Published by Global Banking & Finance Review®
Posted on August 14, 2025
1 min readLast updated: January 22, 2026
Add as preferred source on GoogleUlta and Target will end their beauty mini-shop partnership by August 2026, affecting beauty sales and market reactions.
(Reuters) -Ulta will wrap up its mini-store partnership in Target stores after the current contract ends in August 2026, the companies said on Thursday.
The partnership, announced in November 2020 and rolled out in August 2021, aimed at giving Target shoppers greater access to prestige beauty brands.
Shares of Target fell 2%, while Ulta was down around 1%. They did not elaborate on why the partnership was ending.
Target has been facing softening demand as customers pulled back on discretionary purchases due to ongoing worries about inflation and the economy, due to U.S. President Donald Trump's trade war.
However, beauty segment sales rose 5% in 2024, standing out as a bright spot, compared to a 0.9% decline in overall merchandise sales for the year.
The companies said the Ulta Beauty at Target experience will continue in Target stores and on Target.com until the partnership ceases.
(Reporting by Neil J Kanatt in Bengaluru; Editing by Vijay Kishore)
A partnership is a business arrangement where two or more individuals or entities collaborate to achieve shared goals, sharing profits, losses, and responsibilities.
Retail trade involves the sale of goods and services directly to consumers, typically through stores or online platforms.
Consumer perception refers to how customers view and interpret a brand or product based on their experiences, beliefs, and marketing.
Market reaction is the response of investors and traders to news or events that affect the financial performance of a company or sector.
Beauty sales refer to the revenue generated from selling cosmetic products, skincare items, and beauty services.
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