They probably just don't need much.  Most of the older people I know who are retired value spending time with friends and loved ones, or just doing things they enjoy doing (without necessarily spending a lot of money on it).

A lot of times all the "big ticket" items have been purchased years ago, all paid off.  Myself, I can see me living just fine when I retire on modest savings plus full CPP and OAS.  No problemo.  Probably be able to continue to save a few hundred dollars a month.  There's nothing (especially nothing expensive) that I really want to buy right now or even for the last couple of years, and I'm not even at retirement age yet!