Global demographic decline challenges consumption model in 2026

The fertility rate is below replacement in 19 of the 20 largest economies. Ipsos warns that demographic growth has come to an end.

The report Generations 2026 from Ipsos confirms that demographic decline is no longer a prediction, but a fact with a direct impact on markets. In 19 of the world's 20 largest economies, the fertility rate does not reach the replacement level, forcing companies to rethink their growth strategies.

The generation caught in the middle

Demographic changes have altered the stages of adult life. Young people are delaying independence and home ownership, while older individuals are extending their retirement. The so-called sandwich generation —people aged between 30 and 45— must simultaneously care for their children and their elderly parents, an unprecedented pressure.

Wendy Mendez Casariego from Ipsos Argentina points out that

“for a long time, brands grew in a market that was expanding almost by inertia. Today, the scenario is different.”

New niches: pets and childless households

The aging population and the proliferation of childless households open opportunities in sectors such as pet care. In the United States, 51% of pet owners consider their animals as family members. In Spain, this phenomenon is also growing, with spending on pet food and health exceeding 2 billion euros annually.

For companies, the key is to identify these niches:

“Preparing for what’s coming means changing perspectives, better understanding the new life stages, grasping increasingly complex tensions, and above all, being more human,” concludes Mendez Casariego.

The young consumer: intact aspirations, real barriers

Despite the challenges, 70% of Generation Z aspires to stable employment, 62% want to become parents, and 50% plan to buy a home. However, 71% of global respondents believe that acquiring an adequate home is complex even with continuous employment.

For readers interested in economics, this demographic change implies that traditional sectors —such as housing or automobiles— will need to adapt to smaller cohorts with different needs. The job market, for its part, will face a shortage of young talent that will push salaries up for certain profiles.