Just read a great blog post from Patrick O'Heffernan, Ph.D. ("Dr. O") on Social Edge
about Young Philanthropists and trends in giving.
As a young entrepreneur actively involved with nonprofits and social enterprises I have witnessed the eagerness of my peers to give and to make a difference, despite the economic downturn. Yet I was surprised by the magnitude
of this trend after reading Dr. O's post.
Despite all of the negative media talk about the recession, giving is going strong. In fact, according to a report
by Barclays Wealth division of Barclay's Bank UK, giving has increased among the wealthy in the US and UK, particularly among younger high net worth donors.
Here are Dr. O's Key findings:
* The wealthy have not cut back on giving in the recession, especially the younger wealthy donors.
* A new global-aware and social-aware breed of philanthropists is emerging who prefer to fund projects directly to solve specific problems.
* The worlds of charity and business are converging.
* Younger philanthropists are more generous, more pragmatic and more technologically driven (think Tech Soup).
* Women are becoming a dominant force in philanthropy.
* The plurality of international giving goes to Africa.
* Health, environmental and children’s causes are increasing in their importance to donors; art, animal and religious causes are waning.
* Donors are demanding collaboration; NGOs are responding with new coalitions.
* The UK is catching up to the US in giving.
These findings are extremely promising for organizations that utilize strong business practices and technology to solve specific problems. In particular, international projects which are led by women and have a regional impact in Africa should benefit from these giving trends.
Furthermore the report suggests that collaboration is now crucial for attracting funding. This point was also made in a recent article by Professor Paul C. Light in the Stanford Social Innovation Review....to be continued in my next post...