Target and Ulta Beauty are parting ways, ending a partnership launched in 2021 that created in-store shops filled with beauty products at hundreds of the discounter’s stores.
According to a joint release issued Thursday, the companies said they have “mutually agreed” not to renew their pact, which concludes in August 2026. Until then, the Ulta Beauty experience at Target will continue in Target stores and on Target.com, the release said. Also, shoppers who linked their Ulta Beauty Rewards and Target Circle accounts will continue to earn Ulta reward points on eligible Ulta purchases at Target until August 2026.
Bolingbrook-based Ulta is currently in 600 of Target’s roughly 1,980 stores, according to a Target spokesperson.
“For 35 years, Ulta Beauty has revolutionized how people experience beauty — bringing together an unmatched assortment from mass to luxury — and our partnership with Target was one of many unique ways we have brought the power of beauty to guests nationwide,” Amiee Bayer-Thomas, chief retail officer of Ulta Beauty, said in a statement.
Rick Gomez, executive vice president and chief commercial officer at Target, said in a statement he was committed to “offering the beauty experience consumers have come to expect from Target.”
The partnership was announced in 2020 and came as the pandemic upended shopping habits and more people tried to minimize potential exposure to the virus through one-stop shopping. COVID-19 had dampened sales of lipstick as people wore masks, but the skincare business enjoyed stronger sales.
The shops are near Target’s beauty section and are about 1,000 square feet, carry makeup, skincare and fragrance products. The deal was a way for Target and Ulta to increase their customer base.
“It’s a combination of two winning retailers that have great momentum in the market that can redefine the category,” Target CEO Brian Cornell said in 2020.
The announcement comes as Target is struggling to regain its footing with its shoppers who are pulling back on discretionary items and are shopping at other rivals that they believe to be lower price or offer better merchandise.
Target is slated to report its fiscal second-quarter results next week.
In September 2022, Target extended its contract for chairman and CEO Brian Cornell for another three years. It has not announced its succession plan.
Contributing: Sun-Times staff