Retail

The first batch of Sephora shops opened inside Kohl's. Here's what to expect and where they'll be next

Key Points
  • The first batch of Sephora shops within Kohl's stores debuted on Friday.
  • Both brands are hoping to woo new customers with the partnership, which was announced nine months ago.
  • The goal is to have 400 locations open this year, and at least 850 up-and-running by 2023.
  • The debut comes as Target launches its own partnership with cosmetic retailer Ulta Beauty.
Kohl's CEO Michelle Gass details new in-store partnership with Sephora
VIDEO5:4305:43
Kohl's CEO Michelle Gass details new in-store partnership with Sephora

The first batch of Sephora shops within Kohl's stores debuted on Friday.

Both brands are hoping to woo new customers with the partnership, which was announced nine months ago. On Friday, four Kohl's unveiled the new Sephora-branded beauty departments. Another 73 will roll out on Aug. 20. Ultimately, the goal is to have 400 locations open this year, and at least 850 up-and-running by 2023.

"You're seeing the exact same experience that you would enjoy in any other Sephora environment," said Jean-Andre Rougeot, Sephora CEO of Americas in an interview with CNBC at Kohl's Ramsey, New Jersey, store. "I would say the quality of the store you're seeing, the upscaleness, selectivity, is better than some of our own Sephora stores."

Sephora has around 500 of its 2,600 stores in the Americas.

While it's an accomplishment to go from announcement to launch in less than a year, the delta variant of Covid-19 is causing hot spots to flare up throughout the country and around the world. It's a difficult time to entice consumers to try cosmetics before they buy, which has always been a key differentiator for Sephora.

Source: Kohl's

Plus, there is competitive pressure. Target is launching its partnership with cosmetic retailer Ulta Beauty in August as well with its first 100 shop-in-shops.

Target plans to open 800 Ulta shop-in-shops of around 1,000 square feet over the next several years, offering more than 50 prestige brands. The Ulta shop-in-shops will not replace Target's current cosmetic offering, but add to it.

"Beauty is a big industry, so there's room for lots of players" Michelle Gass, CEO of Kohl's told CNBC in an interview. "That being said, Sephora is the best. I mean, look at the shop: 2,500 square feet, no detail has been spared ... this is bringing premium beauty to the millions of Americans who haven't had the access, the convenience."

For those without a store nearby, select Sephora products will be sold on Kohl's existing website and can be added to customers' carts along with other Kohl's items. Customers will also be able to order Sephora products to pick up at their local Kohl's store whether it features a physical shop-in-shop or not.

The new Sephora locations will replace Kohl's previous beauty selection, and are located just inside the front center of the store. There will be approximately 8,500 products from 125 prestige beauty brands including skincare, haircare and fragrance.

While Gass does expect the Sephora shops to bring in new shoppers to Kohl's, she also said the offering will help bring beauty products to the department store's 65 million existing shoppers, 70% of which are women.

Sephora will span 2,500 square feet within Kohl's.

Source: Kohl's

There will be 125 prestige brands and roughly 8,500 total items sold in each store.

Source: Kohl's

From names like Fenty to clean makeup brands like Ilia and Kosas. Sephora at Kohl's will also highlight new and upcoming brands…

Next Big Thing
Source: Kohl's

as well as the beauty company's best sellers.

Bestsellers
Source: Kohl's

Another 73 locations will open on Aug. 20.

Source: Kohl's

The companies plan to 850 of these shops by 2023.

Source: Kohl's

Here is the full list of where they will be located:

Opened Friday:

Sterling Heights, MI
Woodbury, MN
Ramsey, NJ
Brookfield, WI

Opening on Aug. 20:

Elk Grove, CA
Alameda, CA
Ontario, CA
Redlands, CA
Chino, CA
Lakewood, CA
Seal Beach, CA
Menifee, CA
Murrieta, CA
Lone Tree, CO
Thornton, CO
Aurora, CO
Greeley, CO
Jacksonville, FL
Woodstock, GA
Chicago Ridge, IL
Bourbonnais, IL
Tinley Park, IL |
Woodridge, IL
Rockford, IL
East Peoria, IL
Indianapolis, IN
Clive, IA
Florence, KY
Danvers, MA
West Springfield, MA
Seekonk, MA
Dartmouth, MA
Westland, MI
Roseville, MI
Shelby Township, MI
Lapeer, MI
Walker, MI
Duluth, MN
Apple Valley, MN
Kansas City, MO
Lee's Summit, MO
Watchung, NJ
Paramus, NJ
Clifton, NJ
Turnersville, NJ
Shirley, NY
Jericho, NY
Massapequa Park, NY
Port Chester, NY
East Middletown, NY
Liverpool, NY
Depew, NY
Amherst, NY
Fayetteville, NC
Wilmington, NC
Fargo, ND
Mentor, OH
North Canton, OH
Holland, OH
Grove City, OH
Fairborn, OH
Yukon, OK
Havertown, PA
Harrisburg, PA
Easton, PA
Bethel Park, PA
Pittsburgh, PA
Summerville, SC
Burleson, TX
Woodbridge, VA
Beckley, WV
Menomonee Falls, WI
Janesville, WI
Madison, WI
Ashwaubenon, WI