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Beauty retailer wants to establish a leadership position in wellness with an expanded assortment and elevated experience.
October 21, 2024
By: Christine Esposito
Managing Editor
Officials at Ulta Beauty say their plan to drive profitable growth includes opening more stores and taking a deeper dive into wellness.
“Ulta Beauty is a leader in a growing category with a proven model and substantial financial strength to invest and power our long-term growth,” noted Dave Kimbell, chief executive officer, in a statement ahead of the company’s 2024 Investor Day on Oct. 16, 2024. “More than 30 years ago, Ulta Beauty was the original disruptor in beauty bringing All Things Beauty. All In One Place. While beauty has continued to expand and evolve, we remain true to our core purpose – we champion beauty for everyone, helping every guest discover their own possibilities through the power of beauty.”
These priorities, Kimbell added, are “designed to amplify our differentiated model and drive relevant innovation to meet evolving guest needs, positioning Ulta Beauty as the destination for beauty enthusiasts for a lifetime.”
Kimbell said plan will enable Ulta to drive strong growth and capture greater market share in beauty and wellness.
Ulta officials said they are accelerating store openings, targeting 1,800+ stores over the long-term. The immediate plans call for plans 200 new doors to open between and 2027.
Additionally, Ulta Beauty said it wants to establish a leadership position in wellness with an expanded assortment and elevated experience.
Earlier this year, Kimbell predicted a slow down in cosmetic sales.
Additionally, new targets have been established for the retailer’s loyalty program, which Ulta wants to grow to 50 million members by 2028. It will do so by reaching “new segments of beauty enthusiasts.”
Ulta Beauty’s previously announced expectations for fiscal 2024 are unchanged. The company plans to deliver sales between $11.0 billion to $11.2 billion, with comparable sales of down 2% to flat.
Ulta’s board of directors approved a new share repurchase authorization of $3.0 billion.
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