Target, Ulta to end shop-in-shop partnership in 2026
Two leading retailers are pulling the plug on their shop-in-shop partnership.
Target Corp. and Ulta Beauty said that they have mutually agreed not to renew the Ulta Beauty at Target shop-in-shop partnership when the current agreement concludes in August 2026. Until then, the Ulta Beauty at Target experience will continue in Target stores and on Target.com.
The news about the end of the partnership comes several months after Ulta CEO Kecia Steelman, speaking at J.P. Morgan's annual retail conference, said the company would pause on adding more in-store shops at Target. Instead, the two companies would focus on the existing shop-in-shops.
The breakup also comes as Ulta is focused on expanding its international footprint and omnichannel strategy, including the launch of Ulta Beauty Marketplace, a curated online platform for emerging brands and new audiences, this fall. And in July, the company said it had acquired British beauty retailer Space NK Limited.
Meanwhile, Target has been expanding its in-store and online beauty offerings. In February, the retailer said it was introducing more than 2,000 products and nearly 50 new brands to its assortment.
The first Ulta shop-in-shop at Target debuted in 2021, and has since expanded to more than 600 locations, about one-third of the retailer's stores. The partnership, which also included the addition of select Ulta merchandise to Target’s website, was initially seen as beneficial to both companies, giving Ulta a way to expand its customer base while providing Target with access to prestige beauty and cosmetic items.
In a statement, Target chief commercial officer RIck Gomez said the company was proud of the retailer's "shared success with Ulta Beauty and the experience we’ve delivered together."
"We look forward to what’s ahead and remain committed to offering the beauty experience consumers have come to expect from Target — one centered on an exciting mix of beauty brands with continuous newness, all at an unbeatable value," he said.
Both companies say they remain committed to delivering a seamless shopping experience and product availability through the end of the partnership, as well as continuing to support their teams and partners during the transition. Guests with linked rewards accounts will continue to earn Ulta Beauty Rewards on eligible Ulta Beauty at Target purchases until August 2026.
[READ MORE: Ulta Beauty enters U.K. with acquisition of British beauty retailer Space NK]
“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,” said Amiee Bayer-Thomas, chief retail officer at Ulta Beauty. “As we continue to execute our Ulta Beauty Unleashed plans, we’re confident our wide-ranging assortment, expert services and inspiring in-store experiences will reinforce our leadership in beauty and define the next chapter of our brand.”
Headquartered in Bolingbrook, Ill., Ulta Beauty operates approximately 1,500 stores across the U.S. Minneapolis-based Target operates nearly 2,000 stores nationwide.
