Next for Hy-Vee in Minnesota, big convenience stores

The grocery chain looks to challenge gas station stores

Hy-Vee has made a splash in the crowded Twin Cities grocery market since entering two years ago, and is now switching it up with a new store aimed at on-the-go shoppers.

The Iowa-based grocery chain was given approval last week to open up a convenience store at Cedar Avenue South and Dodd Boulevard in Lakeville.

Although a fraction of the size of its regular grocery stores, the new location is being described as a "super-sized" convenience store, which at 8,880 square feet is considerably bigger than other competitors.

While already challenging the likes of Target, Walmart and Cub Foods for a share of the regular grocery market, the Pioneer Press reports the Lakeville convenience store concept sees Hy-Vee take aim at a market dominated by gas station chains like Super America, Holiday and Kwik Trip.

Hy-Vee currently has 16 smaller convenience stores in Minnesota that are typically located next to its larger grocery stores and attached to gas stations, the newspaper notes, but the Lakeville store will be a different beast altogether.

As the plans detail, shoppers can expect a pared-down version of Hy-Vee's produce, dairy and meat departments and Market Grill restaurant, with more emphasis placed on prepared meals for shoppers on the move.

Starbucks will also have a presence in one corner of the store.

At a meeting of the Lakeville City Council, which you can watch here, a Hy-Vee executive told members the store is aimed at people who "live busy lives."

GoMN's Tip Jar column has compared the cost of shopping at Twin Cities grocery stores, which you can read here.

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