Ulta Beauty and Target to End Shop-in-Shop Partnership in 2026

A beauty staple across many Target stores since 2021, Ulta Beauty's mini “shop-in-shop” experiences are ending. Here's everything to know about the transition and what it means for both brands and customers.

A Strategic Partnership Comes to a Close

• Two major retailers part ways: Ulta Beauty and Target have mutually agreed not to renew their beauty mini-shop partnership, which is set to conclude in August 2026. Until then, the Ulta experience will continue both in-store and online. 

• The program began during the pandemic, offering beauty products in about 600 Target locations and enabling customers to link Ulta Rewards with Target Circle.

• The mini-stores are roughly 1,000 square feet, featuring perfumes, skincare and makeup alongside Target’s beauty section. 

Why the Split?

Neither chain specified the reason for ending the partnership. It may reflect shifting retail strategies:

• Target has felt pressure from softening consumer demand and inflation, despite a 5% increase in beauty sales in 2024 compared to a 0.9% drop in overall merchandise. 

• The decision aligns with each brand's evolving focus: Ulta pushing its “Unleashed” strategy, and Target doubling down on its curated beauty assortment.

Early Impact & What’s Next

• In the Bay Area, over a dozen Target locations that include Ulta shops are already slated for closure. 

• Stock markets reacted: Target shares dropped 2%, Ulta slipped about 1%.

• Despite the changes, both retailers say they will maintain loyalty benefits—such as reward points—and product availability through the end of the agreement. 

What This Means for You

• Frequent Ulta customers: You have until mid-2026 to continue enjoying Ulta products within Target, alongside reward perks.

• New or casual shoppers: Finish your beauty shopping at these mini-stores while they remain, but prepare to adapt as they wind down.

• Retail watchers: This move signals both businesses are refining how they engage customers—Target toward value-forward curation, Ulta toward standalone expansion and experiences.

Final Thoughts

What once felt like a seamless merger of convenience and beauty—Ulta at Target—is evolving. As the partnership concludes, both brands are returning to their distinct lanes. Whether you're loyal to Ulta’s salon-style approach or Target’s broad retail appeal, the beauty shopping experience is set to shift.

Curious to know how this impacts your local store or beauty routine? Let me know—happy to explore whether your area might see changes before 2026 rolls around.

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