The leading beauty shopping destinations among Gen Z in the United States showed clear preferences for Sephora, with approximately 37 percent of US female Gen Z shoppers favoring this retailer. Following closely behind was Ulta Beauty, capturing 32 percent of the demographic's preference, according to a Statista report on leading beauty shops among Gen Z in the U.S. Statista data highlights that over a third of Gen Z participants spend between $21 and $50 on a single skincare product.
| Aspect | Sephora | Ulta Beauty |
|---|---|---|
| Market Share | 37% of female Gen Z shoppers | 32% of female Gen Z shoppers |
| Key Offerings | Wide array of products, strong emphasis on inclusivity and sustainable practices | Combination of drugstore and high-end brands, comprehensive loyalty programs |
| Strengths | Innovative in-store experiences, effective marketing, engaging store layouts | Omni-channel shopping experience, seamless integration of online and offline platforms |
| Social Media Presence | High engagement on Instagram, TikTok, and YouTube | Equally strong, leveraging Instagram, TikTok, and YouTube for product discovery and sales |
| General Appeal | Focuses on meeting diverse and evolving beauty needs of Gen Z | Caters well to the digital engagement preferences of Gen Z |
Sephora's ability to cater to Gen Z's diverse and evolving beauty needs, along with its focus on inclusivity and sustainable practices, has been instrumental in maintaining its lead. The high favorability rating of 37 percent proves Sephora's success in connecting with younger consumers through effective marketing and engaging store layouts that resonate well with their preferences.
Ulta Beauty, while slightly behind Sephora with a share of 32 percent, remains deeply popular among Gen Z. Ulta’s broad range of products, including drugstore and high-end brands, and comprehensive loyalty programs, help maintain its substantial market share. Ulta's emphasis on an omni-channel shopping experience—including seamless integration of online and offline platforms—caters well to Gen Z’s shopping habits, which are heavily skewed towards digital engagements and social media platforms.
This generation demonstrates high levels of engagement with brands via social media platforms such as Instagram, TikTok, and YouTube. Thanks to the seamless integration of shopping features, such platforms are not only avenues for product discovery but also for purchasing decisions. Gen Z’s preference for these dynamic and interactive platforms over traditional retail has pushed major beauty retailers to bolster their online presence and innovative marketing strategies.
Insights also suggest Gen Z’s shopping habits signal a clear trend toward ethical consumption. This demographic emphasizes brand values like sustainability, cruelty-free practices, and inclusivity. Retailers who effectively communicate their commitments in these areas tend to resonate better with this audience. Consequently, beauty brands and retailers have intensified efforts to showcase their sustainability credentials and social responsibility initiatives.
Additionally, a significant trend observed is the shift towards skincare. With a growing interest in self-care, influenced partly by the COVID-19 pandemic, skincare routines have garnered heightened importance among Gen Z consumers. Brands like CeraVe and The Ordinary, which emphasize clean ingredients and effective formulations, have become favorites, reflected in their high sales volumes and considerable followings on social media platforms like TikTok.
