Ulta redesigning its store layout for upcoming holiday season
Ulta Beauty, the leading beauty retailer, is gearing up for the holiday season with a series of exciting changes. The retail giant's third-quarter earnings report showed a significant boost, with sales, comps, and profits all up double digits, marking a 17% year-over-year increase in net sales, reaching $2.3 billion.
In an effort to provide a more seamless shopping experience, Ulta has introduced a new store layout, which started rolling out this fall. The new format aims to improve navigation and create spaces to discover, rather than mixing mass with prestige. About a dozen of the new stores were opened during the third quarter.
The new layout features elevated gondolas for brands, with an even split between makeup and skincare products. Brands such as Clinique and Lancôme now have a more prominent place, while service brands like Mac and Benefit have elevated gondolas further into the store, offering makeup and brow care services.
Ulta is also experimenting with a new store layout, consolidating categories and breaking down the stark barrier between mass and prestige. Specific fixtures and visual elements still delineate price differences, but categories such as skincare are more consolidated than in Ulta's original store layout.
The checkout is now located toward the back of the new store layout, with an improved display of trial and travel products. Store entrances include new visual displays centered on a holiday and gifting theme. The Ulta salon is past the checkout in this updated layout, with a more visible menu of services and a dedicated seating area.
To cater to last-minute shoppers, Ulta Beauty's Holiday Beauty Blitz runs almost the full month of December, offering up to 50% off across categories and featuring last-minute gift options. The company has also curated gift options under $15 and $20, available both online and in stores.
The merchandising team has been working to cover a variety of price options across all categories for the holiday season. The latest Ulta stores feature a section called 'Target the New,' showcasing new brands in a highly visible location.
Ulta's Chief Operating Officer, Kecia Steelman, has been instrumental in the reorganization of store formats. The company has no plans to retrofit existing stores with the new format at the moment, but the success of these new stores could pave the way for further changes in the future.
Ulta Beauty's Black Friday sales started earlier than usual this year, signalling the retailer's commitment to offering customers the best deals throughout the holiday season. The company has also raised its full-year guidance, expecting sales to reach up to $10 billion.
With these changes, Ulta Beauty is not just preparing for the holiday season, but also setting the stage for a new era in retail. The new store layout, coupled with the exciting holiday sales, promises to make shopping at Ulta Beauty an even more enjoyable experience for customers.
Read also:
- Shaping India's Economic Progression: Readying the Financial System for Tomorrow
- Two farmers in Zambia take legal action against two firms with Chinese connections, alleging an ecological disaster caused by their operations.
- Deepening EU-India relations despite apprehensions regarding Moscow connections
- Ongoing Transition Towards Cleanliness
