Boomers as Donors

by Stephen Hitchcock

For fundraisers, the year 2000 is important because that's when the first Baby Boomer turns 55. Born between 1946-1964, the Boomers are the 77 million-member elephant that American society is trying to digest.

We are (at age 48, I'm right in the middle of the Boom) the largest, richest, and most dominant group in American society. We built McDonald's and we're in the process of transforming so many other businesses and institutions. As has been the case throughout our lives, we will strive to be different from our parents.

But, as a direct mail fundraising professional, I'm still betting that the aging process will, as it has in the past, transform Boomers from consumers to philanthropists. (Most philanthropists — especially those who use direct
mail — are 55 years and older.)

Already, there is evidence from the Roper and Gallup polls that Boomers may be even more generous than their parents. By some calculations (especially average gift), they are already giving more. What are some of the reasons for this philanthropic potential?

1.
Boomers are more likely to be college-educated — twice as likely as their parents, in fact. College-educated Americans are better-informed (National Public Radio and the New York Times national edition show how information-hungry Boomers are) and have more discretionary income — two important characteristics of direct mail donors.

2.
Boomers are self-centered, some would say spoiled.
After World War II, for the first time in history, wages were high enough and health care advanced enough, that mothers could stay home to indulge children who had fewer brothers and sisters to compete with. Direct mail and fundraising both are perfect for individuals who wish to be communicated with personally and who wish to express themselves.

3.
Philanthropists are generous not just because they have high incomes but also because they have the sense of security that comes from assets (like stocks and real estate). Boomers are likely to inherit lots of money; their assets will become more than enough to sustain their busy lifestyles. Because of high wages, the real estate boom, and the stock market appreciation, the parents of Boomers are estimated to pass on $6.8 trillion.

But Boomers are different from their parents, so changes in approach are already being made in direct mail. We are always testing letter length because our hunch is that Boomers will want either shorter or longer letters. Providing a credit card option is also another important test to carry out on a regular basis (Boomers love credit cards!).

The most important way you can prepare your organization's direct mail program to appeal to Boomers is to increase the amount of information you gather about your donors. I strongly recommend focus groups, telephone polls, and targeted interviews to gather research both about your current donors and about the next generation of donors.

You should also consider sending surveys to your donors or members — to get their views and wishes about your organization's work and how they'd like to be treated as donors.

Thank you letters should also provide an opportunity for your donors or members to let you know whether they wish to receive regular appeal letters (or hear from you only once a year) and telephone appeals. Many donors will also give you information about their first name (for salutations), birth dates, and other personal data that will help you treat them as individuals.

So in sum here's my view: as Baby Boomers age and as your organization learns more about them, you are sure to experience a boom in fundraising.

Another article on The big picture
• Fundraising ratios and other deceptions