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Ulta Beauty SWOT & PESTLE Analysis

ID : 52683053| May 2020| 12 pages


Business Sector :Beauty Retail

Operating Geography :United States, North America

About Ulta Beauty :

Ulta Beauty, Inc, formerly popular as Ulta Salon, Cosmetics & Fragrance Inc. is the largest beauty retailer in the United States, its headquarters being situated in Bolingbrook, Illinois. It was established in 1990 as Ulta Salon, Cosmetics and Fragrance, Inc by Richard E. George. It is a one-stop shop for cosmetics, fragrance, skin care products, hair care products and salon services. The company offers private labels like, the Ulta Beauty Collection branded cosmetics, skincare, and bath products, in addition to Ulta Beauty branded products. It also delivers its products through its website, This American beauty chain strives to bring together the high, mid and low-price ranges and assortments, and to focus on continuing the strategy.

Ulta Beauty’s industry-leading loyalty program prizes over 33 million Ultamate Rewards Members and still growing. It exhibited a campaign, which included a video promoting a diverse form of different ages, ethnicities, sizes and genders with the tagline being “The Possibilities are Beautiful”. In 2019, Ulta Beauty won the award for Best Company Work-Life Balance. As of February 1, 2020, Ulta Beauty runs 1,254 retail stores across 50 states and also distributes its products through its website, which includes a collection of tips, tutorials and social content.

Ulta Beauty’s mission statement reads “Every day, we use the power of beauty to bring to life the possibilities that lie within each of us—inspiring every guest and enabling each associate to build a fulfilling career.” Their vision statement reads “To be the most loved beauty destination of our guests and the most admired retailer by our Ulta Beauty associates, communities, partners and investors.” Ulta Beauty’s USP or unique selling proposition lies in being the largest U.S. beauty retailer and the premier beauty destination for cosmetics, fragrance, skin care products, hair care products and salon services. Today, Ulta Beauty has become the industry stalwart offering the complete beauty experience

Ulta Beauty Revenue :

$7398 million – FY ended Feb 1st 2020
$6716 million – FY ended Feb 2nd 2019

Competitive Analysis of Ulta Beauty

The SWOT analysis for Ulta Beauty is presented below in a table followed by the detailed analysis report.
1. Offers world class beauty assortments.
2. Strong beauty digital engagement through omnichannel strategy
3. In-store and beauty services experience
4. Strong influencer and media partnerships
5. Leading the professional hair care market
1. Stores mainly located in off-mall shopping areas
1. Growth in U.S beauty products and salon service industry
2. Growth through ultimate rewards program
3. Expansion into overseas markets
4. Creating personalized digital experiences across touchpoints
1. Huge competition in the beauty retail industry
2. Impact of COVID-19 outbreak on business
SWOT & PESTLE (combined)
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Detailed SWOT Analysis of Ulta Beauty


1. Offers world class beauty assortments: The wide assortment provided by Ulta beauty is the center of its value proposition. It is the core differentiator which differentiates Ulta Beauty from other service providers. The offerings are based on innovation and leading trends, differentiation and exclusivity and speed to market. A typical Ulta Beauty store carries more than 25000 products from approximately 500 well-established and emerging brands across all categories and price points. The brands include MAC, Bumble and Bumble, ULTA beauty, MORPHE, REVOLUTION, ESTEE LAUDER , ANASTASIA and many more. Guests can find all the products that they need with over 500 brands being offered which eliminates the need to go to multiple department stores, specialty stores or salons as they can now find all this in one place. Ulta Beauty continuously upgrades and enhances the offerings provided which incudes broad array of categories, brands and price points which helps it to appeal to a wide range of consumers of all ages, demographics and lifestyles.

2. Strong beauty digital engagement through omnichannel strategy: Ulta beauty strives towards building industry leading digital experience for better customer experience. To increase customer engagement, it uses a multifaceted approach to actively communicate, engage and transact across all channels with the customers. It creates visual and immersive digital experiences and seamlessly merges content and commerce to make the beauty shopping experience fun and interactive. Apart from store expansion, Ulta beauty’s ecommerce platform also plays great roles in attracting and retaining customer. These omnichannel guests are extremely valuable since they spend nearly 3 times as much as retail only guests. So, it continues to develop and add new website and mobile features functionality and omnichannel integration points so as to enhance the customer value. For this, it provides a rich online experience to the guests by providing information on key trends and products, editorial content, interactive experience and many more.

The remaining section of “Strength” is available only in the 'Complete Report' on purchase.


This section is available only in the 'Complete Report' on purchase.


This section is available only in the 'Complete Report' on purchase.


This section is available only in the 'Complete Report' on purchase.

Major Competitors :

  • Oriflame
  • Sephora
  • Sally Beauty
  • SBH
  • Bath & Body Works
  • MAC cosmetics
  • Nordstorm
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Check Out Analysis of Other Relevant Companies

References used in Ulta Beauty Analysis Report

1. Ulta pays $1.75M to settle suit involving off-the-clock work claims -
2. Green Cosmetics: The Push for Sustainable Beauty -
3. US-China Trade War and Beauty Industry -
4, Ulta Beauty faces its Walgreens moment -
The detailed complete set of references are available on request in the 'Complete report' on purchase.

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Ulta Beauty SWOT & PESTLE Analysis - SWOT & PESTLE.COM

SWOT & (2020). Ulta Beauty SWOT & PESTLE Analysis - SWOT & [online] Available at: [Accessed 28 May, 2020].

In-text: (SWOT &, 2020)

Copyrights and Disclaimer

Ultra Beauty SWOT & PESTLE analysis has been conducted by Sushree Lasyamayee and reviewed by senior analysts from Barakaat Consulting.

Copyright of Ultra Beauty SWOT and PESTLE Analysis is the property of Barakaat Consulting. Please refer to the Terms and Conditions and Disclaimer for usage guidelines.

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Ulta Beauty SWOT & PESTLE Analysis
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