Want to learn more on this topic? We’ve interviewed the author as part of our podcast CharityVillage Connects: The Time is Now: Why Canadian Nonprofits Must Digitize to Survive which can be accessed here. 

The COVID-19 pandemic led to an explosion in online donations in the charitable sector. But two years later, as we slowly adapt to the new normal, charities are asking themselves: What do donations in the post-pandemic era look like, and how can we adapt our fundraising to be more effective?  

Future of Giving: Online Across Generations, a new study commissioned by PayPal Giving Fund Canada, revealed that the majority (69%) of Canadian donors surveyed plan to donate online in the coming year, including more than a third of those who only donated offline during the pandemic. This shift towards online giving is not limited to the young, tech-savvy generations—the data shows that all generations are increasingly donating online.  

The research explored generational gaps in charitable giving, surveying a nationally representative sample of 1,500 adult Canadians who donated in the past year and analyzing resulting data by generation: Gen Z (18-24 years), Millennials (25-40 years), Gen X (41-56 years), Baby Boomers (57-75 years) and the Silver Generation (76 years+). The study showed that though online giving is consistent across generations, Millennials are the key generation to target when it comes to donating online. Over 75% of Millennials donated online in the last year, higher than all other generations. 

The study also provided insights on donor trends, asking questions about what motivates them to donate, what causes they like to support, and which donation methods they prefer – while revealing key differences between older and younger generations in their giving behaviours. 

Targeting Gen Z & Millennials 

Younger generations will determine the future of giving and the future of charitable fundraising. Younger generations (40 years and younger) are motivated to give by the feeling of being helpful to others and the desire to make a positive impact on their community. Further, more Gen Z and Millennial donors surveyed plan to increase their giving in the next year, compared to older generations. 

Even more than older donors, who generally give to their favourite causes, younger donors tend to give to causes they feel are important in the moment. They are more likely to be influenced by friends and family, influencers they follow, and causes that are currently relevant in the news. 59% of Gen Z donors and 52% of Millennial donors surveyed pay more attention to causes they learn about on social media. 

According to data gathered for this report, the key to attracting younger donors will be communicating the positive impact of donations and leveraging social media to engage with younger generations to better capture their attention and encourage them to support a particular cause or charity.  

Younger donors also use a range of methods when they make online donations – beyond donating on a charity’s website, they are giving on social media, at check-out when shopping, via crowdfunding, and while livestreaming.  

Older Loyal Donors Give Online 

The future of giving is online, including for those who did not grow up with high exposure to technology. 64% of older Canadian donors surveyed – including 55% of the Silver Generation (76 years+) – reported being likely to donate online in the next year.  

Older donors (41 years+) are generally quite loyal to the causes they support and are motivated by knowing their giving is helping others. These generations show support for the charities and causes they deeply care about through recurring donations. 79% of Baby Boomers and 87% of the Silver Generation surveyed say they will continue to donate to the same types of causes. 

Donors of all ages use online sources to research charities to support, so understanding the factors that are most important to each generation when giving online will help to convert digital research into digital donations. Older generations placed more emphasis on security of their financial information and receiving a tax receipt, while younger generations focused more on their trust in the payment platform and the impact of their donations.  

Tips based on the report data are included as a way to guide charities that want to help a loyal older donor base feel more comfortable with giving online, and charities that want to engage with young generations with greater success. The research made it clear that facilitating easier and trustworthy online donations is the way for the charity sector to grow their fundraising into the future. Read the report here to learn more. 

Wen-Chih O’Connell is the Executive Director and President of PayPal Giving Fund Canada, a Canadian registered charity that aims to harness the power of technology to make giving a part of everyday life. PayPal Giving Fund makes it easy for donors to support the charities they care about through social media platforms, websites and mobile apps they use almost every day. They partner with tech companies such as PayPal, Facebook, GoFundMe and others to enable charitable giving online – all without charging individual donors or charities for their services. For more info, please visit www.paypalgivingfund.ca.