As the baby boomers (those born between 1946 and 1964) move into their 70s and 80s, those of us in the philanthropic world talk a lot about the next generation of donors; who will pick up the mantle?
The reason we do this is not only because the baby boomer group is aging and passing trillions of dollars to their offspring, but because in most communities, there is a list of about 50 – 100 movers and shakers who seem to do it all. As they age or pass on, they can leave a gaping hole behind.
So where do we find the younger generation of donors?
First we need to understand them.
Technology has changed more than just the way we communicate with each other; it has changed the way an entire generation thinks.
According to a report by #Nextgendonors, there is much to know about the upcoming Gen X and Millennial group of donors. They will wield more power than past generations due to the massive amount of wealth being passed on to them. But they are more strategic in their thinking when it comes to philanthropy.
First, when it comes to making a donation, they are driven more by their values than what their money can buy. And they’re not nearly as interested in recognition for their gifts.
While not averse to writing a check, they are also more likely to want to get involved. This makes the donation of their time and talent as important as the donation of their treasure.
And then there are the people they know.
The next generation of donors is far more connected through social media than their parents or grandparents ever were through normal channels. And they’re willing to reach out to those connections to enact good in the community.
And lastly, this group is looking for solutions. In other words, they don’t want to just throw money at a problem; they want to go upstream and find the root causes.
So where do we find these donors and how can we engage them?
The report by #Nextgendonors says that this new generation of donors is still largely influenced by their parents and grandparents.
Why is this important?
Because many of those people are probably already involved in the community. Tapping into the next generation could be as simple as asking the baby boomer parents to encourage their adult children to join them in their philanthropic endeavors – have them come to a meeting or invite them to attend a special event.
Another strategy would be to get them involved in how the family makes its philanthropic decisions.
We just had an example of how this might work at the Renton Community Foundation. One of our board members, Bob Reeder, established The Reeder Family Fund last year and let us know he would be involving his adult children.
“I told my kids that this is our family fund, and we’re going to do this together,” says Reeder.
His goal was to engage his kids in the act of philanthropy, in the hopes of passing along that passion for giving back.
But there’s no reason why a nonprofit couldn’t create an advisory board of younger professionals as a way to get them involved. Or even create a project aimed directly at them, something that is results-oriented and that would immediately pique their interest.
At the Renton Community Foundation, we host a group of younger professionals called “The Next Curve.” It is a membership group that pays $120 a year to belong. They socialize, volunteer and raise money throughout the year, interacting with a number of nonprofit causes. In the fall, they gather to split up the pot of money they’ve raised, awarding grants to a group of worthy nonprofit organizations that they’ve come to know.
In the end, the next generation of donors is out there; all we have to do is get their attention. And that shouldn’t be that hard to do, given the level of need and the number of heart wrenching stories just waiting to be told.
Lynn Bohart, FAHP is Executive Director of the Renton Community Foundation. For more information on how to get involved in giving back to the community, call the Foundation at (425) 282-5199.
