Sephora vs Ulta: The Billion Dollar Makeup Battle

Sephora had dozens of prestige brands under one roof for the first time. A 1998 New York Times article called them a “luxury cosmetics general store.” The concept was a big hit in France, where Sephora had 10% of all cosmetic purchases. In America, consumers experienced for the first time shopping luxury cosmetics at a street-side store. They were previously available only in department stores. Today, Sephora is a beauty juggernaut with 1,404 stores across the entire United States. Sephora is a disruptor, but they did not incorporate mass-market brands. With that, one of their stiffest competitors saw an opening.

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Tags: Billion Dollar