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Target and Ulta Beauty Announce Strategic Partnership

- Two trusted retailers redefine beauty experiences with expanded access to curated, prestige beauty brands and expert-trained beauty consultants with Ulta Beauty at Target, a "shop-in-shop" experience

- Ulta Beauty at Target will debut at more than 100 Target stores nationwide and online at Target.com beginning in 2021


News provided by

Target Corporation

Nov 10, 2020, 08:00 ET

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MINNEAPOLIS and BOLINGBROOK, Ill., Nov. 10, 2020 /PRNewswire/ -- Target Corporation (NYSE: TGT) and Ulta Beauty (NASDAQ: ULTA) today announced a strategic, long-term partnership to transform the beauty landscape with Ulta Beauty at Target. The "shop-in-shop" concept will offer established and emerging prestige brands online and in select Target locations nationwide beginning next year.

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This is illustrative of the collaboration between Target and Ulta Beauty to showcase the distinctive Ulta Beauty experience that will live within select Target locations starting in 2021. This is not reflective of a final design.
This is illustrative of the collaboration between Target and Ulta Beauty to showcase the distinctive Ulta Beauty experience that will live within select Target locations starting in 2021. This is not reflective of a final design.

Target and Ulta Beauty, two trusted retail leaders that excel in curation, omnichannel engagement and guest-centric experiences, will together create a new way for beauty enthusiasts to discover exciting prestige brands. The partnership brings Ulta Beauty's best-in-class beauty authority to millions of guests who love the ease and convenience of Target's one-stop shopping experience. It also provides beauty brands an opportunity to expand and grow in a new, industry-leading omnichannel retail experience.

"The durable strategy we have built has made Target a top retail destination. The ease and convenience of our stores and fulfillment services provide broad reach and relevance for the curated brands our guests love," said Brian Cornell, chairman and CEO, Target. "In partnership with Ulta Beauty, a company that shares our deep guest focus, we are able to expand our growing beauty business with new, exciting brands, an immersive experience, and loyalty benefits to transform how our guests shop for all their beauty needs."

"Ulta Beauty at Target reflects further evolution in our omnichannel strategy, rooted in unlocking the potential of our physical and digital footprints, creating more seamless shopping opportunities for our loyal guests and continuing to lead the beauty industry. More than ever before, now is the time for innovation in retail," said Mary Dillon, CEO, Ulta Beauty. "This partnership is an amazing way to further reimagine guest experiences with a partner who shares our company values. We are thrilled to bring our beauty expertise, unparalleled assortment and digital innovation to life in a new channel to delight and deepen loyalty with our existing guests and introduce Ulta Beauty to new guests."

Ulta Beauty at Target

Ulta Beauty at Target will debut at more than 100 Target locations starting in 2021, with plans to scale to hundreds more over time. The planned locations will complement Ulta Beauty's current store footprint, welcoming new guests to the brand and building upon Target's existing assortment of beauty options.

The distinctive, branded shop-in-shop will operate as an extension of the welcoming Ulta Beauty experience, mirroring the retailers' existing stores and designed to discover established and emerging prestige brands. With approximately 1,000 square feet of retail space, Ulta Beauty at Target will be prominently located next to the existing beauty section.

To bring Ulta Beauty's industry-leading expertise and established guest-centric experiences to life, the company will train newly hired Target team members to serve as experts on prestige beauty offerings, aligning to Target's focus on providing guest service with deep product expertise. The shop-in-shop is expected to be enhanced with Ulta Beauty's immersive, in-store digital discovery tools such as GLAMLab, a virtual try-on tool that provides safe trial across beauty categories.

Guests who shop Ulta Beauty at Target online will enjoy free shipping available for qualifying orders as well as Target's industry leading, same-day fulfillment services, Drive Up, Order Pickup and Shipt same-day delivery at participating store locations. As always, Drive-Up and Order Pickup are free on all orders.

The online experience on Target.com and the Target app will reflect the look and feel of the elevated Ulta Beauty experience for an immersive, engaging way to find beauty favorites and new products. The Ulta Beauty at Target assortment will be available on Target.com and in select stores in the second half of 2021.

Reaching New Guests

Together, the two leading retailers have more than 100 million active loyalty program members across Target Circle and Ultamate Rewards. In addition to bringing guests enhanced offerings and expertise, the partnership will seek to create compelling, integrated opportunities to harness the power of these loyal guests and reward them when they shop at Ulta Beauty at Target.

In recent years, Target has reinvented its beauty business, including expanding its assortment and creating an engaging in-store shopping experience. The investments have resulted in strong category sales and market share gains. Similarly, as the nation's leading beauty destination and category market share leader, Ulta Beauty has strong brand awareness and is a top destination for discovery and services, connecting meaningfully with teens and the growing, influential Latinx audience.

The partnership between Ulta Beauty and Target is set to redefine beauty experiences, creating new opportunities for guests and brand partners and to strategically and collaboratively lead the retail industry forward.

About Target
Minneapolis-based Target Corporation (NYSE: TGT) serves guests at nearly 1,900 stores and at Target.com. Since 1946, Target has given 5 percent of its profit to communities, which today equals millions of dollars a week. For the latest store count or for more information, visit Target.com/Pressroom. For a behind-the-scenes look at Target, visit Target.com/abullseyeview or follow @TargetNews on Twitter.

About Ulta Beauty
Ulta Beauty (NASDAQ: ULTA) is the largest U.S. beauty retailer and the premier beauty destination for cosmetics, fragrance, skin care products, hair care products and salon services. Since 1990, the Company has brought together all things beauty, all in one place with more than 25,000 products from approximately 500 well-established and emerging beauty brands across all categories and price points, including Ulta Beauty's own private label. Ulta Beauty also offers a full-service salon in every store featuring hair, skin, brow, and make-up services. Ulta Beauty operates retail stores across 50 states and also distributes its products through its website, which includes a collection of tips, tutorials and social content. For more information, visit www.ulta.com.

Forward–Looking Statements
Statements in this release regarding the timing and number of Target stores that will include Ulta Beauty at Target; the assortment, availability, timing, and pricing of products available in stores and online; and the shopping experience and benefits of the strategic partnership are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to risks and uncertainties which could cause actual results to differ materially from those forward-looking statements. The most important risks and uncertainties for Target are described in its public filings with the Securities and Exchange Commission (the SEC), including risk factors contained in its Annual Report on Form 10-K for the fiscal year ended February 1, 2020, as such were supplemented in its Quarterly Report on Form 10-Q for the  quarterly period ended May 2, 2020.  The most important risks and uncertainties for Ulta Beauty are detailed in its  public filings with the SEC, including risk factors contained in its Annual Report on Form 10–K for the fiscal year ended February 1, 2020, as such were amended and supplemented in its Quarterly Report on Form 10-Q for the quarterly period ended May 2, 2020.  Forward-looking statements speak only as of the date they are made, and neither Target nor Ulta Beauty undertake any obligation to update any forward-looking statement.

SOURCE Target Corporation

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