Ulta 2013 Annual Report Download - page 7

FORWARD LOOKING STATEMENTS
This Annual Report on Form 10-K contains forward-looking statements within the meaning of Section 21E of the
Securities Exchange Act of 1934, as amended, and the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995, which reflect our current views with respect to, among other things, future events and financial
performance. You can identify these forward-looking statements by the use of forward-looking words such as
“outlook,” “believes,” “expects,” “plans,” “estimates,” or other comparable words. Any forward-looking statements
contained in this Form 10-K are based upon our historical performance and on current plans, estimates and
expectations. The inclusion of this forward-looking information should not be regarded as a representation by us or any
other person that the future plans, estimates or expectations contemplated by us will be achieved. Such forward-
looking statements are subject to various risks and uncertainties, which include, without limitation: the impact of
weakness in the economy; changes in the overall level of consumer spending; changes in the wholesale cost of our
products; the possibility that we may be unable to compete effectively in our highly competitive markets; the
possibility that our continued opening of new stores could strain our resources and have a material adverse effect on
our business and financial performance; the possibility that new store openings and existing locations may be impacted
by developer or co-tenant issues; the possibility that the capacity of our distribution and order fulfillment infrastructure
may not be adequate to support our recent growth and expected future growth plans; the possibility of material
disruptions to our information systems; weather conditions that could negatively impact sales; our ability to attract and
retain key executive personnel; our ability to successfully execute and implement our common stock repurchase
program; our ability to sustain our growth plans and successfully develop and implement our long-range strategic and
financial plan; and other risk factors detailed in our public filings with the Securities and Exchange Commission (the
“SEC”), including risk factors contained in Item 1A, “Risk Factors” of this Annual Report on Form 10-K for the year
ended February 1, 2014. We assume no obligation to update any forward-looking statements as a result of new
information, future events or developments. References in the following discussion to “we”, “us”, “our”, “the
Company”, “Ulta”, “Ulta Beauty” and similar references mean Ulta Salon, Cosmetics & Fragrance, Inc. and its
consolidated subsidiary, Ulta Inc. unless otherwise expressly stated or the context otherwise requires.
Part I
Item 1. Business
Overview
Ulta Beauty (or Ulta, we, the Company) is the largest beauty retailer that provides one-stop shopping for prestige,
mass and salon products and salon services in the United States. We focus on providing affordable indulgence to
our customers by combining unmatched product breadth, value and convenience with the distinctive environment
and experience of a specialty retailer. Key aspects of our business include:
One-Stop Shopping. Our customers can satisfy all of their beauty needs at Ulta. We offer a unique
combination of more than 20,000 prestige and mass beauty products organized by category in a bright, open
store environment. The beauty products are arranged in self-service displays and full-service boutiques in a
way that encourages our customers to enjoy discovering new products and services. We believe we offer the
widest selection of categories across prestige and mass cosmetics, fragrance, haircare, skincare, bath and
body products and salon styling tools. We also offer a full-service salon and a wide range of salon haircare
products in all of our stores.
Our Value Proposition. We believe our focus on delivering a compelling value proposition to our
customers across all of our product categories drives customer loyalty. We offer frequent promotions and
coupons, in store events, gift-with-purchase offers, a comprehensive customer loyalty program and targeted
promotions through our Customer Relationship Management platform (CRM).
An Off-Mall Location. Our stores are predominantly located in convenient, high-traffic locations such as
power centers. Our typical store is approximately 10,000 square feet, including approximately 950 square
feet dedicated to our full-service salon. Our store design, fixtures and open layout provide the flexibility to
respond to consumer trends and changes in our merchandising strategy.
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