Target and Ulta to End In-Store Beauty Shop Partnership
Ulta Beauty and Target announced late last week that they have decided to end a deal that opened makeup and beauty shops in hundreds of Target’s stores, reports CNBC. In a news release, the companies said the partnership — which also added some of Ulta’s merchandise to Target’s website — will end in August 2026. Target had added more than 600 Ulta Beauty shops to its stores since 2021, according to a company spokesperson. That’s nearly a third of Target’s 1,981 U.S. stores. Guests with linked rewards accounts will continue to earn Ulta Beauty Rewards on eligible Ulta Beauty at Target purchases until August 2026.
Total Retail's Take: According to a press release, the decision to end the store-in-store partnership agreement is a mutual decision between Ulta Beauty and Target. Both retailers also promised to continue delivering wide-ranging assortments and fresh beauty items to their customers. There was no indication of why the partnership is coming to an end; however, Target has been faltering in recent years, with stores taking a hit in 2025. Store traffic for Target has declined year-over-year nearly every week from the week of Jan. 27, days after the company’s announcement that it would end some of its diversity, equity and inclusion (DEI) programs and goals, through the week of Aug. 4, according to Placer.ai. The loss of Ulta's brand partnership and product assortment could deal another blow to the retailer amidst its turnaround efforts.
"We look forward to what’s ahead and remain committed to offering the beauty experience consumers have come to expect from Target — one centered on an exciting mix of beauty brands with continuous newness, all at an unbeatable value,” said Rick Gomez, executive vice president and chief commercial officer, Target.
For Ulta, the conclusion of its collaboration with Target comes after it lost market share for the first time in 2024. CEO Kecia Steelman in April said the beauty retailer would pause its expansion of new shop-in-shops at Target and declined to say what the partnership would look like after 2025. Chief Retail Officer Amiee Bayer-Thomas in the press release alluded to the decision as being part of the company's new Ulta Beauty Unleashed strategy, first unveiled by Steelman in March.
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Kristina Stidham is the digital content director at Total Retail and sister brands Women in Retail Leadership Circle and Women Leading Travel & Hospitality at NAPCO Media. She is passionate about digital media and handles video, podcast and virtual event production for all brands. You can often find her at WIRLC, TR, WLT&H or industry events with her camera and podcasting equipment—or at home on Zoom—recording interviews with thought leaders and business executives.
Kristina holds a B.A. in Media Studies and Production from the Temple University Klein College of Media and Communication in Philadelphia. Go Owls! When she's not in the office, she loves to go on long walks, sing around the house, hangout with her family and two pet guinea pigs, and travel to new places.
