The “internationalization strategies for financial services”  and application of marketing across different markets.

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