Affluent consumers are still spending lavishly, even it means paying a higher price due to inflation.

High end retailers are reporting highly optimistic profit forecasts while some luxury brands are even raising prices.

Jharonne Martis, director of consumer research at Refinitiv, says analysts on Wall Street are predicting that top luxury names will be reporting banner years in earnings, “suggesting that the affluent shopper is fully engaged.”

Meanwhile retailers who cater to less moneyed clientele are reporting that they are feeling the pinch of inflation. Both Walmart and Target are reporting quarterly profit declines due to higher freight costs, as well as customer preferences shifting toward more value items, forcing such retailers to offer more promotions and discounts.

Yet in the affluent goods sector, Lululemon CEO Calvin McDonald has said that his company, has “not seen any negative impact to our sales volume as a result,” of raising prices on some of its products. In fact, first quarter revenue increased 32% to $1.6 billion.

Affluent travelers are also spending lavishly. Macy’s reported a sales climb of 14% in the first quarter which it attributed to international tourist traffic, especially from Central and South America.

The lesson being, when times turn tough and the population begins to not have as money to spend, it is best to be a seller catering to those who still have money to spend.