Dive Brief:
- E-commerce sales at beauty-supply retailer Ulta totaled $149.1 million in 2014, up 56.4% from fiscal 2013’s $95.3 million.
- The chain’s total sales increased 21.4% to $3.2 billion for the year ending Feb. 1, with fourth-quarter sales totaling more than $1 billion.
- For fiscal 2014, Ulta reached No. 227 on the Internet Retailer Top 500 Guide.
Dive Insight:
Ulta Salon, Cosmetics, & Fragrance is contributing its meteoric rise in sales at least in part to improved customer engagement at its website, Ulta.com. Promotional emails attracted higher open, click, and conversion rates, exceeding increases in the number of emails sent. Comparable-store sales including e-commerce were up 9.9% for the year.
E-commerce now accounts for 4.6% of Ulta’s annual take, and the company is pushing for that figure to reach 10% by 2019. To that end, the company is upgrading fulfillment operations with new distribution centers Indiana and Texas slated to open in the next 18 months.
The company also announced that primary architect of this growth, chief merchandising officer Janet Taake, will retire May 1, with former CMO Dave Kimbell assuming her duties.