The Next Generation of Giving: How to Engage Younger Donors

Charitable giving is declining in Canada, across all age demographics—except for people under 25. CanadaHelp’s 2023 Giving Report shows that charities who maintained or increased their pre-pandemic fundraising levels report higher levels of engagement from younger demographics.  

Despite this, our data found that almost half of Canadian charities are dissatisfied with their engagement and support from young people—those who fall into the 18 to 30-year-old age bracket. Research highlights that only 22% of Canadian charities have implemented a strategy specifically designed to engage younger audiences. 

The data speak for itself—Gen Z and Millennials donors follow different giving patterns than those of previous generations, like Gen X, Baby Boomers, and Traditionalists. It’s never been more crucial for charities to enact a strategy to acquire donors in the only age group whose donation levels are increasing. 

Let's call this group of younger donors the “Next Gen'' in Canadian charitable giving, and dive into some of the important characteristics, giving patterns, and tactics your organization can employ to understand, acquire, and retain the Next Generation of givers.

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Who are Next Gen donors?

The COVID-19 pandemic, growing awareness of climate change, and the Black Lives Matter movement of 2020 were formative events for the next generation of young Canadians. These social justice movements shaped their worldviews and their awareness of important issues. A couple of other characteristics distinguish the Next Gen from previous generations.

Next Gen donors are more diverse than the previous three generations of givers—Baby Boomers, Generation X, and Traditionalists. To gain and grow your base of Next Gen donors, your charity needs to prioritize diversity and ensure a variety of backgrounds, genders, and abilities are represented in your organization’s online presence, messaging, and various brand assets. 

Next Gen donors are a group of ‘digital natives’. They grew up in a digitized world, and they are accustomed to using technology, software products, and social media platforms. This is an important reason to ensure your online donation flows and payment options are seamless, especially mobile giving options. It is also a distinction to keep in mind in terms of how your charity reaches out to, communicates with, and builds relationships with younger donors. For example, consider that Next Gen donors enjoy amplifying and sharing cause-related messaging on social media. 

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What are Generational Giving Patterns?

The vast majority of Canadians in the Gen Z and Millennial age bracket hold positive beliefs about the work that charities do and the impact they have on society. Younger generations also purport higher levels of trust in charities (71% for Generation Z and 66% for Millennials) than older generations, like Baby Boomers who report 63% trust in charities, or Generation X who report 64%.

Additionally, research shows that 80% of Next Gen donors think that charities make Canada a better place, and that they provide value to society through helping solve and provide solutions for social problems. And our 2022 data shows that 66% of Millennials and 57% of Generation Z reported an act of giving in the last 12 months. 

While these numbers illustrate the generosity of young Canadians, a generational giving gap continues to persist. Younger Canadians give less than older generations. Comparing our last metric, for example, 73% of Generation X and 79% of Baby Boomers reported some act of giving in the same 12 months.

Interestingly, Next Gen donors are more likely to give through multiple means than older generations. Young Canadians are more likely to donate food, clothing, or their time, give through mutual and donate through peer-to-peer fundraising.

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How Do Charities Engage Young Donors?

Donations from the Next Generation of donors will grow in the coming years, as more younger Canadians enter the workforce or grow their careers and increase their earnings. 

With this in mind, knowing how to engage Next Gen donors is more important than ever before. Based on research CanadaHelps has conducted over the last few years, keep the following strategies and practices top of mind as your charity develops its plan to increase and retain younger donors.

Help them be informed supporters

‍Younger donors value opportunities to learn about the issues that matter and the ways they can help. Consider how your charity can teach and educate Next Gen donors on the problems your organization is addressing or alleviating.

Lean in to social justice and cause-based philanthropy

Next Gen donors are motivated to give to social justice and cause-based philanthropy. Ask yourself – is your charity’s work social justice oriented? Are you actively telling that story in your marketing and communications? 

Creating opportunities to engage with your cause in-person

Young Canadians are more likely to take to the streets and show their support through protest or at in-person events, with 25% of Gen Z and 20% of Millennials saying they would do so. Typically, in-person events like marches, rallies, and protests take place in the Spring and Summer, and slow down in the Fall, and go dormant for a period in the Winter–keep this in mind when planning your annual calendar.

Create non-traditional opportunities to engage with your cause

Experiment with peer-to-peer fundraising and mutual aid, and offer volunteer and non-monetary giving opportunities. Create opportunities for Next Gen donors to amplify and share charitable content (reels, infographics etc) on social media.

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Looking for more strategies to boost your fundraising? 💡 CanadaHelps has just released a new End-of-Year Campaign Guide with step-by-step advice to help you plan your best Giving Season yet. Check it out!