Ulta Beauty Leverages AI Personalization to Drive Loyalty and Relevance

Chief Marketing Officer Kelly Mahoney discusses how the beauty retailer's data-driven approach powers growth and innovation.

Published on Feb. 24, 2026

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In this episode of The Speed of Culture podcast, Ulta Beauty CMO Kelly Mahoney unpacks how the company's loyalty program and personalization engine drive nearly all sales. She explains how Ulta Beauty has evolved its beauty and wellness retail strategy, moving away from traditional demographics toward motivation-based marketing segmentation powered by AI-driven insights. Mahoney also discusses Ulta Beauty's global expansion plans and the role of technology, including Adobe's CDP and creative automation tools, in supporting the brand's marketing at scale.

Why it matters

Ulta Beauty's focus on leveraging data and AI to deliver personalized experiences highlights the growing importance of technology in the beauty and wellness retail industry. By building a robust loyalty program and personalization capabilities, Ulta Beauty has gained a competitive advantage, driving nearly all of its sales through these data-driven initiatives. The company's approach serves as a model for how modern, tech-forward brands can use innovation to deepen customer relationships and stay relevant.

The details

Ulta Beauty's loyalty program, which has over 46 million members, generates approximately 95% of the company's sales. This data-rich ecosystem allows Ulta Beauty to listen, learn, and respond to customer behavior in real-time, powering personalized recommendations and experiences. The company has also evolved its marketing approach, moving away from traditional demographic segmentation toward motivation-based targeting that focuses on how customers actually behave and what drives their purchasing decisions. Ulta Beauty's use of Adobe's customer data platform and creative automation tools further supports its ability to deliver personalized content and experiences at scale.

  • Ulta Beauty formally expanded into the wellness category in 2021.
  • Ulta Beauty's loyalty program has grown to over 46 million members as of 2026.

The players

Kelly Mahoney

Chief Marketing Officer at Ulta Beauty, with over 20 years of experience in marketing and strategy. She has been a key driver of Ulta Beauty's personalization and growth engine, previously serving as SVP of customer and growth marketing.

Ulta Beauty

A leading beauty and wellness retailer that has built a robust loyalty program and personalization capabilities to drive nearly all of its sales.

Adobe

The technology company that provides Ulta Beauty with its customer data platform and creative automation tools, supporting the retailer's marketing efforts at scale.

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What they’re saying

“Kelly makes the case that Ulta Beauty's presence at CES reflects how modern, tech-forward beauty and wellness brands grow today. At Ulta Beauty, the Ulta Beauty Rewards loyalty program is the engine behind its data advantage – powering personalization at scale and elevating the guest experience.”

— Matt Britton, Host, The Speed of Culture podcast (adweek.com)

“Wellness has shifted from a category to a mindset, reshaping how people define beauty, self-care, and daily routines. Ulta Beauty recognized this early, formally expanding into the space in 2021 and evolving the initiative into Wellness by Ulta Beauty – an immersive, education-led platform designed to guide guests through every step of their wellness journey.”

— Kelly Mahoney, Chief Marketing Officer, Ulta Beauty (adweek.com)

What’s next

Ulta Beauty plans to continue expanding globally, with upcoming launches in the UK, Mexico, Kuwait, and the UAE.

The takeaway

Ulta Beauty's data-driven approach to personalization and loyalty has become a key competitive advantage, allowing the company to deliver highly relevant experiences that drive nearly all of its sales. This model demonstrates how modern, tech-forward brands can leverage innovation to deepen customer relationships and stay ahead in the evolving beauty and wellness retail landscape.