Business Model Prototype

A proposed new business model for Ulta Beauty will take the beauty store service to a virtual platform. The Ulta loyalists can discover a new way to find the best makeup trends and use the products with a makeup artist online. Customers can schedule one-on-one video calls or group calls with specific usage of hair tools and accessories.

The new model shifts the store locations’ focus to a virtual platform where Ulta Beauty brands continue to reach consumers. The business model looks at social media platforms and analysis and online strategies to target online shoppers.

Ulta Beauty’s Balance Sheet is an indicator that cash is being spent on inventory that is not moving fast enough. Overhead expenses outweigh the sales profits and, as a result, the shareholder’s equity is in the negative.

Data Retrieved from Yahoo

Using a data analytics tool like Microsoft Power BI, can support the changes needed for Ulta Beauty to boost sales. The diagram relays the challenges of inventory ratio to debt. A quarterly analysis can help with inventory control and management distribution.


The Cost Analysis for inventory management will include downsizing of personnel. However, tools for inventory maintenance and analytics with training are added costs to support the movement of products and cash flow turnaround.

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