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Ulta's Wellness Bet Moves From Clicks to Bricks
Ulta Beauty launches "Wellness by Ulta Beauty," a physical shop-in-shop concept that moves its wellness strategy from online to its retail stores.
Key Points
- Ulta Beauty launches "Wellness by Ulta Beauty," a physical shop-in-shop concept that moves its wellness strategy from online to its retail stores.
- The in-store boutiques feature trained wellness advisors and an expanded product range including supplements and intimate care to create a hands-on experience.
- The initiative contrasts with competitor Sephora's recent scaling back of its wellness ambitions, marking a divergent strategy in the beauty retail market.
- As part of its 'Ulta Unleashed' strategy, the pilot program will test if an experience-led wellness model can become a major growth driver for the company.
Ulta Beauty is launching "Wellness by Ulta Beauty," a new physical shop-in-shop concept, moving its wellness strategy from a digital-only offering into its retail stores. The 300- to 600-square-foot boutiques will be debuting January 26.
From clicks to counters: The move evolves Ulta's initial 2021 entry into the category, rebranding its former "Wellness Shop" to create a more hands-on, educational experience. Each boutique will be staffed by trained 'wellness advisors' to guide consumers through an assortment that now includes supplements, intimate care, and sleep aids.
Stacking the deck: The rollout is being bolstered by high-growth brand partnerships, including functional fragrance maker The Nue Co. and Naomi Watts’ menopause-focused line, Stripes. This is a clear play to capture a larger share of the wellness market by serving specific consumer needs.
A different path: The initiative stands in stark contrast to competitor Sephora's recent scaling back of its own wellness ambitions. As part of CEO Kecia Steelman's 'Ulta Unleashed' strategy, the pilot program will determine if the experience-led wellness model can be scaled across Ulta's vast retail network.
This pilot isn't just about selling new products; it's a test to see if a high-touch, experience-led wellness model can become a major growth engine for the beauty giant. The wellness push comes as Ulta posts strong Q3 earnings that smashed estimates and continues its international expansion with new stores in the Middle East.
