The competition among three of the largest U.S. retailers—Walmart (WMT), Target (TGT), and Amazon (AMZN)—has intensified as they seek to capture the attention and spending of consumers amidst rising inflation. In the first quarter of the year, each of these retail giants made significant moves to bolster their offerings and attract customers.
Amazon, known for its aggressive promotional strategies, hosted its Big Spring Sale from March 20-25. During this event, both Prime members and nonmembers were treated to discounts on thousands of items, drawing attention to the platform’s diverse product range. This marked Amazon’s third major promotional event within a year, following the success of Prime Days during the summer and Prime Big Deal Days in October 2023, which saw record-breaking sales figures.
Meanwhile, Walmart adopted a different approach by focusing on expanding its assortment of brands. The retail giant announced an exclusive partnership with Parisian beauty conglomerate L’Oreal, introducing the L’Oreal Paris Elvive Hyaluron + Plump haircare line. This collection aligns with a growing trend in scalp skincare and balance, which has gained popularity on platforms like TikTok. Additionally, Walmart introduced two new oral-care brands, Plus Ultra and Zimba, both of which prioritize sustainability and cater to environmentally conscious consumers seeking self-care products.
Target, renowned for its diverse portfolio of in-house brands, introduced Dealworthy—a new line offering affordably priced household essentials, clothing, accessories, personal care items, and cleaning supplies. This launch complemented Target’s ongoing efforts to expand its flagship Up&Up brand, with the addition or refresh of approximately 2,000 products. These moves underscore Target’s commitment to providing customers with value-driven options across various product categories.
Walmart invests in a growing area
The beauty industry continues to be a focal point for retailers, with promotions and strategic initiatives targeting this growing space. Retail giants like Amazon, Target, and Walmart are all investing heavily in beauty products to cater to consumer demand for skincare, cosmetics, and haircare items.
Amazon’s success in the beauty category is evident through its top-selling products, which include popular Korean facial serums, acne spot treatments, and specialty hair brushes. Target is also prioritizing its personal-care products, and the retailer is bolstering its offerings by expanding its in-store mini-Ulta locations, capitalizing on the popularity of the beauty retailer. Similarly, Walmart has been adding trending personal-care and cosmetics brands to its portfolio, demonstrating a commitment to capturing a larger share of the beauty market.
Now, Walmart is further solidifying its presence in the beauty space with the launch of its Walmart Start beauty-brand accelerator program. This initiative provides creators and founders in the beauty industry with resources, mentorship, and networking opportunities facilitated by Walmart. Successful participants may even have the chance to launch their own product lines at Walmart stores. The program’s second class includes promising brands such as Current State, LatinUS, Kazmaleje, and Sundae Body, each offering innovative skincare, haircare, and body-care solutions.
Walmart is also reviving its Beauty Glow Up savings event, running from late March to April 28. This extended sales period focuses on beauty and cosmetics products, which typically have higher profit margins, allowing customers to access discounts and promotions on a wide range of beauty items.
Additionally, other major beauty retailers like Sephora and Ulta are also gearing up for their own savings events in 2024. Sephora is slated to host its Savings Event in early April, while Ulta’s Spring Haul is scheduled for late April. These events further highlight the competitive landscape within the beauty industry and the importance of attracting and retaining customers through promotions and special offers. As retailers continue to invest in the beauty space, consumers can expect to see an even wider array of products and deals available across various platforms and stores.