
Ulta lost market share in beauty for the first time last year
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Steelman is navigating a rare rough patch for Ulta, and is doing so with a number of leadership changes and a slew of planned improvements to the store and e-commerce experience.
Since Steelman’s arrival, the retailer has named a chief marketer and elevated Amiee Bayer-Thomas to chief retail officer, where she will oversee store design and real estate. The company also added “transformation” to Mike Maresca’s role as chief of technology — he was previously chief technology and information officer — and put Chief Merchandising Officer Monica Arnuado in charge of digital.
As the retailer works to improve its experience, Ulta plans to focus on product assortment by accelerating its efforts to bring new brands into stores. It will also launch a marketplace to expand product offerings for e-commerce shoppers.
Steelman noted that “thousands” of brands want to work with Ulta, and the marketplace is a way to enable Ulta to try them out in a low-risk way. Customers will be able to earn loyalty points on the marketplace, set to launch in the back half of this year, and make marketplace returns at Ulta’s stores.
It’s also a way to enhance Ulta’s presence in the wellness space. The beauty retailer expects the marketplace to host a mix of new and established brands across both beauty and wellness.
Wellness is also in focus as the retailer works to improve its store experience. Ulta is launching 20 new brands in the near future in that category, which currently occupies just eight feet of space in stores. It wants to expand the amount of floor space wellness receives in certain stores and lean into categories like nutrition, sleep and mindfulness. Also on the table is replacing products in less productive categories with wellness.