Time To Take Notice Of Millennials?
A few months ago you might have noticed that, in the US, Millennials (ages 18-34) now outnumber Boomers (ages 51-69) — 75.4 million Millennials to 74.9 million Boomers. Here’s Pew Research on the shift.
And of course the tide will steadily build as old buggers like me die off.
Without question, a key reason the Boomer generation had so much cultural impact (and some political) in the 60s and 70s was its sheer numbers relative to the rest of the population.
We should expect the same phenomenon to repeat itself with Millennials as they move through the life stages ahead of them. And this will affect fundraising.
Maybe not the world’s greatest donors today (Millennials account for 11% of total US giving today, Boomers 43%), but in 20 years their leading phalanx will start to be what Boomers are today … the mother lode.
So if your personal horizon as a fundraiser extends only 20 years or less, perhaps you can be content with knowing all there is to know about Boomers (and older) and how they approach giving. But if you plan to be in the biz longer than that, you might want to start paying some attention to the giving proclivities of Millennials.
A good place to start is this report from Fidelity, The Future of Philanthropy. This report covers wider territory than generational differences (e.g. impact of trends like greater access to information about competing nonprofits, and easier/multiple ways to give), but its observations about age differences are worth noting. For example:
- Top issue for Millennials: Hunger and access to nutritious food;
- 56% of Millennials say their giving is more spontaneous (72% of Boomers say more planned);
- Millennials are more inclined to split priorities between domestic and international issues — a more global outlook;
- Significantly more Millennials cite technology advances, rise of alternative forms of giving, and increased opportunities to connect with peers about giving as shaping their giving patterns;
- While both groups regard nonprofit organisations as the players holding the most potential to create necessary changes, Millennials are significantly more ecumenical in outlook, more likely to expect public-private partnerships, universities, social enterprises, businesses and government to play important roles;
- Millennials are significantly more optimistic than Boomers about philanthropy’s “ability to solve the issues most important to you”.
(Ah, youth!) - Very interesting study. Take a look.
Tom
4 responses to “Time To Take Notice Of Millennials?”
Behavioral Science Q & A
Integrating an individual giving appeal with other communications from a charity can have both positive and negative effects, and the outcome largely depends on how it’s executed. Advantages of Integration Brand Consistency: Maintaining a consistent appearance and messaging across all communications can reinforce the org’s brand identity and strengthen brand recognition and trust among your […]
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I’m not aware of any in-market tests specifically comparing recurring vs. gift frequency language. I suspect the answer might not be the same with all gift frequencies, nor with all people. It sounds like a great opportunity for you to test and find out what works for your audience. Based on the literature, here’s a couple […]
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Based on what we know from existing data, those renewal notices can actually be pretty effective in getting people to donate. They tap into our psychology – creating a sense of urgency, reminding us of past support, and using personalization to make the message hit home. They’re playing on our natural tendencies to feel obligated […]
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Interesting question. I had a quick look at the testing done on this topic. On the positive side, in all cases, over half of donors decide to cover the fee. In some cases, it goes as high as 65%. Not a negligible percentage at all. Here’s another test from iRaiser showing consistent results (see point […]
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There’s just one thing to consider when designing a supporter journey: the supporter. More specifically, you need to take into account: Who the supporter is i.e. their identity, which is the reason they support this cause, and their personality, which describes the way they “see” and process the world. These will determine the kind of […]
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I’m not an expert in this but a quick search surfaced this article on the effect of tax reforms on 2019’s charitable giving. The researchers didn’t find a reduction. Actually, they observed an “increase in charitable contributions in 2019, even with the lower tax rates and the dramatically smaller number of taxpayers who itemize their […]
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Always pleased to know what you agitators are reading. And thrilled that you share it with us.
So here’s a question… How much will Millennials change their interests as life goes by and issues fluctuate and and??
And hey everyone out there who reads Agitator Pals… Please please do NOT redirect your attention to Millennial giving and Millennial donors now. Giving is mostly a generational thing. And it happens every generation. Youths mostly acquire and build and and and …. It’s when we’re older that we give away. Pay attention to where the money and minds are. If you want younger donors, you can look at 50-year olds. But really not Millennials.
I agree with Simone completely that is very likely that today’s Millennials will care about different things when they reach their prime giving years. And that the giving is still with the older set.
And, and and… there are many other reasons to engage with millennials. And a big one is keeping one’s eye on the future of fundraising. Perhaps because I just got Megatrends, Darrell West’s new book about the speeding up of the rate of change. Or because I just had a fascinating conversation with a dear colleague about incumbent systems and how frequently they fail to consider the cataclysmic shifts and are unprepared for them.
Here are some more musings of mine on millennials.
http://www.ceffect.com/2014/02/17/yes-your-nonprofit-should-care-about-millennials/
Remember Don Henley’s “Dead Head sticker on a Cadillac”?
We do change, because our lives change. From worrying about what you’re going to be when you grow up (I’ll let you know when I’ve sorted that one out) to worrying about what your kids are going to be. From can I afford the rent? To can I pay for their college?
And I expect our philanthropic concerns go on that journey with us.
Which is not to say our timelines aren’t shaped by the particular world events we experience.
But I agree with Simone and Gayle – pay attention, but don’t abandon your older donors!
I recommend focusing on what the generations have in common. Double down on your commitment to building strong constituent relationships with everyone, everywhere.
Agree with Simone and Gayle that you don’t want to change the basics. But the WAY we do fundraising is, indeed, changing rapidly due to the digital revolution. We’re all part of “Gen C” (Generation Connected), and being “social” is no longer optional.
Here are my musings on millennial strategy, in a guest article for the Guidestar Blog: https://trust.guidestar.org/what-millennial-marketing-strategies-can-teach-nonprofits-about-motivating-donors