Bank of America, Wells Fargo, and JPMorgan Chase released quarterly earnings on Tuesday, and their executives seemed to agree on one fact: consumer spending remains strong.

"Consumer spending has expanded recently and continues to exceed our expectations," said Brian Moynihan, CEO of Bank of America, during the Q2 2026 earnings call. "Overall, the U.S. economy has shown more resilience than expected, driven by a strong consumer, continued AI-driven investment across industries, and lower energy costs, although inflation and tighter monetary policy remain key risks."

This assessment seems to contradict the trend in consumer confidence indices, which have been declining due to concerns over tariffs, rising oil prices, and inflation. In fact, according to the latest EY-Parthenon data, nearly two-thirds of consumers believe a recession is likely.

These findings present a paradox that could confuse customer experience (CX) strategies. If consumers are still spending, do brands still need to adjust their experiences to keep customers engaged?

"The real risk for CX professionals is complacency," said Jon Picoult, founder and principal of Watermark Consulting, in an email. "If you believe the spending and confidence data, it points to a fragile situation."

Consumer confidence provides context. Consumers may still be spending, but their behaviors and attitudes about how and where they spend have changed. They want value—and they are looking for deals.

As Hallie Stern, director analyst in Gartner's marketing practice, told CX Dive last week, consumers are "looking for any way to get some kind of discount," including through loyalty program rewards and discounts. Loyalty Lion research found that amid economic uncertainty, 53% of consumers said they would likely sign up for such programs.

"Businesses must understand that this can change quickly—so rather than just reveling in the spending boom, they should recommit to winning consumers' business," Picoult said. "That means emphasizing the value they offer and creating compelling experiential proof points that demonstrate that value."

Value doesn't necessarily have to be just an economic bargain; it can also be about providing delight.

While delight is always the desired outcome, "it can be even more important—and more differentiating—when consumer sentiment is low," Picoult said.

This dynamic is driving the rise of a "little treat culture" among Gen Z in the U.S., where young people indulge in small luxuries. Picoult also pointed to the "emotional value" trend in China, where consumers seek experiences that lift their spirits when they feel down.

EY data also found that consumers at both the high and low ends of the income spectrum reported overspending. Overall, about one in five surveyed U.S. consumers said they spent "somewhat more" or "much more," dipping into savings or taking on debt to fund purchases.

Brands cannot expect consumer spending to grow forever.

CX leaders need to prepare for the "inevitable spending downturn," including how to handle "quiet periods" in customer relationships, Picoult said.

"After all, customer experience encompasses not just the times people interact with your business," Picoult said. "It also includes the times they don't, and how you proactively engage with them during those periods."

This comes down to having a clear communication strategy. Brands need to proactively engage with customers and remind them of the value and experiences they offer, "so that if they cut back on spending, you're still doing something to keep the brand top of mind," Picoult said.