Ulta Beauty: Target Market

 1. Review C 8, segmentation and targeting. Consider demography (age, income, ethnicity), geography, psychographics, and behavioral segmentation and write a specific target market statement for the corporation’s product(s) or service(s). A general statement or "everyone" won't earn points.

-  Ulta Beauty’s target market is women from ages 16-25. About 57% of  their shoppers, are considered Beauty enthusiasts. Those who really love makeup and creating art with it. 40% of their shoppers make over $100,000 per year. Ulta is one of the largest retailer in the U.S. All of their stores are located in convenient high-traffic locations. They offer all things beauty, in one place. It’s a one stop shop for their customers. Because of this, Ulta has quickly expanded its geographic footprint. Ulta does a very good job at adapting to the market by partnering up with target and selling their products inside their store. This partnership was made to allow target customers to have a mini Ulta experience, while still providing a new and exciting shopping experience to targets loyal customers. 

2. Does the company tailor their digital content by buyer? 

- Ulta beauty does a very good job at customizing its digital content for their customers. They offer the GLAMLab which is a virtual try-on experience in the Ulta beauty app. This app allows customers tot Roy on all of the products they offer before they choose to buy. This includes lipsticks, eyeliners, foundations, and eyeshadows. They also offer other AR and AI powered experiences in GLAMLab. You can get a skin analysis done by AI to help choose the best foundation shade for your skin. You even get personalized product recommendations. Ulta continues to change the game by providing their customers these innovative beauty experiences. Ulta Beauty also offers a reward system for their customers. For every dollar you spend at their stores, you receive points that you can redeem during your purchase. Ulta decided to do this because it gives them valuable insights that help them get to know and connect with their customers more. Ulta can generate data based on sales, transactions, products reviews, and social media engagement. 

3. Does the company tailor content by the Awareness Stage, Consideration Stage, and/or Decision Stage? Read the Buyer’s Journey article posted in “Blog Project and Best Practices” in Bb Learn.

- Ulta Beauty tailors content in each of these stages. In the awareness stage, Ulta makes sure to inform their customers of the products and services they offer. They send out a free gift and discount code on your birthday if you are a part of their rewards program. They do this to make their customers feel special and encourage them to buy with them. During the consideration stage, they Offer AI reality where they can try on the thousands of products they sell at their store. Here they are able to compare all the different products and choose what is the best fit for them. In the decision stage, Ulta makes sure to always offer a discount code for every purchase and you can use your points to get money off your purchase. If you are not happy with your product, you can also come back in store and get your money back. They are always sending out coupons which is a great incentive to get their customers to try their products at a low cost. 

Citations: 

Endler, M. (2022, September 20). How Ulta Beauty is giving omnichannel retail a fresh face. Google Cloud Blog. https://cloud.google.com/blog/transform/ulta-beauty-reinventing-omnichannel-retail-with-cloud-ai

Rabinowitz, S. (2020). The Ulta-mate Target Collaboration. Consumer Edge. https://insights.consumer-edge.com/2020/11/the-ulta-mate-target-collaboration

Jean Callahan, T. (2023, March 13). Ulta Beauty Bets Big on Brick-and-Mortar. The street.com. Retrieved April 28, 2023, from https://www.thestreet.com/retailers/ulta-beauty-expansion-store-front-target-remodel#:~:text=The%20partnership%20was%20expected%20to,products%20to%20Target%27s%20loyal%20customers.