Young Money: Nonprofit fundraising strategies to reach millennials

Millennials now comprise more than 80 million Americans, making them the largest single age group in the United States. This generation of 18- to 34-year-olds grew up with the Monica Lewinsky scandal, 9/11, wars in Iraq and Afghanistan, the Great Recession, Occupy Wall Street and the Arab Spring. Challenging convention, they have single-handedly pushed charities to expand their traditional fundraising approach. They are a group not to be dismissed – according to a report by Blackbaud, 60 percent of millennials donate an average of $481 per year dispersed across 3.3 charities. Often wary and misunderstood, millennials are social-cause oriented and idealistic, and are poised to be an incredible untapped resource for many nonprofits.

So what do nonprofits need to know to convince this group, which Tom Brokaw calls the “Wary Generation,” to donate?

Millennials are the most educated generation in U.S. history. And yet, thanks to crushing student loan debt and the added benefit of a workforce entrée that dovetailed with the Great Recession, millennials carry with them financial insecurity stemming from economic instability. Many have chosen to live with their parents to save money and are wary of relying too heavily on credit lest they promote the same pitfalls that prompted the Great Recession. The result? Millennials are financially responsible and have less household and credit-card debt than any previous generation on record, according to TIME.

What this means for you: Consider challenges and match gifts, which are particularly attractive to millennials who seek to maximize the impact of their money. Millennials also value their time and are willing to supplement a smaller donation with volunteer hours. Lastly, an explanation of the tax-deductible nature of a donation may help lock in a contribution.

Millennials want to make a difference. More and more millennials seek out not the highest paying careers, but those they deem the most impactful and rewarding. With their increased purchasing power, they have prompted an upsurge in corporate social philanthropy. Moreover, according to the 2015 Millennial Impact Report millennials are the most frequent participants in workplace philanthropyand more than 50 percent of millennial employees made a donation in response to a coworker’s personal solicitation.

What this means for you: Make sure these donors understand the impact of their gifts and make an effort to build personal relationships. This group is also a natural ambassador for your cause and has the potential to push their workplace to give to your organization, both at the corporate and employee level.

Millennials are unattached. Unlike the silent and greatest generations and in keeping with a trend set by the Baby Boomers, millennials are uncommitted to long-standing institutions. These uniquely action-based philanthropists give to help people and the causes that inspire them, not to organizations themselves.

What this means for you: Keep these donors engaged with your work. Use key social media channels to regularly inform them of what you’re doing and ask them to promote your mission to their networks. Not only is this free advertising, trusted peer-to-peer support of your cause will go much farther than any direct messaging that you could provide. Overwhelmingly, millennials give to charities that they first learn about through their peers. It’s going to take some work and constant courting to make this group a repeat donor, but don’t be too quick to brand this cohort as a compilation of one-hit wonders, either.

Millennials are networked digital natives who have grown up with technology integrated into their lives. It should come as no surprise that the generation of the selfie is tech-savvy and fairly open. Unlike their older counterparts, millennials are not afraid to tout their political viewpoints, favorite charities and causes, or what they had for breakfast. This is a group that craves connection and is responsive to storytelling.

What this means for you: Ditch the jargon and save the paper from your direct mailers for your older donors. Simple one-minute videos that tell the story of your cause are a great way to bond with these donors. Be transparent as an organization, interact with these donors online and share a few insights about the individual staff members and funders that help make your mission possible. Monthly giving or annual gifts require you to regularly create engaging content that uses storytelling to inspire passion and show impact. Millennials will appreciate this. Just don’t forget to make your content accessible on mobile devices to drive traffic to your website and engage millennials on the platform where they are most likely to give.

As you broaden your fundraising strategy to better reach wary millennials, take risks, have a sense of humor, and don’t be afraid to reveal your organization’s inner selfie to your next generation of supporters.

Christina Taler is an Associate Director at the fundraising, development services, and strategic consulting firm CCS,  and is currently pursuing an M.S. in Fundraising Management at Columbia University. For more nonprofit tips, follow her on Twitter at @stinafsays.