By Traci Skala, Market Segment Director, Giesecke+Devrient

As concerns about the environment gain traction, the payment card industry is not only adapting to these values, but also responding to increased consumer expectations. Today’s customers expect their banks to demonstrate a commitment to sustainability, as it directly impacts their perception of the brand and their decision to remain loyal. Payment cards, which were once just functional items, are now embodying lifestyles and values like sustainability and eco-consciousness. This evolution is about more than just a lifestyle, it’s about nurturing a deeper connection with customers. Cards are the most tangible link between banks and their customers, serving as a daily reminder of the values a bank represents.

By embracing sustainable materials like recycled PVC (rPVC) and ocean plastics, financial institutions are aligning with both environmental goals and customer expectations, which are increasingly intertwined. This change is reflected in the increase in eco-friendly card production, with 267 million next-generation smart cards delivered globally in 2022—marking a 180% rise from the previous year¹.

Banks that lead the way in offering sustainable cards are not just supporting the planet, but also fostering stronger customer relationships, ultimately driving business success.

Ocean Plastic Cards: Turning Waste into Value

Ocean plastic cards address a pressing environmental issue: marine pollution. Each year, approximately 8 million metric tons of plastic enter our oceans, equating to one garbage truck’s worth of waste every minute. By 2050, it’s projected that there will be more plastic in the ocean by weight than fish. Cards made of ocean plastic not only help remove waste from marine environments but also raise awareness about ocean pollution and provide a sustainable alternative to traditional plastic cards.

By using materials that might otherwise contribute to marine litter, these cards help reduce the impact of plastic waste. The process of creating ocean plastic cards not only helps by cleaning up marine environments but also supports the economy by transforming waste into valuable products.

There are even ocean plastic cards that feature patterns inspired by ocean waves, creating a visual connection between the cardholder and ocean conservation efforts. This connection helps raise awareness and encourages individuals to support initiatives aimed at reducing plastic pollution. The use of ocean plastics engages consumers who are passionate about environmental issues, fostering a sense of responsibility and broader participation in sustainability efforts.

Expanding beyond ocean plastics, sustainable payment cards are increasingly crafted from other eco-friendly materials such as rPVC and industrial compostable plastic. rPVC is sourced from industries like automotive manufacturing and packaging, repurposing waste that would otherwise contribute to landfills. There are also plastics derived from renewable resources like cornstarch, which are also biodegradable, further minimizing environmental impact.

Beyond choosing a card body sourced from sustainable materials, banks are also starting to offer end-of-life recycling programs, ensuring that expired cards are repurposed rather than discarded, closing the loop, and supporting the circular economy.

Wooden Payment Cards: A Natural Choice

These payment cards offer another perspective on nature through material choice. Made from timber and sourced from responsible forestry practices, the consumption of wood can indirectly help to conserve natural resources or empower the local communities.

The choice of wood cards reflects the love of nature for many end-customers. Each card is unique, with natural variations in texture and appearance, which highlights its connection to the environment. This resonates with consumers who value products that reflect their lifestyle statement as ecophilia. The choice of alternative materials can help to eliminate the consumption of virgin plastic.

End-of-Life Card Recycling and Sustainable Issuance Practices

With sustainability becoming a top priority for both consumers and financial institutions, addressing the full lifecycle of payment cards is essential. While the use of eco-friendly materials is a significant step forward, ensuring responsible end-of-life disposal through card recycling is becoming more important.

Typically, expired cards are discarded and sent to landfills, contributing to plastic waste. Now, new recycling programs allow these cards to be collected and processed into reusable materials, closing the gap toward a circular economy.

In addition to recycling, sustainability can be further enhanced through eco-conscious practices in card issuance. A better utilized issuance system can enable both issuers and card manufacturers to manage the production and transportation process, thus eliminating avoidable waste. Likewise, using recycled materials for card packaging can help cut down on waste, while just-in-time printing and on-demand packaging ensure that resources are only used when necessary. Packages made of recycled materials also act as a powerful reminder for customers who are not yet aware of the importance of sustainability.

These measures, together with end-of-life recycling, create a comprehensive approach to sustainability in the payment card industry, meeting both environmental goals and growing consumer expectations.

A Commitment to Long-Term Sustainability

As the payment card industry evolves, the adoption of materials like rPVC and ocean plastics highlights a shift toward greater environmental awareness. These materials address different environmental concerns, from increasing durability and reducing waste to combatting marine pollution. Incorporating these materials into payment card designs represents a commitment to long-term sustainability goals and a proactive approach to environmental responsibility.

By focusing on these advancements, financial institutions can offer products that meet modern consumer expectations while supporting environmental goals. The transition to sustainable payment cards demonstrates how industries can adapt to contemporary values and address environmental challenges through thoughtful material choices.

Opting for ocean plastics or other sustainable material in payment card design, the financial sector demonstrates a commitment to sustainability. As financial institutions continue to innovate and respond to consumer demands, these materials together with end-of-life recycling programs are likely to play a key role in promoting sustainability.

1. 2022 Smart Payment Card and Module Global Shipment Figures – News/Actualités (smartpaymentassociation.com)

About the Author: Traci Skala is a market segment director responsible for the U.S. market insights & global payment brand account director for Giesecke+Devrient (G+D), a global SecurityTech company headquartered in Munich, Germany. For more information, please visit gi-de.com/en/.