Is there a way to add conditional formatting without using the basic table function? I would like to export it to an excel file afterwards (after adding headers and some text under the table) but basic table function stops it from happening
You can use the Render tool to export -> https://help.alteryx.com/20223/designer/render-tool
Export it to a permanent file type (Excel) after your Table tool. That should work! :)
Regarding your formatting question, if you are talking about adding colours to your table, then yes, the Table tool is your best bet.
Its more initial setup, but you can also output to a templated excel file that has conditional formatting applied. It also works best if your sheet names are already known as well. Dynamic sheet names become a complication but its still doable although not easily.
Other than that, using the table tool is probably the best bet.