Millennials are merging the lines between for-profit and nonprofit structures and concepts. Social activism has become a new marketplace, where goods and services are exchanged not just for money and profit, but also for good social outcomes.
“I want to know where my money is going and what my individual impact is,” says Change.org founder Ben Rattray. This type of sentiment has driven the growth of organizations with new orientations. Micro-lender Kiva [1] enables small givers to become financial backers of small enterprises halfway around the world, and it is a nonprofit organization; whereas, the social networking sites Change.org and Razoo are for-profit companies. Combined with the fact that Millennials have voracious consumer habits, such a shift is necessary.
According to a study by Cone, Inc. that examined youth trends, “an overwhelming 74 percent surveyed indicated that they are more likely to pay attention to a company’s overall messages when they see that the company has a deep commitment to a cause.”
A recent study of the buying habits of 18-30 year olds found they spend $182 billion annually on consumer goods. The study reported that “33 percent of respondents prefer brands that give back to the community, are environmentally safe, or are connected to a cause.”
They are more than purchasers of goods, however. They are shapers of corporate behavior. They are drawn to brands with strong socially responsible cultures, such as Patagonia, Nau, Trader Joe’s, Whole Foods, and Ben & Jerry’s. They are attracted not just by the products these companies sell, but by the activist campaigns they spearhead.
One result of corporate benevolence, and the government’s perceived failures during events such as Hurricane Katrina, is that young people report a higher degree of confidence in corporations than in government institutions. They want and expect to see direct, concrete actions taken by corporations to address social ills.
According to a study by Cone, Inc. [2] that examined youth trends, “an overwhelming 74 percent surveyed indicated that they are more likely to pay attention to a company’s overall messages when they see that the company has a deep commitment to a cause.”
As a result, philanthropy, which for decades was the purview of slow-moving, risk-averse institutions, has become faster, flatter, more creative, and democratic. Millennials give small amounts online to schools in low-income neighborhoods; at the supermarket to help feed victims of natural disasters; and to political candidates through their websites. How, why, and how much to give is being redefined day by day, cause to cause by Millennials.
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