Ulta To Open 250 More Target Shop-In-Shops In 2022
Ulta Beauty is betting on its partnership with Target as its new growth strategy with the brand’s planned opening of 250 shop-in-shops at Target stores.
The move to expand its physical presence follows a year of tremendous growth for the company. In 2021, Ulta’s annual sales surged more than 40% to $8.6 billion in 2021 and average compensation rose 37.9%. More recently, the company posted record fourth-quarter results, with net sales increasing 24% to $2.7 billion over the same time period last year.
Its growth in sales has come as the brand has launched several new initiatives, including a wellness platform, the opening of its first Target shop-in-shop and the appointment of long-time executive, Dave Kimbell, as its new chief executive.
Its partnership with Target will allow customers to shop for beauty brands such as Anastasia Beverly Hills, bareMinerals, Clinique, Drybar, MAC Cosmetics and Urban Decay, among others while interacting with specialized displays, discovery zones and on-trend and season-specific products.
“Ulta Beauty at Target is unmatched in the industry, bringing guests the opportunity to discover new prestige brands while they shop Target’s incredible beauty assortment. This unique partnership is another way we continue to elevate the guest experience across our multi-category business to drive traffic and preference as we meet guests’ needs in innovative ways,” said Christina Hennington, executive vice president and chief growth officer at Target in 2021.
Ulta’s Target shop will also give customers access to benefits such as free delivery on qualifying orders and same-day services such as order pickup, drive up and same-day delivery via Shipt.
Additionally, Ulta is looking to experiment with other elements of its Target store experience, including a new in-store layout that will centralize its service offerings.
The retailer is also looking to test out smaller store formats in its smaller markets with the planned opening of 50 new stores and remodeling or relocating another 35 stores.
Originally published at https://retailbum.com on March 14, 2022.
