Uncovering Nonprofit Strategies for Success
If your nonprofit’s fundraising efforts have primarily targeted Baby Boomers, it may be time to adjust your outreach strategy. Although Boomers currently represent the largest group of charitable donors, a report by consulting firm Cerulli Associates indicates that Americans born between 1965 and 1996 (Generation X and Millennials) are projected to inherit $84 trillion in wealth by 2045, with at least $16 trillion expected within the next decade.
Generation Z has fewer financial resources as they are early in their careers, but they are dedicated to giving back, with more than half volunteering for charities they support financially. This article will take a closer look at:
- Why your nonprofit should shift its focus to the younger generations
- How donation behaviors differ between generations
- Opportunities to encourage different generations to support your organization
Read Also: Nonprofit Programs: Out With The Obsolete, In With The Most Effective
Behavioral Analysis By Group
Research shows Gen Xers (those born between 1965 and 1980) consistently donate to trusted causes, often through recurring donations. Winning their support can lead to automatic withdrawals from bank accounts or credit cards. As a wealthy demographic, Gen Xers are likelier than younger supporters to attend expensive fundraisers and participate in charitable auctions.
Millennials (those born between 1981 and 2000) are significant supporters of recurring giving programs. As digital natives, they are frequent users of websites and donation applications, and they actively engage in peer-to-peer fundraising. According to marketing agency Nonprofits Source, 58% of Millennials follow charitable organizations on social media. However, due to their age demographic, which is often associated with raising children, they may have limited availability for volunteering or attending events.
Gen Z, (those born between 2001 and 2020) the youngest generation of potential donors, often contributes through micro-donations via text or by engaging in social impact purchasing. They also support causes through activism and volunteer work. According to GivingTuesday, 28% of Gen Z donate money to charity, while Data Commons indicates that 64% support causes through other methods.
Media Preferences And Workplace Giving
To launch a new campaign, understand your social media platforms. Gen X and older Millennials use Facebook and LinkedIn, while younger Millennials and Gen Z prefer Snapchat and TikTok. And don’t forget to keep an eye on new platforms, such as Bluesky and Threads. Podcasts are also popular, with 67% of adults under 30 and 58% between 30 and 49 listening to them, according to Pew Research.
Gen Xers and Millennials lead in requesting corporate matching donations and participating in volunteer programs. Double the Donation states that 56% of Gen Xers and 48% of Millennials prefer donating through workplace giving. Promote companies that match donations and contact local employers to establish volunteer programs.
Your Nonprofit’s Niche
Generational differences exist in the types of nonprofits that different age groups typically support. According to Charity Navigator, Gen X tends to support community development, education, and disaster relief organizations. Millennials and Gen Z are more inclined to support environmental, civil rights, and mental health nonprofits. Individual donors, however, may have preferences that do not align with the typical trends of their generation.
This is a good time to start to strategize ways to reach different generations for your nonprofit organization. And remember, while Gen Z may not donate much now, engaging them today can foster relationships for future contributions.
The nonprofit services team at GBQ can help you ensure the transparency and compliance that your donors expect from your organization. Contact us today to speak with a nonprofit professional at GBQ.
Looking for additional insight to help guide your nonprofit? Check out these resources:
Are Your Nonprofit Board Meetings As Focused As They Could Be?
Restricted Gifts: What To Do When Strings Are Attached?
Combatting Negative Public Perceptions Of Your Nonprofit
