Generation Z and Millennial donors are increasingly issue-driven and technology-focused, a report from the Indiana University Lilly Family School of Philanthropy finds.

Funded in part by DAFgiving360 (formerly Schwab Charitable), the report, The Next Generation of Philanthropy (34 pages, PDF), found that giving across all generations between 2003 and 2021 has declined since 2008, and in each stage of life, individuals are less likely to give than they were in 2003. Generation Z (born between 1997-2012) and Millennial (born 1981-96) donors are more focused on supporting issues than on specific organizations and consider themselves to be active social change agents. In addition, these donors are decidedly tech-forward, including learning about and advocating for causes on social media, making donations online, and participating in crowdfunding at higher rates than older generations.

The report also found that while basic needs and religion are top causes for philanthropic giving across all generations, giving to education is less common for younger donors. Compared to Millennials who gave to religious causes, Generation Z donors who gave to religion were significantly less likely to also support secular causes—a contrast to the historical trend of religious donors being more inclined to also contribute to secular causes.

“Younger generations of donors are impacting philanthropy in positive ways by seeking long-term, hands-on involvement with the issues that are important to them. They rely heavily on technology to inform their giving decisions and invest time into looking for trustworthy and transparent nonprofits to support,” said Amir Pasic, the Eugene R. Tempel Dean of the Lilly Family School of Philanthropy. “The generational differences reflected in our new research underscore the need for nonprofits to adapt to Next Gen views, preferences, and practices in order to advance their missions and build the long-term relationships that sustain them.”

(Photo credit: Getty Images/Tempura)