Ulta announces refreshed strategic framework and long-term financial targets

Ulta announces refreshed strategic framework and long-term financial targets

THE WHAT? Ulta has announced longer-term financial targets for fiscal 2022 through 2024 and updated strategic priorities. The US beauty retailer is aiming to achieve total net sales growth of 5 to 7 percent (CAGR), grow its network by 50 stores per year and see operating profit rise 13 to 14 percent.

THE DETAILS The company’s strategic priorities are to drive breakthrough, disruptive growth by expanding the definition of All Things Beauty; to evolve omnichannel experiences; expand and deepen the company’s presence across the consumer beauty journey; drive operational excellence and optimization; protect and cultivate a world-class culture and talent; and expand the company’s environmental and social impact.

Specifically, these over-arching goals drill down to the launch of same-day delivery and a two hour click and collect window, partnerships with Google and Adeptmind as well as a US$20 million Digital Innovation Fund to develop its digital offer, as well as the launch of a media arm, UB Media, among other initiatives.

THE WHY? Dave Kimbell, Chief Executive Officer, commented, “Reflecting our understanding about how the consumer and beauty category are evolving, we have refreshed our strategic framework, and we are excited to share our vision for Ulta Beauty’s future. We have a long record of disruption, creativity and success, and we intend to build on this foundation and continue to lead the beauty category, seamlessly connecting physical and digital channels, expanding our market share, and increasing member loyalty. We are optimistic about the opportunities ahead and believe the power of the beauty category, paired with our proven business model, experienced leadership team, and values-based culture, positions Ulta Beauty to continue to deliver long-term value for shareholders.”