Supermarket of the future: a look at the next generation Hy-Vee - KSFY News - Sioux Falls, SD News, Weather, Sports

Supermarket of the future: a look at the next generation Hy-Vee

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It is considered the supermarket of the future.

Hy-Vee is increasing the size of its stores to keep up with new customer demands for grocery and retail.

Meet the next-generation Hy-Vee: the prototype and first of its kind in Urbandale, Iowa. All 96,000 square feet of it, with just about everything you need.

"It combines a lot of the features we have in Hy-Vee already but puts a new twist on them. Particularly in the area of fresh, convenience, service-oriented, in-store restaurant, bar and grill," Hy-Vee, Inc. Assistant VP Media Relations Ruth Comer said.

As Hy-Vee executive Ruth Comer explains, retail is evolving and stores need updates now more than ever to meet demands and needs of customers.

"You have to reinvent stores to keep up with customer demand. People are all about what's new, what's latest. Technology has made us that way, making us want the latest and greatest. That translates to retail," Comer said.

Stores similar are going up in a number of urban cities across the Midwest. As Sioux Falls grows, so to are the chances of getting our very own.

"This would definitely be the type of store that would come to Sioux Falls. We have invested a lot in opening new stores to Sioux Falls and upgrading current stores. The next step on the horizon is a store much like this one," Comer said.

But with two additional Walmarts ahead in Sioux Falls, there's no question competition is heating up.

"We're very committed to competing with Walmart as far as price, selection, availability, convenience. We attack on a number of different fronts so while there are a lot of retailers out there, we compete with all of them on different aspects of the business," Comer said.

Lawrence & Schiller marketing expert Mark Glissendorf also weighs in.

"If you want to take a lot of market share from your competition, rather than making a small shift, you have to make a giant change," Mark Glissendorf said.

You might be thinking, with a store as big, how are they ever going to keep prices low? Well, we learned that even with a store as big as this one, with its higher volume, it has the ability to keep prices low so they're affordable for everyone.

"You can have a nice store with upscale features, and yet be very competitive and aggressive on price," Comer said.

Not only a larger and more affordable, but shoppers say ''comfortable''.  

"It seems larger on the outside but once you get inside, it's got a very homey feeling. They do a great job packing everything they have in but making it easy to get to," Shopper Brian Vaughan said.

As Sioux Falls grows and development explodes, an all-in-one Hy-Vee could soon be the way of the future.

"Before long, Sioux falls will see a supermarket like this one in Urbandale and others we're building," Comer said.

The Urbandale store is the first of its kind built in August, 2012. Since, two more have been built and nearly 10 more are in the works in states like Kansas, Wisconsin and Illinois.

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