Ulta Beauty vs. Sephora: Assessing Loyalty Reward Programs and the Buying Behaviors of Beauty Shoppers

What's Inside

In this report, we assess the success of two dominant US retail chains, Ulta Beauty and Sephora. We offer an overview of the two retailers and compare their tiered loyalty programs. We also discuss how, by leveraging consumer data, Ulta and Sephora are employing artificial intelligence and augmented reality tools to create personalized shopping experiences that will drive customer engagement.

Using consumer survey data, we explore the beauty buying habits of both retailers’ shoppers in the US, covering:

• Retailer preference
• Average monthly spend on beauty products
• Brand selection and beauty-product purchase drivers