Target to replace Ulta shops in 600+ stores with its in-house Beauty Studio
Target has decided to double down on its own beauty business as the end of its partnership with Ulta Beauty approaches.
Beginning this fall, Target will replace Ulta Beauty shop-in-shop locations with a new in-house concept called Target Beauty Studio, starting in the more than 600 stores that currently feature Ulta. The company said it plans to expand the concept to additional locations over time.
The transition comes ahead of the partnership's scheduled end in August 2026. Target and Ulta Beauty announced earlier this year that they had mutually agreed not to renew their agreement, which launched in 2021 and brought prestige beauty brands into Target stores. Ulta products and rewards benefits will remain available through the partnership until it officially concludes.
Rather than bringing in another beauty retailer to fill the space, Target is betting that an expanded in-house assortment and shopping experience will help fuel future growth.
What is Target Beauty Studio?
According to Target, the new Beauty Studio will offer a shopping experience centered on prestige beauty, featuring more than 80 global and emerging brands, including more than 60 brands that are new to Target customers.
The retailer said shoppers can expect exclusive product launches, trend-focused displays, dedicated beauty team members offering personalized recommendations, beauty-specific Target Circle rewards and a seamless shopping experience across stores, Target.com and the Target app.
Why Target is making the change
During the company's first-quarter earnings call, Chief Merchandising Officer Cara Sylvester said Target is focusing on product categories with the greatest growth potential, identifying beauty as one of its biggest opportunities.
Operating its own beauty destination also gives Target full control over product selection, merchandising and the customer experience rather than sharing the space with another retailer.
The move comes as beauty continues to outperform many other retail categories, despite cautious consumer spending.
According to McKinsey's 2026 State of Beauty report, the global beauty market is expected to grow about 5% annually through 2030. At the same time, shoppers are increasingly seeking value, gravitating toward lower-priced brands that deliver strong performance without luxury price tags.
Reporter Anthony Thompson can be reached at ajthompson@usatodayco.com, or on X @athompsonUSAT.
This article originally appeared on USA TODAY: Target to replace Ulta shops in 600+ stores with its in-house Beauty Studio
Reporting by Anthony Thompson, USA TODAY / USA TODAY
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This story was originally published June 30, 2026 at 5:06 PM.