Ulta Beauty Inc. (ULTA - Free Report) is focused on enhancing its clean beauty business. In this regard, the company launched a comprehensive initiative called ‘Conscious Beauty at Ulta Beauty’ in all stores as well as online on ulta.com during this week. Brands like Tula, Pacifica, Beekman 1802, Juice Beauty and Ulta Beauty Collection among others will be available under this initiative.
In a proprietary research of its consumers, Ulta Beauty highlighted that 75% of these consumers hoped that it was simpler to find out which products are truly clean. Further, 63% of them stated that ‘safe for the planet’ products are somewhat or very important. Through ‘Conscious Beauty at Ulta Beauty’ the company expects to help customers to make conscious and sustainable product choices.
Under this initiative brands will be accredited in five pillars namely Clean Ingredients, Cruelty Free, Vegan, Sustainable Packaging and Positive Impact. Under the Clean Ingredients pillar, the brands will be certified to be made free of parabens, phthalates and other ingredients on ‘Ulta Beauty’s Made Without List’. Further, brands marked as Cruelty-free guarantee that they do not engage in animal testing. Organizations like People for the Ethical Treatment of Animals (PETA), Choose Cruelty-Free and Leaping Bunny provide Cruelty-free certification to such brands.
The company’s Vegan category will list beauty items that do not contain animal products, by-products or derivatives. Positive Impact pillar will support brands that believe in giving back at their core.Talking about Sustainable Packaging pillar, Ulta Beauty will recognize brands that use at least 50% of their packaging from bio-sourced or recycled materials, or can be recyclable or refillable. This marks a step toward the company’s pledge to assure that at least 50% of all packaging sold will be sustainable by 2025.
Apart from these, Ulta Beauty created a Conscious Beauty Advisory Council — a group of experts from at the frontline of clean beauty, packaging sustainability, product development and brand leadership. The role of the council will ensure continuous accountability and help the initiative to evolve.
Prior to this, Ulta Beauty took another step to augment its clean beauty business. On Jun 16, the company announced its partnership with Credo Beauty— a leading clean beauty retailer. Per the deal, an exclusive collection of eight clean beauty brands will be available for Ulta Beauty customers in specific stores and digital platform.
We believe that, Ulta Beauty’s latest launch of ‘Conscious Beauty at Ulta Beauty’ along with recent alliance with Credo is a step closer to propagate the need for sustainable beauty in the beauty space. Shares of this Zacks Rank #3 (Hold) company have gained 17.9% in the past three months compared with the industry’s growth of 11.5%.
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