Ulta Beauty will close their mini-stores in Target locations by this time next year, the cosmetics chain announced on Aug. 14.
Ulta confirmed the conclusion of its partnership with Target in a news release, as both companies “mutually agreed not to renew” their current deal, which concludes in August 2026. The partnership was rolled out in August 2021 to give Target shoppers more access to Ulta’s beauty products and brands.
“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,” Amiee Bayer-Thomas, chief retail officer for Ulta Beauty, said in the release.
Rick Gomez, the executive vice president and chief commercial officer for Target, said in a statement that the company is “proud of (its) shared success with Ulta Beauty.”
“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,” Gomez said.
Why end the Target, Ulta partnership now?
Target has struggled with decreased demand as discretionary purchases decline due to worries about the economy and rising inflation, Reuters reported. The retailer has also experienced declining sales, national boycotts and lawsuits related to its diversity, equity and inclusion (DEI) practices.
Additionally, many of Target’s products are sourced from countries where President Donald Trump has placed broad-based tariffs.
After announcing the partnership split, shares of Target dropped 2%, and Ulta shares declined about 1% Aug. 14. According to Reuters, beauty segment sales increased 5% in 2024, compared to a 0.9% decrease in overall merchandise sales for the year.
With beauty product sales increasing, it’s not clear why the companies ended their five-year partnership now.
How many Target and Ulta Beauty stores exist?
Target is a major retailer in the U.S., operating 1,981 stores in all 50 states and Washington, DC. According to the National Retail Federation, it’s the eighth largest U.S. retailer, behind Walmart, Amazon.com and Costco Wholesale.
As of May 2025, Ulta Beauty operates 1,451 stores across all 50 states. More than 600 Ulta mini-stores operate within Target retailers, the Wall Street Journal reported.
Shoppers will be able to purchase Ulta products from Target’s stores and online through August 2026.
Reuters contributed to this story.
This article originally appeared on USA TODAY: Ulta Beauty, Target to end mini-store partnership in 2026
