Ulta May Look Different On Your Next Visit, How They’re Innovating Their Layout
In light of the immense success it saw in 2022, Ulta is redoing its stores and lessening the divide between mass market and more prestigious beauty products.
During a year when most retailers struggled, one company saw success. Ulta did so well in the first part of 2022 that the company decided to capitalize on its winning streak. The beauty company started rolling out a new concept last fall, which is good news for customers.
Ulta is an innovative beauty company bringing together mass-market and prestige products under one roof. Additionally, many locations offer a salon, giving customers a one-stop shopping experience. The traditional concept is so successful that the company was not impacted by inflationary pressures last year.
At the end of the third quarter, Ulta reported significant growth. According to Retail Dive, “The retailer’s third-quarter earnings report this month showed sales, comps and profits were all up double digits. Net sales reached $2.3 billion, marking a 17% increase year over year.”
But instead of resting on its laurels, the beauty company decided to roll out a new layout. It began opening new stores featuring this layout last fall. And while the company does not have immediate plans to renovate existing stores, the new concept may be worth an extra drive.
Ulta stores historically had a visible split between mass beauty products and high-end, prestige beauty products. And while this helps customers shop by price point, it isn’t the most user-friendly experience. For example, someone not as concerned with price may have to go to multiple areas in the store to find one product.
The new layout completely turns this shopping experience on its head, which is great news for customers. Now, Ulta customers will find less of a stark divide and more of a seamless experience. Monica Arnaudo, Ulta’s Chief Merchandising Officer, said, “One of the things that was really important for us is to improve the navigation in the stores so that when a guest is looking for skincare, for example, they don’t need to go all around the store to find it.”
However, Arnaudo stressed that the new concept doesn’t necessarily mix mass and prestige products. What it does do, is bring similar products closer together. Ulta utilizes visuals and fixtures to delineate between price points.
And brands that offer multiple products are strategically placed toward the center of the store. This placement creates a kind of bridge between store sections. Ulta added “what it calls elevated gondolas” to highlight those brands.
Ulta also added a section called “Cue the New” at the front of the stores. It will use the space to highlight new additions to the store. They will have a set amount of featured time before finding their home among the rest of the products.
Additionally, the company shifted its registers toward the back of the store in the new layout. Customers have to wind their way through tempting baskets of trial-size products on their way to checkout. And the salon area now sits directly behind the register area.
Even the salon experience received an upgrade. The best news for clients is that there is now a seating area while you wait for your appointment. And the menu of services is better positioned for visibility.
