Starting from the month of August, Ulta Beauty is said to be opening its first beauty shops in Target which means that customers will now be able to walk into big-box stores and purchase premium brands of mascara, lipstick, and hairspray that they typically only find at specialty stores or at the mall. These beauty platform’s mini-shops will display an assortment of merchandise from more than 50 prestige brands for makeup, skincare, and hair, including Clinique, Urban Decay, Tarte, MAC Cosmetics, Drybar, Jack Black, and Ariana Grande.
Besides this, Target will also sell a curated mix of products on its website. The retailers asserted that they will open over 100 shops by the end of the year, with plans to expand and grow to a total of 800 shops over the next few years. That means more than a third of Target stores across the country could eventually include a mini Ulta shop. Each shop will be about 1,000 square feet — roughly one-tenth the size of a typical Ulta store.
This brightly colored beauty shop inside of Target hopes to attract new shoppers, deepen customer loyalty and encourage store trips.
However, even after gaining billions of dollars of market share during the pandemic, Target must prove it can keep growing as it goes up against cut-throat competition and challenges. On the contrary, Ulta Beauty intends to introduce itself to a new customer base and seize upon the return of socializing, traveling, and working at the office as more people trade face masks for lip gloss.
Target chief growth officer Christina Hennington mentioned in an interview that she’s confident both companies will benefit and gain market share in beauty by opening the shops. She said the big-box retailer has a track record with other “shop in shops” inside of its stores, including one for Levi’s and Disney. “We fully believe this will be incremental and in fact will drive traffic to both Target as well as drive traffic to Ulta as they introduce more guests to their brands and their experience,” she adds.
Target had announced the deal with Ulta in November, nevertheless has declined to disclose the terms of the deal. The retailers shared the list of featured brands, initial locations, and fresh renderings, which show backlit makeup displays and prominent orange and pink signs.
At each shop, Target employees will be specially trained by Ulta to recommend beauty products where Customers will also be able to try on makeup products with testers — a feature that may be temporarily shelved, depending on the condition of the pandemic.