GLP-1 Side Effects Could Boost Beauty Sales; Target to Close Ulta Shops
GLP-1 weight-loss drugs causing hair loss and reduced skin elasticity could drive higher beauty spend at Ulta Beauty shops within Target stores. Target will close all in-store Ulta Beauty shops in the second half of 2026, potentially shifting foot traffic and beauty category revenue.
1. GLP-1 Drug Side Effects and Beauty Demand
The GLP-1 weight-loss medications Wegovy and Foundayo have been linked to hair loss and diminished skin elasticity, prompting consumers to seek haircare and skincare solutions. This shift in demand may translate into increased beauty product purchases at Ulta Beauty corners within Target stores as users address treatment side effects.
2. Target’s Ulta Beauty Shop Closures Planned
Target announced it will close all Ulta Beauty shop-in-shops during the second half of 2026, ending its partnership network that contributed to comparable sales growth at these in-store locations. This move could redistribute foot traffic and beauty category spending across Target’s broader store layout and online channels, impacting segment revenue.