What happens when your favorite beauty store links up with your favorite all-purpose retailer? You get the full experience of one-stop shopping. Starting next year, Ulta Beauty will open mini cosmetics shops inside select Target stores.
This partnership will allow beauty lovers to experience budget-friendly products in a more accessible location. Both companies will broaden their clientele with this genius collaboration. Ulta will reach more consumers who need a larger selection of products and Target will house items they’ve never sold before. We’ve seen this successful business model play out when JC Penny opened Sephora shops within their stores. Strategically they were able to convert customers between both brands.
“The benefit for Ulta is increased exposure. Ulta has an incredibly successful track record and, before the pandemic, was posting consistently strong growth,” said Neil Saunders, retail industry analyst and managing director of GlobalData.
“However, Ulta has a weaker penetration among younger shoppers — especially compared to Sephora — and among those who purchase beauty only occasionally. Target is able to deliver both of these audiences to Ulta,” he said.
Target will open the mini shops, approximately 1,000 square feet, in about 100 stores across the country. They’ll eventually increase the amount of Ulta stores by a few hundred. In the shops, you can experience GLAMlab, the virtual makeup try-on station which has over 4,000 products listed.
This partnership is presented at the perfect time. While a lot of beauty brands are recovering financially because of Covid, the Target/Ulta union will boost the sales of thousands of companies and create jobs for the public. Sounds like a win to me!
You can experience the Target/Ulta fusion as soon as 2021. What do you think? Will you be shopping in the new Ulta section in Target?