Here’s How Ulta Beauty Creates a Culture of Diversity, Equity, and Inclusion

Investor Relations :: Ulta Beauty, Inc. (ULTA)

It’s a new day for diversity, equity, and inclusion. If the racial equality protests of 2020 taught us anything, it’s that it’s not good enough to simply talk about these issues anymore, we have to take positive action to change the world for the better.

Individual action is important, of course. However, the real momentum for change must come from the very top, from governments and industry. If more people see the positive effects of diversity, equity, and inclusion at all levels of society, they will be more likely to join the fight and push for a better and fairer world for everyone.

And we aren’t just talking about checking boxes or meeting quotas either. A more diverse, equal, and inclusive workforce will benefit businesses at the bottom line as well. People bring their culture, social experience, and culture along with them and that diversity of thought can generate the kinds of ideas which take a company to the next level.

Ulta

As a leading brand in the beauty retail space, Bolingbrook, Illinois based Ulta Beauty understands and appreciates that beauty comes in many forms and is driving diversity, equity, and inclusion in its workforce more heavily than ever before.

The company announced earlier this year a commitment of $25 million which will be invested in initiatives designed to promote diversity, equity, and inclusion. Amplifying brands, adjusting merchandise assortment, promoting black voices, and creating welcoming guest and associate experiences, are just a few of the ways Ulta is making itself more welcoming to customers and employees from all walks of life.

"As the country’s beauty retail leader, we believe we have the power to shape how the world sees beauty and as such, we have a responsibility to inspire positive change and drive greater diversity, inclusivity and equity," said Ulta Beauty CEO, Mary Dillion.

"I look forward to formalizing an already existing dialogue and partnership around diversity and inclusion with Mary Dillon and the Ulta Beauty team," added CEO and founder of PATTERN Beauty, Tracee Ellis Ross – Ulta’s newly appointed diversity and inclusion advisor.

$2 million of the investment will go into training Ulta store and salon associates to help them address unconscious bias and reinforce the brand’s ethos of inclusivity, equity, and inclusion. Ulta also plans to update its Race Matters Leadership Training which it launched in 2020 and doubling diversity and inclusion training in 2021, establishing a Diverse Leadership Program to help make the company’s leadership more representative of our changing world, and launching recruiting efforts focused on diversity.

CEO, Dillon also chairs a quarterly Ulta Beauty Executive D&I Council which meets to discuss the company’s progress on meeting its goals in this area and to identify any gaps and opportunities around diversity, equity, and inclusion initiatives which could be acted on.

Four Pillars

All of Ulta’s efforts in this area are built on four key pillars:

  • Recognizing your organization’s relationship to the larger societal/systemic issue you are addressing.
  • Creating a quantifiable goal of what you are trying to achieve
  • Acknowledging the tie between community and market investments and the internal culture employees and customers experience
  • Leveraging the counsel of people with expertise and provide them the influence to create accountability

Point one is based around the fact Ulta understands the beauty industry has a responsibility to promote the idea of beauty as something which can exist in many forms and not to allow its promotion of this concept to become homogenous in its interpretation. Number two can be seen in the $25 million pledge we’ve already discussed, and three is addressed by initiatives such as the proposed unconscious bias training. The final point was actioned by the appointment of PATTERN’s Ross as diversity and inclusion advisor.

"We believe that beauty is for everyone," says Ulta in its mission statement. "And, as the leader in the industry, we’re committed to using the power of beauty to create a more inclusive world and bring to life the possibilities that lie within everyone. As we continue this journey, we’re making intentional commitments to further champion diversity so guests, associates, brand partners and communities feel connected to and reflected at Ulta Beauty."

Final Thoughts

As you can see, Ulta isn’t just paying lip service to diversity, equity, and inclusion, but is putting [rather a lot] of its money where its mouth us and taking serious steps to fulfilling each pillar of its commitment to fairer and more equal workplace.

Diversity, equity, and inclusion are going to become ever more critical as increasingly socially aware customers and employment candidates demand more from the brands they associate themselves with.


You can hear Ulta Beauty’s Director of Diversity and Inclusion, Crystal Banks, speak at HR Retail 2022, taking place in April at the Hyatt Regency Austin, TX.

Download the agenda today for more information and insights.