Beauty brands are big business right now, at least that was the finding in our November report on the Ulta and Target partnership. And that’s not the only partnership in the works. Sephora plans to open 850 mini beauty shops in Kohl’s stores over the next three years. But who will this serve, and how will both companies benefit from this increased collaboration?
A review of fan demographics for both stores shows a partnership between the two could be a perfect match despite some differences. CivicScience data show Kohl’s fans are older, while Sephora fans lean younger.
But an important common thread ties age brackets together: income. There are more Kohl’s and Sephora fans in the $100K or more income bracket.
The data also indicate Sephora lovers like Target. Favorability among Sephora fans is about 34% higher for Target than it is for Kohl’s.
This could be due in part to the fact that consumers would generally prefer to shop at a big-box store for their cosmetic needs. Kohl’s, however, considers itself a department store, a type of retail location favored by 9% of respondents when shopping for makeup.
And we see that 18- to 24-year-olds are the most likely age bracket to say they go to department stores for makeup. Having a larger cosmetics counter could bring in some younger shoppers to Kohl’s.
Sephora fans’ love of Target may also be related to the question of brand versus price. Sephora favorables align slightly more with Target favorables in prioritizing brand over price.
But, again, higher earners report greater favorability toward both Sephora and Kohl’s so a larger makeup selection with bigger brands might encourage current Kohl’s shoppers to explore higher-end products.
So while Kohl’s may be betting on beauty, will Sephora be the perfect complement? Time will tell but right now the data looks promising.
