Developing programs to engage new donors has always been an important part of the developmental process. But what was once just another function of what we do in development offices has now become our most pressing priority.
Here's why.
The 127 million "Builders" and "Boomers" are growing old. These rugged individualists have been the backbone of philanthropy for over 30 years. Their extraordinary generousity has enabled multiplied thousands of nonprofits to thrive in one of the most economically prosperous times in American history. Today these diminishing demographic groups remain responsible for giving or driving over 70% of all philanthropy in the United States. In terms of dollars, that was about $280 billion in 2013.
The 55 million "Builders" range in age from 70-86. Most are retired and they are dying at the rate of 1,500/day. The "Boomers" range in age from 51-69. They are retiring at the rate of 10,000/day, a phenomena that is anticipated to continue for the next 10-12 years. As they retire they will have less money to give and when they die their generous gifts will cease.
On the basis of current trends evidenced among the subsequent "Busters" and "Millennials" it has been projected that there might be as much as $100 billion that will not be picked up by the current generations.
If we fail now in engaging these generations in the kinds of creative ways that will enable essential nonprofits to flourish in this enrivornment of unprecedeted need it is anticipated that we could lose approximately 40% of all registered charities in America.
Donor acquisition should be one of your most important priorities.
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