Giving among Generation Z is soaring and becoming increasingly important to charities' fundraising activity, according to two surveys released this week.
Young people aged between 18 and 24 have become the age group most likely to donate to charity, a survey by Barclays Corporate Banking has revealed.
Meanwhile, online fundraising platform Enthuse’s autumn 2022 Donor Pulse Report suggests this age group is more likely to give recently, as older age groups are being hit harder by the immediate impact of the cost-of-living crisis, including mortgage rate hikes.
Generation Z are also more likely to be influenced by charity promotion on social media and to give to more than one good cause, adds Enthuse’s survey.
Giving increases among Generation Z
According to Barclays’ research nine in 18–24-year-olds gave to charity over the last year, more than any other age group, compared to a national average among adults of all ages of eight in ten.
In addition, more than half (53%) of 18- to 24-year-olds say they have donated more to charity in the last 12 months compared to two years ago. There has been a similar boost in giving over this period among 25- to 34-year-olds of 44%, compared to a national average of 28%, found the survey, of 2,000 adults.
Among young people, giving cash on the street is the most popular method of donating, cited by more than three in ten (31%). Meanwhile, just under a quarter (24%) of 18–24-year-olds donated via social media.
Social media influences
Enthuse’s survey suggests that a factor in increased giving among younger people is that they are not being as adversely impacted by rising inflation as those among older generations.
More than half (58%) of generation Z, who are born between the late 1990s to 2010, say they feel better off or the same financially as six months ago. In comparison 63% of all people feel financially worse off over the same period, with the proportion rising to 73% among 55- to 64-year-olds.
Generation Z is also more inspired to give and support good causes by social media posts, according to Enthuse. While 13% of all people said they are inspired by such posts, the proportion more than doubles to 27% among generation Z.
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The #CostOfLivingCrisis and workplace fundraising take centre stage in this edition of the report.
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Enthuse also found that generation Z are leading the way in giving to a wide range of charities, with 64% donating to two or more good causes over the last three months. This is the highest proportion among all age groups, with 53% of millennials the next likely to back two or more causes
Similarly, 42% of generation Z have given recently to three or more charities, again the highest of any age group.
Enthuse says that generation Z “continues to be a key audience to attract new donors with campaigns that appeal to them, despite the challenging environment”.
Range of donating options
Amid increasing interest in giving among Generation Z, Barclays’ urges charities to ensure they are offering a range of options for them to donate, both digital and face-to-face.
“Now that the younger generation is most likely to donate to charitable causes, it is essential charities offer as many payment methods as possible, including digital options such as online or via contactless payments in person,” said Barclays Corporate Banking head of charities Nazreen Visram.
Most charities are already offering online donation options, according to the views of 75 managers at non-profit organisations with an annual turnover of more than £4m, surveyed by Barclays.
This survey reveals that 87% are receiving donations via their website, 85% through a third-party website and 69% through social media.
Charity reliance on digital fundraising is set to increase further over the next 12 months, the survey also suggests.
It found that almost six in ten (59%) charities are looking to make further improvements to their digital fundraising. Of these 41% are looking to improve their online donor journey, 25% are looking to implement new payment channels and 19% are enhancing online security.
There is also still an appetite for donating with cash, despite the march of online options, added the survey’s findings.
More than half (55%) of charity supporters say they make cash donations to good causes “out of ease and convenience”, while 48% of people are now donating through digital channels.
Enthuse’s Donor Pulse report adds: “For charities it is essential to be encouraging donations through their own sites and providing multiple options. For charities, it’s important to harness the generosity of Gen Z.”
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