Conclusion Observatory of Consumption 2026

10 years ago, the Observatoire Cetelem looked at the consumption patterns of Europe’s senior citizens. The Covid-19 crisis had not yet spread around the world. Geopolitical upheavals were studied in history books, but had not yet been experienced in the present. Inflation seemed to have been put down forever. At the time, people were talking about the silver economy and the ease afforded to an economically privileged generation.

With this new 2026 edition, we take a nuanced look at a generation which, while set to play an increasingly important role in our society, is not the one benefitting from the many advantages often wrongly attributed to it.

In economic, social and consumption terms, the senior generation is set to play a pivotal role. This is a generation which, without really being at the centre of the ‘game’, occupies a central position. A generation that is valued and recognised, whose importance is not overlooked, by seniors themselves or by other generations. A generation that is physically mobile, as their thirst for leisure activities demonstrates, but also intellectually active, capable of digitising their lives and especially their consumption, which goes against certain preconceived ideas.

Finally, it would be impossible to conclude this survey about senior citizens without returning to the importance they attach to the theme of health, particularly good health enjoyed at home. Given the age of the people concerned, this goes without saying. Given the demographic weight of the senior generation, its economic and societal importance is more crucial than ever.

Appendix

Conventions and calculations by C-Ways based on INSEE national accounts

AGE-PERIOD-COHORT MODEL

The APC Age-Period-Cohort model aims to distinguish, within consumption trends, between the effects of an individual’s ageing (age effect), effects linked to the development or appearance/disappearance of certain goods (period effect) and age class effects (generational or cohort effect, which determines the behaviour or choices of age cohorts independently of their ageing).

For a variable of interest Y₍a,p₎ observed at age a and period p:

avec :

μ: constant
αₐ: age effect (life cycle)
βₚ: period effect (macro context, shocks)
γ𝑐: cohort effect
c = p − a: year of birth
ε₍a,p₎: error term

We use this model to create a medium-term forecasting model that is ‘indifferent’ to current conditions. To track individual consumption over time, we rely on the “Family Budget” survey (INSEE), which has been studying the consumption of French households every five years since 1979, using identical consumption scopes.

The population samples surveyed are independent; not strictly panel data, but the ‘qualification’ and ‘household size’ variables make it possible to aggregate the years using pseudo-panel methodology.

The forecasting model also includes an income effect. This assumes a normative increase in income that is identical for all age groups. This non-differentiation allows us to focus solely on the effects of age and generation, which are the focus of the Observatoire.