Ulta Beauty

Expanding Beyond the Shelf with a Curated Marketplace Model

Since 1990, Ulta Beauty has built its reputation serving, inspiring, and connecting with beauty enthusiasts. As consumer needs expanded from cosmetics into broader wellness, Ulta Beauty looked for a way to grow its business without the constraints of traditional retail.


Flat lay of assorted makeup cosmetics
  • 4x

    faster brand onboarding compared to first-party sellers
  • 150

    sellers onboarded in first 8 weeks
  • 35%

    ahead of revenue forecast in first 8 weeks

The challenge

Ulta Beauty wanted to expand its brand and category assortment with speed and flexibility without compromising the seamless shopping experience customers expect. They needed to overcome:

  • An 18-month buying cycle that required major inventory commitments and early trend predictions in a fast-moving industry
  • A lengthy brand onboarding process that delayed getting new products listed directly on-site
  • High upfront investments in time and money to test new categories, with no guarantee of ROI
Flat lay of assorted makeup cosmetics
Flat lay of assorted makeup cosmetics
Flat lay of assorted makeup cosmetics

The approach

Merkle partnered with Ulta Beauty to build UB Marketplace, a Mirakl-powered platform that lets Ulta expand its assortment without taking on the inventory risk, long lead times, or upfront investment of traditional retail. The marketplace gives customers access to additional beauty products and adjacent lifestyle categories online, meeting rising demand for greater product variety and a more convenient way to shop.

As a platinum Mirakl partner,  Merkle’s experts led strategy and implementation, integrating the marketplace with Ulta’s existing systems to support its launch. To protect the quality and consistency customers expect, UB Marketplace uses an invite-only model for brand onboarding. The shopping experience stays the same: products appear alongside the existing assortment with a single cart and checkout, customers earn Ulta Beauty Rewards, and returns can happen in-store.

The outcome

Through UB Marketplace, Ulta Beauty can now test new products and categories faster, broaden its assortment across beauty and wellness, and meet rising customer demand for greater variety and convenience. The marketplace creates room for ongoing growth, including retail media revenue, data-driven optimization, and expansion into a dropship model.

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Case Study | Ulta Beauty - Expanding Beyond the Shelf with a Curated Marketplace Model | Merkle