Ulta Beauty is rolling out an advertising arm to sell ads on its own platform, publisher sites, and social networks, according to two ad buyers with direct knowledge.
In addition to selling ads on its own properties, Ulta Beauty is working with Epsilon to pitch co-branded programmatic ads that run on Facebook, YouTube, and ad networks. The cosmetic company has pitched ad buyers in recent months about a new advertising arm, according to two ad buyers with direct knowledge of the program.
"Retailers are looking for alternative ways of monetizing," said Chris Shuptrine, VP of marketing at Kevel, an adtech firm that helps brands build in-house advertising businesses. A lot of brick-and-mortar stores have seen their in-store promotions money shrink in the pandemic, so they now need to find a way to offset that lost revenue, he said.
Ulta's sales are smaller and more niche than the likes of Walmart and Target, but it's differentiating its ad business by pitching its shopper demographics and loyalty card data that advertisers can use to target people with specific offers, said one of the ad buyers. Ulta Beauty has relied on itsUlta Beauty is working with Criteo