Ulta Beauty is widely recognized as a major player in cosmetics retail. Between 2012 and 2016, the company’s net sales revenue increased from 2.22 billion to 4.85 billion U.S. dollars, while income increased from 172.5 million to 409.8 million U.S. dollars. In 2016, Ulta Beauty controlled about eight percent of the online beauty sales market, ahead of Nordstrom but behind Amazon.com.
Although continued success in any market is far from guaranteed, Ulta Beauty has reason to believe that their appeal will remain strong. A 2016 survey of upper-income teens showed that 20 percent of respondents viewed Ulta as their preferred beauty destination. Possessing significant purchasing power, success with this cohort of consumers may be an asset for Ulta for years to come.
