Ulta Beauty has announced plans to open a 395,000 square-foot regional distribution center in Salt Lake City, Utah in 2027, expanding its supply chain network. Chief Supply Chain Officer Erik Lopez revealed that the new facility will be equipped with AutoStore warehouse technology, designed to enhance operational efficiency.
AutoStore technology provides an automated solution aimed at reducing cost-per-unit, simplifying product flow, and improving productivity across all operations. The Salt Lake City distribution center will service up to 180 stores across the Pacific Northwest and Mountain Plains region, while also supporting e-commerce demand as part of Ulta's omnichannel fulfillment network. "The Salt Lake City facility helps close a key gap in our Northwest network, brings products closer to guests and improves delivery speed for the stores and eCommerce orders it supports by up to one full day," Lopez stated.
The new facility aims to balance growing demand and support the distribution center in Fresno, California with additional capacity. The Utah facility is also set to create more than 400 new jobs in the region. Lopez had detailed plans in 2024 to retrofit distribution centers and adjust the company's U.S. supply chain footprint, and this new center represents a significant component of the retailer's broader supply chain overhaul strategy.
Last month, Ulta CEO Kecia Steelman told analysts that the beauty retailer plans to continue rolling out more automation across its existing facilities. This includes systems and processes investments to drive inventory productivity alongside sales. Steelman emphasized the company's commitment to maintaining operational excellence.
The Salt Lake City facility marks Ulta's eighth distribution center. The company's other distribution centers are located in Chambersburg, Pennsylvania; Bolingbrook, Illinois; Greer, South Carolina; Fresno, California; Dallas; Greenwood, Indiana; and Jacksonville, Florida. The new center will strengthen Ulta's national logistics capacity, supporting the retailer's goals of fast delivery and customer satisfaction.
Key Takeaways:
1. Ulta Beauty will open a 395,000 square-foot regional distribution center in Salt Lake City, Utah in 2027.
2. The facility will be equipped with AutoStore warehouse technology to improve operational efficiency and cost optimization.
3. The new center will service 180 stores across the Pacific Northwest and Mountain Plains region plus e-commerce demand.
4. The Salt Lake City facility will reduce delivery time by up to one full day, bringing products closer to customers.
5. The new distribution center will create over 400 jobs and marks Ulta's eighth distribution facility.
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