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Hy-Vee Opens Smaller Format Store

The grocery chain is tapping into the trend of large retail chains going from big footprints to smaller square footage.
April 14, 2014

​SIOUX CITY, Iowa – Last week grocery chain Hy-Vee opened up its new Hy-Vee Mainstreet store, a relatively smaller store — 14,000 square feet — compared to its typical 70,000 to 80,000 square-foot stores.

RetailSolutionsOnline.com writes that Hy-Vee Mainstreet wants to insert itself in a location where shoppers are out and about — largely walking — on a daily basis. And to accommodate a much smaller space, the retailer is limiting types and amounts of products on store shelves to those that are most relevant for consumers in that market.

"In one of [the larger] stores, we may have 40 kinds of hamburger helper, [in the smaller stores] we have 10. Or, instead of having four different types and styles of bananas, we have two. We have pretty much everything those stores have, but we don't have as many varieties,” said Tim Stupka, assistant vice president of operations for Hy-Vee’s northern district.

The Sioux City Journal reports that Hy-Vee has three other Mainstreet concept stores, which are designed to accommodate customers who walk from nearby homes to shop. The latest store is Hy-Vee's first Mainstreet build from the ground up, and will serve as a prototype for future stores.

The new store also features a new amenity called the Mainstreet Grill, a café that seats up to 38 people and serves breakfast, lunch and dinner.

"Everything is made fresh to order," Darin Turner, store director, told the newspaper, adding that all menu items are available at any time of the day.

"It's a hometown grocery store feel with all the amenities," Turner said.