The nation’s largest beauty retailer plans to invest $50 million in diversity, equity, and inclusion funding in 2022, according to a press release provided to theGrio.
Ulta Beauty said this year’s financial commitment will double that of 2021.
“After formally working together for a year, I’m hopeful that Ulta Beauty’s commitment to diversity, equity and inclusion has been a catalyst for other organizations to examine how they plan for and create foundational change,” Tracee Ellis Ross, Ulta Beauty’s DE&I advisor and founder of Pattern Beauty, said in the press release.
Ulta Beauty plans to:
- Spend about $25 million in media investments with multicultural platforms with 10% of that (or $2.5M) directly spent with Black and Latinx-owned media outlets.
- Allocate $8.5 million to brand marketing support for Black-owned, Black-founded, and Black-led brands within the company’s portfolio.
- Spend $3.5 million on in-store merchandising support so guests can easily find the Black-owned, Black-founded, and Black-led brands.
- Invest $5 million in a venture capital firm that invests in entrepreneurs of color. Ulta Beauty, in its release, said it would provide priority shelf space, merchandising, and marketing to support the growth of these businesses.
The remainder of the financial commitment goes towards other efforts, including funding for in-store training and enhancing the customer experience.
The company will make its quarterly in-store inclusivity and unconscious bias training mandatory for the distribution center and corporate employees.
Ulta Beauty’s move comes as the Black haircare market explodes. The Black hair care industry brought in about $2.5 billion in 2018, according to Essence. The spending doesn’t stop there. Black people spent $54 million in the ethnic beauty market; $127 million on grooming aids and another $465 million on skincare products, Essence noted.
Furthermore, Ulta Beauty said it would continue its efforts in the Fifteen Percent Pledge, which asks businesses to provide shelf space for Black products equal to that of the country’s African American population — 15%.
Ulta Beauty is already making it easier for customers to find Black products. The top of its website has a carousel that includes, “SHOP BLACK-OWNED BRANDS. Black brilliance. Made for all.”
“As a values-driven company, we believe we have a responsibility to drive diversity, equity, and inclusion in our company, industry, and world,” Chief Executive Officer Dave Kimbell said in the release.
TheGrio is now on your TV via Apple TV, Amazon Fire, Roku, and Android TV. Also, please download theGrio mobile apps today!