A “New Age” Dawns for IndyCar with the Hybrid, big news from team owner Bobby Rahal and Hy-Vee Vice President of Sports Marketing Matt Nickell

ROGER:

This is Roger Penske and you're listening to Pit Pass Indie, sponsored by Penske Truck Rental.

BRUCE:

IndyCar fans, it's time to start your engines. Welcome to Pit Pass Indy, a production of Evergreen Podcast. I'm your host, Bruce Martin, a journalist who regularly covers the NTT IndyCar Series. Our goal at Pit Pass Indy is to give racing fans and insiders view of the exciting world of the NTT IndyCar Series in a fast-paced podcast featuring interviews with the biggest names in the sport. I bring nearly 40 years of experience covering IndyCar and NASCAR, working for such media brands as NBCSports.com, SI.com, ESPN Sports Ticker, Sports Illustrated, Auto Week and Speed Sport. So let's drop the green flag on this episode of Pit Pass Indy. Welcome to Pit Pass Indy presented by Penske Truck Rental and Hy-Vee as we continue our fourth season of giving IndyCar fans a behind-the-scenes look at the NTT IndyCar Series and the drivers and teams that compete in the Indianapolis 500. Our friends from Hy-Vee have returned as Penske Truck Rental shares the show and the big build-up to the Hy-Vee IndyCar race weekend at Iowa Speedway, July 12th through July 14th. This year's schedule includes a night race at Iowa Speedway on Saturday, July 13th, with another full race scheduled for Sunday, July 14th. Four of the biggest names in entertainment will perform before and after each race, including Luke Combs, Eric Church, Kelsey Bellarini, and Post Malone. For Malone, it will be the first time the famed entertainer has performed in Central Iowa. It promises to once again be the biggest racing weekend of the summer for IndyCar because of the big event stature and the debut of the hybrid assist unit for the first time in oval competition. The hybrid will increase the horsepower along with the speeds and give the drivers another tool to work with in competition. A new age dawns for IndyCars. The hybrid engine era begins this weekend at the Honda Indy 200 at Mid-Ohio. The hybrid assist combined with the push-to-pass system will give each driver an additional 120 plus horsepower in the Honda and Chevrolet engines. Honda helped develop the ultra-capacitor energy storage system, and Chevrolet Elmore helped develop the motor generator unit. Elmore will assemble and distribute the combined package to teams. Both units combined fit inside the bell housing located between the current internal combustion engine and the gearbox. It will be the first time an IndyCar engine will include a form of electrification as power is stored in the ESS and the additional horsepower is deployed through the same motor generator on driver demand. Regeneration options include automatic through braking or throttle positions, or manually with steering wheel paddles or buttons. On Tuesday, July 2nd, there was some breaking news as Aero McLaren announced one of its drivers, Alexander Rossi, will leave the team at the end of the 2024 IndyCar season. He will be replaced by Christian Lundgaard, currently the driver of the No. 45 Hy-Vee Honda at Rahal Letterman Lanigan Racing. I caught up with team owner Bobby Rayall to get his thoughts on IndyCar's new age, the debut of the hybrid engine at MidOhio, and the breaking news involving his driver, Christian Lundgaard, departing for Errol McLaren next season in this exclusive interview for PitPass Indy. Joining us now on Pit Pass Indy is Bobby Rahal, the co-owner of Rahal Letterman Lanigan Racing. Bobby, we're getting ready to head to one of your favorite tracks, the Mid-Ohio Sports Car Course. So much of your history and so many great successes have happened to you there. How excited are you that we're going back to Mid-Ohio and this is going to be the first time we try the hybrid assist unit?

BOBBY:

Well, I'm very excited. Of course, I love going to Mid-Ohio. As you say, I had a lot of success there. It was really like my home track in a lot of respects. Great crowds, you know, just a great place to be, especially on the July 4th weekend. And, you know, I think it's going to be interesting. I mean, first off, the track has been completely repaved, so it's going to be fast anyway. And of course, with the hybrid, it should be it should uh clearly the lap record's gonna fall i would say that's that's a i think that's a given it's just gonna be a matter of how much and uh so yeah i think it's gonna be a very exciting weekend

BRUCE:

So much time and effort and money has been invested into this hybrid program. For you as a team owner, probably been a pretty expensive project, an expensive project for Honda and for Chevrolet and for IndyCar. But when you look at it, how necessary do you believe it is that IndyCar move in hybrid technology? Because it seems that every car that you go to the dealership now has some type of hybrid in it or electrification.

BOBBY:

Well, I think it's, um, you know, I think it's important, uh, for sure, because I think it is relevant, you know, to what's going on in the, in the automotive world today. Um, as you say, just about every manufacturer is offering, you know, hybrid powered, uh, automobiles and trucks. And, and so, um, you know, it, I think that's important and it's important for us to, I mean, we've always been very green because we've been methanol or ethanol prior to, you know, the fuel that we have today, the E85. But, you know, it's a new technology for IndyCar. IndyCar has always been known for being at the technological edge. You know, this is a different different way of gaining or I guess creating the kind of advantage that we get from hybrids. We don't have a huge battery in the car that is storing up a lot of energy. From an engineering sense, it's really beautifully packaged within the bell housing, so it's not apparent to the naked eye. It's kind of hidden from sight, but it's really cool. And I think you know it's going to produce more power and that's what we've always wanted to do the last say 10 years we've always everyone's talked about having more power in IndyCars and we've got that now.

BRUCE:

Talking to your three drivers at the beginning of the season after it was announced that IndyCar was going to delay the hybrid assist package until mid-season, they all wanted to see it get delayed till 2025. From a team owner's standpoint, are you glad that it's rolling out mid-season, or would you have rather waited than everybody have a fresh start next season?

BOBBY:

Well, I mean, the only thing that bothered me with this whole thing was that, you know, some teams have been able to develop the hybrid system, but there are various manufacturers, you know, Ganassi with Honda, Penske with Chevrolet. And then the other teams were able to experience it in much more confined and restricted scenarios. Fewer and fewer days were afforded many of the teams, including our own. So I wasn't happy about that. But I think having driven it now, having tested with it on a couple of occasions, I think we have a pretty good feel for what You know what we have to do how we should operate the system and of course it will be The benefits of it will be different on a road course versus an oval track the oval tracks The benefits won't be as great because you're you're not breaking and you're not coasting as much as you say you are For example on a road course so But you know, i'm glad we've got we're finally getting going whether we bought all the components in order to have this system you know, late last year and early this year, so at least we're using it. And I think that, you know, I think the spectators are, you know, the fans of IndyCar, I think, like it because it is something new and it is a new challenge. And it's also a challenge for the drivers because they're the ones who activate the hybrid it's not like it's uh electronically activated you know through the computer so it's going to be a it's going to be another challenge for the drivers for sure and some people will be better at it than others.

BRUCE:

Do you think that MET Ohio is a perfect track to debut it because there are so many twists and turns and braking areas?

BOBBY:

Yeah, I think so. Yes, I do. I think Mid-Ohio will be a good test for it. I think certainly it would have been great to see the system at Road America with its long straightaways. It really would have been obvious then the benefits of the hybrid, but it wasn't ready for Road America, and it's ready for Mid-Ohio, and here we are. So let's just get on with it and get going.

BRUCE:

So much of your racing history has been tied to Mid-Ohio. You drove for Jim Truman, who owned Mid-Ohio for many years. You probably ran millions of miles of test laps around that place earlier in your career. What's it like for Bobby Rahal, or for any Rahal, when they show up at the Mid-Ohio sports car courses? Is it almost like going back to the high school you went to? Going back to the house you grew up in?

BOBBY:

What's it like? Yeah, it is kind of like that. You know, I, I won, uh, a couple of races there, you know, three IndyCar races, uh, you know, one, um, uh, two, my two Iraq wins were at middle Ohio. Um, you know, SCCA races I won there. So, I mean, obviously a lot of success at that place. And, um, you know, I just always thought it was a tremendously challenging circuit. And of course, you know, not too long ago, Graham won there in the IndyCar race. So, Yeah, I'm in Ohio. You know, I first started going to the track with my dad when he raced there back in the 60s. So, yeah, coming to going to mid Ohio is like going back to your old high school or your old neighborhood.

BRUCE:

Now, when we set up this interview originally, I didn't think I was going to have to ask you any driver questions, but earlier today it was announced that one of your drivers, Christian Lungard, is going to be leaving the team at the end of the season and going over to Errol McLaren. It seems that half the field at one point or another has signed a contract to race at Errol McLaren, but Christian's the latest one. I know you had a lot invested in him and a lot of high hopes to keep him on the team. What's your reaction to him moving on?

BOBBY:

Well, I'm, you know, naturally I'm disappointed. Um, you know, I, I'm most disappointed about is, is obviously Christian doesn't think that, uh, that, um, you know, that, you know, we can win together, which we've already done and on a regular basis. And, uh, you know, we won more races than McLaren did last year. So I'm not sure that I'm not sure the, the, the, the, the logic, um, uh, with it all, but, You know, this is not the first time this has happened. It's not the last time it's happened. It'll happen. Drivers make changes, you know, they always think the grass is going to be greener somewhere else and very rarely is it. I mean, I think I have to do this like in Marcus Ericcson this year and I'm sure that he's questioning why he made the change. But we certainly don't wish him ill, we wish Christian success. But obviously, we're focused on winning a lot of races both this year and next year. And there's a lot of good guys that have already given us a ring, but talking about taking his place. So, you know, we're going to be just fine. We're going to have a driver of equal or better talent. And, um, you know, we'll just, uh, see how it all plays out in, in 2025. But in the meantime, we've got a bunch of, we got nine races to win yet to run yet this year. So there's a lot of season left. And, um, so hopefully we can collectively, uh, win our fair share in those next nine races.

BRUCE:

One of those nine races, of course, is the Hy-Vee IndyCar Race Weekend at Iowa Speedway. Hy-Vee is the sponsor of Christian Lungard's car, the number 45 Honda. His face is all over the Hy-Vee stores, all over throughout their chain in eight states, now nine states with the addition of a couple of supermarkets in Northwestern Indiana. But there's still a lot that you can do. And how big of a weekend is that even after this announcement for Christian, for yourself, and for Hy-Vee heading to Iowa next weekend?

BOBBY:

Well, I mean, you know, Hy-Vee was our sponsor prior to Christian coming. So, you know, we have a great relationship with Hy-Vee and, you know, we're doing everything we can to make sure it's a successful weekend for them. Graham had a really strong test in Iowa, as did Pietro, frankly, last week. So, you know, I think we can be competitive there and, you know, there's no question about it. We're going to do whatever we can to ensure that Hy-Vee is not just in Victory Circle, but that all the other activities that surround the event, that they're pleased and they're happy with what they see. And so, you know, and I do believe that Christian's gonna try to win the race for Hy-Vee there. So it's, you know, it's kind of a shame that this announcement came out so early in the year, but it's out and, you know, we'll collectively, we have to do our best in 24. And then, as I say, apart for 25, we'll individually do our best as well.

BRUCE:

Would you consider moving the Hy-Vee sponsorship in 2025 over to Graham since he has a long history and helped bring that sponsorship to IndyCar back in 2020?

BOBBY:

Well, I mean, I think, you know, given the news, you know, there's certainly lots of discussions going on about, but let it might look for 25 and beyond, you know, and we're having meetings in the next few weeks. So, you know, it's, we'll see what happens, but we look forward to a continuing long relationship with Ivy.

BRUCE:

Does this open the door for a Yuri Vips or are you now in the running for Alexander Rossi?

BOBBY:

Well, I mean, I think, you know, Yuri is a heck of a race car driver and, He's been very loyal to us, he's done a lot of good work for us in the simulators. We like Yuri a lot and he clearly has to be one of the main guys that we're considering. I think we owe Yuri a little bit in terms of giving him an opportunity because of his loyalty and hard work on our behalf. So I would say that Yuri is certainly one of the top candidates And again, we'll just see how things play out. But, you know, I like Yuri both as a person and he's a heck of a driver. And so, you know, we'll see.

BRUCE:

Is Alexander Rossi under consideration or do you see him now being the biggest name free agent out there for other teams to pursue?

BOBBY:

No, I mean, I mean, I'm sure everybody's pursuing Alex. Certainly we've had discussions with with his management and I like Alex a lot, he's a heck of a race car driver. So obviously we want to ensure that we have strong drivers in there and Alex is one of them. But it's really been just a little bit of talk and that's about it. But there's been, as you might imagine, my phone's blown up today with all kinds of calls from Europe. from, one, a current Formula One driver, a bunch of Formula Two drivers all asking about the situation. So it's gonna take some time, I think, to determine the specific direction we're gonna go. But clearly, our commitment to our team and to our sponsors is have the best drivers possible in our cars, and that's what we're going to do.

BRUCE:

Speaking of the best drivers in your cars, you've got probably the best sponsor in IndyCar on one of them, Hy-Vee. When they get involved with a project, they're all in, and they've proven that the last couple of years with the Hy-Vee IndyCar Race Weekend at Iowa Speedway. This will be the third year of the Hy-Vee IndyCar Race Weekend at Iowa Speedway. Huge entertainment lineup, Post Malone, Kelsey Bellarini, all kinds of great names coming out there to perform, but obviously the biggest stars are the drivers on the track in the NTT IndyCar Series. When you look back at being, at how Hy-Vee started with your team to what it's become for IndyCar, how proud of you are that? And where do you see even bigger things for them down the road?

BOBBY:

Well, I mean, you know, let's face it, they've already announced that they're gonna be sponsoring the Milwaukee races. as they're expanding into the Midwest here and Indiana and of course Wisconsin and Tennessee and Nashville area. I mean, their expansion is moving forward in a very aggressive way. I mean, this is a great company. And like you said, just how they've approached the Iowa Grand Prix, that's how they approach everything they do. There's no question that the best promoted race, the best promoters, the best sponsors of any race on our circuit is the Hy-Vee Iowa Oval Races. And I think we'll see the same thing happen in Milwaukee and other places. Maybe not quite to the same extent, but But, you know, Hy-Vee, when Hy-Vee decides to do something, they do it. And it's really, I wish all of our promoters went to the Iowa race just to see how it really should be done.

BRUCE:

You live down in Florida now, and Publix is a big chain down there. Do you look at Hy-Vee as kind of the Publix of the greater Midwest? Because both of them really put an emphasis on the quality and customer service of their stores.

BOBBY:

Well, I know Randy Itaker, who's the retiring CEO of Hy-Vee, knows the CEO at Publix very well. And he has nothing to say but good things about Publix. Certainly, being in Florida, you can't help but shop at Publix. They're everywhere. But Hy-Vee stores are different. And frankly, it's an experience going to a Hy-Vee store That's why they're so successful, frankly. I think it's, they're more than just a grocery store. And so it's, as you say, Publix is trying to echo that. But clearly, Hy-Vee is something special, as I said. And I wish we could get some Hy-Vees in Florida, in our neighborhood at least.

BRUCE:

Bud Denker, the president of the Penske Corporation, who's a key promoter of the Hy-Vee IndyCar race weekend at Iowa Speedway, said ticket sales are up 22% and 21% for the two races. He thought that having a NASCAR Xfinity Series race and a NASCAR Cup Series race out there a month before the Hy-Vee IndyCar race weekend at Iowa Speedway might dilute the crowd a little bit, but he said, we're seeing the opposite. Do you think the fact that Here was a race at Iowa Speedway a month before the IndyCar race only increased the desire of race fans to go out there in July.

BOBBY:

Well, I certainly hope that, as you say, the ticket sales are up 20, 22%. That's a lot of people. And so that's good news. And hopefully the weather will cooperate and you'll get a lot of walkup because a lot of people just wait till the day of the race to go or not. But yeah, I mean, I'm pleased that it seems that the NASCAR race did not have a negative effect on our crowd. And I think when people come watch the IndyCars go around that little track compared to the stock cars, I think they're gonna be pretty impressed by the difference. So yeah, I mean, I just, I'm glad that we're gonna go out there. It's gonna be two great days. As you said, great entertainment for the fans. and bull ring racing like you've never seen before. And this year, they're already a second a lap faster than the qualifying time from last year. And that doesn't sound like much a second, but on a 17 second lap track, that's a lot. And so these cars are going faster than ever. And so it's going to be pretty exciting.

BRUCE:

Well, Bobby Rayl, you've always been a straight shooter every time I've talked to you. And, you know, thank you for joining us on a very busy day when the announcement was made that Christian Lungard was going to be going over to Errol McLaren. But good luck. with the hybrid debut this week in the Honda Indy 200 at Mid-Ohio. And good luck with next week's Hy-Vee IndyCar Race Weekend at Iowa Speedway. And good luck the rest of the season in IndyCar. And thank you for joining us today on Pit Pass Indy presented by Hy-Vee.

BOBBY:

My pleasure, Bruce. Always good speaking with you.

BRUCE:

We'll be right back to Pit Pass Indy after this short break.

JOSEF:

Hey, everyone, this is two time Indy 500 winner Josef Newgarden, and you're listening to Pit Pass Indy presented by Penske Truck Rental.

BRUCE:

Welcome back to Pit Pass Indy. The big weekend is almost here. It's time for the Hy-Vee IndyCar Race Weekend at Iowa Speedway, July 12th through July 14th. Our next guest is heavily involved with the plans and promotion for that big event, as well as other great initiatives at Hy-Vee. It's Matt Nichol, Hy-Vee Vice President of Sports Marketing, who gives us a detailed and behind-the-scenes look at Hy-Vee's involvement in IndyCar, the National Football League, and major colleges and universities in the greater Midwest in this exclusive interview for PitPass Indy presented by Hy-Vee. Joining us now on Pit Pass Indy presented by Penske Truck Rental and Hy-Vee is Matt Nichol, Vice President of Sports Marketing for Hy-Vee. Matt, the big Hy-Vee IndyCar race weekend at Iowa Speedway is coming up. There's a lot of plans underway. There's a lot of plans and construction underway going on out at Iowa Speedway. That's the biggest IndyCar race of the summer. How big of a tentpole event is that for Hy-Vee?

MATT:

Well, obviously we're really excited about our Hy-Vee IndyCar race weekend. at the Iowa Speedway, and it's a massive event for Hy-Vee. We're a wonderful company with a lot of great employees, and really everyone comes together to be able to pull this off. And so for us, we love it for the IndyCar fans and for their tour, and it's also great for our company to be able to all come together and pull off an amazing event with IndyCar.

BRUCE:

Also, is it a rallying point for all the Hy-Vee stores, especially in the state of Iowa, to get behind one big promotion?

MATT:

Yeah, definitely. That was one of the great things with IndyCar, not even just the Iowa stores, really every store with us getting into a sponsorship with IndyCar and having a race is it really gives us a essential theme for all of our stores throughout our company to be able to have one main thing to push through the summer months to gain some excitement for our customers, our fans, and have deals and really promote and advertise around that.

BRUCE:

And when you see how far Hy-Vee has come with IndyCar since it first appeared as a car sponsor on Rahal Letterman Lanigan's Graham Rahal's car in 2020, a race that was limited 7,000 spectators because of the COVID pandemic back then, To see how that went from a single car sponsorship to this relationship and partnership with IndyCar in a short period of time, just four years, how remarkable is that?

MATT:

Yeah, it's been pretty crazy. I've actually been along the ride for all of it, so it's been really fun and exciting for me getting to learn the sport and be involved with it. And you're right, you said back in COVID when we had This sponsorship on Graham's car was really the first time that we had anything, and he did well and put us on the podium there. And then, you know, the next year we got into a few more races and then really went to the full season, obviously, and then added this wonderful event out at the Iowa Speedway in 2022. So it's been great for the company. A lot of cool things and experiences we've got to have as a company because of this. And, you know, it's always fun to turn on the TV and see your brand being recognized nationally throughout the whole season.

BRUCE:

Once you tried IndyCar back in 2020 with that doubleheader race at Iowa Speedway, which was basically a doubleheader that was held in order for IndyCar to reach 14 races that season, it was, we tend to forget about a lot of the hardships that came along in 2020 because of the COVID pandemic. But the story that I was always told by Randy Edeker, your former CEO at Hy-Vee is when the word got out that Hy-Vee was sponsoring a car, a lot of your suppliers and vendors that sell their products at Hy-Vee stores were really enthused and got behind the program. And if you could describe how all that blossomed.

MATT:

Yeah. I mean, really the biggest case to show you on that would be having Mountain Dew Zero and Gatorade on the car as a main focal point with Hy-Vee. Each of the three years we've been in them with the full season. And so, you know, that was one big vendor with PepsiCo coming on board and really supporting this and a good opportunity for their brand as well. But really, yeah, we're in a unique position with our business to work with a lot of CPG companies. And, and obviously there was opportunities with different races to have their brand on our car at different times. And also with our race, we've had great support from all of our vendors to come out and have signage and branding at the track to have hospitality for their clients. So from that standpoint, it's been absolutely great.

BRUCE:

And to be able to share that experience with the vendors, with the suppliers and everybody that customers that come into Hy-Vee stores expect to find, they do a lot of other activation around IndyCar. How important is that?

MATT:

Well, that's really important, right? And so we've done a lot of activation in store with our vendors. And so at the end of the day, right, we're a business and we need to drive people in there and have our customers excited for what our store looks like and the deals that we have. And so that's been a great thing. We've been able to tie with our vendors with this.

BRUCE:

The last couple of weeks, I've had interviews with Michael Montrey, the president of the Hy-Vee IndyCar Race Weekend at Iowa Speedway and others to talk about the promotion that's going on, some of the changes that's going to happen. I've spoken with Bud Denker, the president of the Penske Corporation. What are some of the things that will be different about this year's race from last year?

MATT:

Yeah. I mean, a lot of the field, you know, would feel very similar to what we've had in the past. We did have the big pit lane sweeps down last year and we've taken those back a little bit and just have the tweets and turn one and turn four. Some of that becomes with, with sightlines and looking at the whole logistics and layout there, we decided not to have that this year. So that would be the big difference is you're in the stands looking down, there's not the structure down in pit lane of those suites. So that will make it feel a little bit different. Other than that, you know, the concourse activation will be very similar. We have a lot of the same vendors. We're excited for the outside feel of it, though. some of our military partners coming in and doing some fun activations and the red bull will be there with some great activation. So that will be really cool. And then obviously you're getting two very exciting, impactful races on Saturday and Sunday with the IndyCar races. And then obviously our, our talent with music is, you know, we're excited every year. It just seems to keep getting better and better with the talent.

BRUCE:

Those of us who are on the inside of the track, the paddock area, the garage area, we look right over at the grandstands and a lot of us are completely unaware of everything that's going on in the fan midway. If you could give a rundown of all the other activities and things that go on here, because I know there's an awful lot that is set up back there, autograph sessions, things of that nature.

MATT:

Yeah, we're still finalizing some of those plans for this year, but you're right. We really try to make that midway that concourse area a lot of fun. And so with our own partnership with Gatorade, we'll have a big semi with some Gatorade giveaway out there. We have our Kids Fit, Ivy Kids Fit. Last year, we were lucky enough to have Caitlin Clark out there. Unfortunately, with her schedule, She's unable to make it this year, but we did an autograph session with her. But we're still trying to find some individuals and folks to come out there for that. Like I said, with the home front race one day, we have some military partners coming out and bringing some fun activation. Red Bull is bringing out some simulator activation. And then a lot of our food vendors will be out there. the well-suited bunny sample and ice cream and different stuff. We're still working on a few other items. Last year, we had the chief Superbowl traveling bus going around the trophy. So that was really cool to have out there. And of course, all wonderful food for everyone to enjoy different stands. So really, if you, when you go back down that concourse midway, if you get the opportunity, I mean, it is, it's jam packed back there, which is awesome, which is what we want the people to have a good time and really be able to find everything they want.

BRUCE:

And of course, other than the two IndyCar races, one of which this year will be on a Saturday evening, I would call it a Saturday night race, but the sun doesn't go down until pretty late in Iowa this time of year. But to be able to have that alternative of a Saturday evening race and a Sunday day race gives fans an option of when to come out to the track. Which one have you seen so far is the one that the fans are looking forward to the most?

MATT:

what's funny is we, as we look at everything, it seems to be about the same amount of people coming out each day. So obviously I take it with anything in sports and I know it's not quite dark, dark out, but anything under the lights always kind of adds a little excitement to me. And so I think we, we have heard that from some folks I'm excited to be able to come out and have it under the lights there with the cars running. And so that night will be a lot of fun too. We're going to have a drone show afterwards and some fireworks that kick off after the last concert. So I guess those are some new things that we'll have this year that are exciting and fun with the night race.

BRUCE:

From the racing standpoint, it's going to be the first time that the hybrid power unit that's going to give an extra boost to horsepower to the engines, the Chevrolet and the Honda engines will be used on an oval. So how much do you think that dynamic for the gear head race fan is something that they were going to really want to come out and see how it works?

MATT:

Yeah, I think that's exciting for the folks that really follow it from that standpoint, really close and all of that. on the hybrid side will be exciting and something different to see out there on the oval. So I think there's a lot of people excited for that. I'm going to go actually out today and I think they're testing out there today and have some conversations with folks and just see how things are going.

BRUCE:

And of course you have this concert lineup for the biggest entertainers and entertainment. Every year it seems that Hy-Vee outdoes itself from the previous year. How are you able to do that?

MATT:

Yeah. You know, it's funny. We, we talk about it too. We're like, Oh, good Lord. What are we going to do with names in the future? So we're always trying to look at and figure out, you know, really what's happened is when we did this in year one, it was hard to get talent, right? Because it's a new event, um, out of the Iowa Speedway, people weren't sure. And so you're trying to convince some of these artists and entertainers to come out. And now we're at a point where, you know, I think it's gotten Kenny Chesney loved it. Um, he's asked to come back. And so I think once we've done it and some of these artists have had a great experience and how cool it is, It's made it a little bit easier, obviously, for these entertainers to know what it is and to talk to some of their counterparts and find out about it. So that certainly helped.

BRUCE:

When this type of format first started in 2022, a lot of people may have looked at it in the state of Iowa or in the greater Midwest as a little bit of a novelty. Let's see how this plays out. But has it now become an expectation?

MATT:

Yeah, I think, um, I think a lot, well, you know, you have it there now and people expect that you have this great talent out there. And so certainly that helps, um, getting people excited for it and different things. And I think there'll be, um, different races that look at it to have added an entertainer or a concert, you know, in different brands of racing and even other entertainment. Can they do some of this stuff? So I think it's certainly things that people are looking at and talking about for sure.

BRUCE:

When I say expectation that the people in Iowa are saying, well, I can't wait till 2025 and see what they have out there next year.

MATT:

Yeah, I think there's certainly some expectation and excitement that kind of helps them. Like, God, who are they going to bring out next and do this? And so, you know, I think it's, I don't know what people certainly expect for sure, but I think there's excitement on like, hey, what's Ivy going to do with this and who will they bring out?

BRUCE:

Now, Hy-Vee increased its involvement this year by also sponsoring a NASCAR Xfinity Series race at Iowa Speedway back in June. And they're also going to step up and sponsor both races of an IndyCar doubleheader at the Milwaukee Mile on Labor Day weekend. What was it about that where Hy-Vee decided to expand its footprint in motorsports?

MATT:

Yeah. So the NASCAR, obviously that was a big weekend for them with the Xfinity race, but having the cup series as well. And so, you know, our whole bowl with this, when we first started was, you know, we've been a great partner with IndyCar and, and IndyCar is where we started with this, but we're excited for the state of Iowa. Anytime they can get a bit or anything out here because it helps the whole economy and everyone and we're one of the biggest employers in the state of Iowa. So any of that stuff's exciting for us. And so when NASCAR announced that they were going to have that there, you know, we certainly wanted to be a part of that and help support what they're doing out at Iowa Speedway. Because really anything out at Iowa Speedway helps us with IndyCar and just getting people talking about Iowa Speedway again and wanting to get out there and see some races. So that's where we were excited for the NASCAR Xfinity side. And then the Milwaukee Mile, you know, we've looked to grow, continue to look to grow and in the Wisconsin area. So we have La Crosse, Eau Claire, Janesville, Oshawabanon, and we're in Madison. And so it was an opportunity that's close to our markets. We're not in Milwaukee by any means, but it's close to where we serve our customers in different states. And so I thought it was a good opportunity with them bringing it back there to help be involved in that as well.

BRUCE:

Because Hy-Vee's had such a big impact with the way they promote the IndyCar race in Iowa, was there an expectation level from some of the NASCAR fans or maybe even some of the people at Milwaukee that this is going to bring concerts, you're going to do this, whereas this is more of a race entitlement sponsorship?

MATT:

We came out pretty strong at the beginning of both of those. That was just more of a race entitlement type sponsorship. And we're certainly weren't going to be like a co-promoter or anything like we are with our race and really just having the name recognition with the entitlement.

BRUCE:

How much does it help to not only be a sponsor with IndyCar, but to be actually a co-promoter and in many ways a partner?

MATT:

Yeah, well it helps because we can obviously have some say in how we want some of the layout and just different things that we want to do with the talent that we bring in with music and different things. It really helps. And it really is a partnership. We've got a great partnership with IndyCar. as we go through and kind of work as a co-promoter on this race. And so I couldn't be happier with the relationship we have with them. And they've been great to us as we work through it and listen to what we want out there. And obviously there's things that need to happen. They do it for a living every day, or day in and day out, running events. And so we couldn't do it without them, obviously, from that piece.

BRUCE:

How does being involved with IndyCar really help Hy-Vee promote and market its products?

MATT:

Yeah, again, I think that kind of goes back to we have that unique tied in with some of our CPC companies and to be able to have a central theme that we can have all of our stores rally upon. So, you know, one being the car all year long, the Ray Hall team and then our race as well. on that weekend, let's have promotions, let's have deal deals, let's get with this partner and have a display in the store. And so something that we can kind of just rally everyone and all of our stores behind and help push product and try to drive sales. So I think that's been the unique thing about that. A lot of our other partnerships that we have are more regionalized. You sponsor the Chiefs and the Vikings and Packers and they're all wonderful partnerships and with the colleges, but it truly is for a certain region as opposed to affecting all

BRUCE:

We'll be right back to Pit Pass Indy after this short break.

WILL:

This is Will Power of Team Penske and you're listening to Pit Pass Indy presented by Penske Truck Rental.

BRUCE:

Welcome back to Pit Pass Indie. And now here's the rest of my exclusive interview with Hy-Vee Vice President of Sports Marketing, Matt Nickel for Pit Pass Indie. Back in 2021 when this relationship was announced that Hy-Vee and the state of Iowa was going to help revive Iowa Speedway with IndyCar, there was a lot on the line. The future of Iowa Speedway at that point was very uncertain. Now that you look back after that announcement in 2021 with a successful race in 2022 and 2023, and an even bigger race this year in 2024. How would you describe just how successful that growth has been?

MATT:

I think it's been very successful. And really, I think of the word pride. I mean, I think we're really proud as a company for what we were able to do, right? I mean, obviously there wasn't a lot of big things happening at Iowa Speedway when we got involved. And that was the goal was to try to help revitalize Iowa Speedway and bring some big events there. And so we obviously have our major event there, which has been great and very successful with lots of fans coming out. with the constant series and different things. And then with NASCAR announcing, they're going to bring the cup series right there this year and had a very successful event there. Again, we're just proud of that. We think we had a piece of that to help continue driving Iowa Speedway forward. And so we're excited for that. It comes back to the end of the day. Like I said, we want to be the best community player we can be, um, as we're involved all over the state of Iowa. And so it's great for the economy. I mean, there's, there's nothing better than when you get a big event and you're on national TV, um, and have a lot of national international, uh, recognition for the state of Iowa with these events.

BRUCE:

Well, in addition to that, you also have some TV signage that's on the NBC telecast, and you do some other things that help promote Hy-Vee on the IndyCar circuit. You even put up signage at races where there aren't even Hy-Vee stores, such as Detroit. How valuable is that?

MATT:

Yeah, that's great. Obviously, when you've got a great national audience watching. It's just anything to get that brand, uh, brand out there to build some of that brand image and loyalty, um, as we look and who knows where we'll ever be in the future. So it's nice to be able to build our brand. And obviously at our race, um, there's a lot of Hy-Vee out there cause we're proud of what we put on. And, and again, it's great to be able to, to be seen and to have our brand be seen with, uh, some strong, um, organizations like IndyCar and the Iowa Speedway.

BRUCE:

Have you ever heard instances where people hear of Hy-Vee by watching an IndyCar race and then they try to seek out a Hy-Vee when they're on the road the next time just to check out the stores? Have there been instances of that?

MATT:

Yeah, you know, I've heard a lot of those stories at our race. So it's folks coming in from Indiana or Ohio or some different areas, especially in that year one. where they came in, they came to see what's expected of Iowa Speedway. And then, of course, they wanted to go find a Hy-Vee, or we've heard a few cases where now, to your point, they make sure they may even go out of their way a little bit so they can stop at a Hy-Vee whenever they find out there's one near where they're traveling to. So that's always fun and exciting to see. I think there was something on the NBC broadcast, too, where they were talking about how great it was to get to a Hy-Vee and see it for the first time. And so we're proud of what we have in our stores. And so, again, yeah, we love to have new people in the stores.

BRUCE:

Well, there's always a lot of people in the Indianapolis area that look forward to the opening of the Hy-Vee stores that's going to open in Zionsville. I think you have another one possibly planned up in the Fishers, Indiana area at some point or Noblesville around that area. But when you hear people come into your stores and say, boy, it'd be great if you moved into my hometown, how much pride does that give you?

MATT:

Well, I mean, there's no better feeling, right? I've been with Heidi for 17 years. So I obviously love the company and been around a long time. So there's nothing better than when somebody walks into your home and tells you that they love what you have and appreciate what you have. And so we'd love to hear that. And so hopefully we'll be able to have all those folks as customers.

BRUCE:

One of your team's co-owners is David Letterman, obviously famous from his over 30 years on television as the late show with David Letterman, comedian, worldwide recognized personality. Last year, David Letterman came to a Hy-Vee store and served as a bag boy. And that was a promotion that went over really well, saw a lot of the YouTube videos and Instagram videos about it. How were you able to pull that off? And just what was it like working with David Letterman, a former bag boy himself at the Atlas supermarket in the broad ripple section of Indianapolis when he was in high school in the 1960s?

MATT:

Yeah, so obviously David Letterman is great. He's been awesome to work with, with our partnership with Ray Hall. And so that was just a, you know, I think he might've even brought that up that he would love to come out and do that at the store. And so obviously, yeah, well, some of those videos were awesome and it was great to have him out to the store. I think we gotta be a little careful. I think at one point he was offering up some free product for folks. So, but no, all fun, great to have him out to the store. And so we hope that if he ever wants to do that again, we would, we would look at doing that for sure. And so I actually, I'm, I'm 40, so that did Dave Lerman, those were the good years. I remember watching him and Jack Hanna on his show all the time. Those were my favorite ones, for sure.

BRUCE:

And you're also involved with Bobby Rahal, 1986 Indianapolis 500 winner. Michael Lanigan's one of the other team owners. What's it like to have that partnership with them?

MATT:

Yeah, they've been great partners. They're willing to do any and everything that we ask of them. And so they obviously know the power of our brand and we know the power of their brand. So they're great to work with them at that point. away from the business side and great people to sit down and have conversations with. It's always fun to talk to Bobby, right? You get a legend in their industry, it's always fun to sit and talk and hear stories of his days of racing.

BRUCE:

Christian Lungard is the Hy-Vee driver, drives the number 45 Hy-Vee Honda for Rahal Letterman Lanigan Racing. How much have you helped put him out front in the stores, the cardboard cutouts, things of that nature? How familiar have people in Hy-Vee stores now become with Christian? Christian Lungard.

MATT:

Yeah, I think, I think our customers are pretty aware of Christian. We've done different things with, uh, car cutouts and Sandy cutouts of him the last couple of years in our store. Uh, we try to do quite a bit of social, uh, posting on our, our pages locally and as a corporate side, just a fun little stuff with Christian. I think we did like a quick 15 questions with him and different things that we do kind of each race that kind of get him out there and get a little attention to him. So I think everyone's becoming accustomed to Christian and he's obviously, uh, been a great driver and had some great runs. And so we're excited for the rest of the season.

BRUCE:

IndyCar isn't the only part of Hy-Vee's sports marketing program. You're also involved with the NFL, with the Minnesota Vikings, the Green Bay Packers, the Kansas City Chiefs. You have a lot of name-image licensing deals and college athletics, one of which was with Kaitlin Clark, now with the Indiana Fever. You do other things with other athletes at other area colleges and universities and other kids coming up through the ranks in their sporting careers. So just how would you describe being in charge of that entire sports marketing effort? And how well does it help show what Hy-Vee does for the community?

MATT:

Yeah, I mean, I think it's great. I think I have the greatest job in the world getting to do exactly what you explained there from working with our NFL partners. I think with pretty much every Division 1 school in our trade area, except for the Minnesota Gophers, who are already with another grocery partner, and then the partnerships that we have with the Patrick Mahomes, Travis Kelsey, and Caitlin Clark. And so, I mean, yeah, it's great. It's fun to work to do that stuff. And, you know, those are great for our partnership. One, when we look at all these and what do we do, you know, we're really trying to drive our brand image. with signage and different things like that. And then community, as you just mentioned, is a big piece of it. And then obviously at the end of the day, we're still a company that needs to have customers come in and drive our sales. And so that's the third piece. We look at that with different ways that these partnerships can help drive that stuff. And so back to your original question kind of there of the communities. I mean, these are great opportunities, especially with like the universities that we partner with to be able to things in each of those towns and work with if they're kind of or any kind of giveaways, or if there's a, unfortunately, when there's tragedies or other things that happen to partner with them to help donate water, food, hand it out, that kind of stuff. From that standpoint, they're great partners. The NFL, I think of the Vikings, pretty big food drives with, I think one that had about 18 semi-trucks filling with food and other product. And so it was something they got behind as well and helped push. And so, yeah, they're really great avenues to be able to be a big presence in the community and help out.

BRUCE:

Well, that leads into my next question. And last week, the state of Iowa in the upper Midwest has been hit by some flooding, heavy rains that have raised the rivers, the height of the rivers. And what is Hy-Vee doing to help those flood victims right now?

MATT:

Yeah, unfortunately the northwest of Iowa has been hit pretty hard up there in the Okoboji and Rock Valley, some of those towns. And so we have a disaster relief team that goes and tries to help out really when anytime there's an emergency anywhere. So our Hy-Vee disaster relief team is helping the town of Sioux Rapids trying to help. I think we've donated or helped transport more than 50,000 gallons of water up there to help the Sioux Rapids towns. We've had about 17 truckloads of water that's gone out to Sioux City, Rock Valley, Spencer, Lynn Grove, and Sioux Rapids, some of those towns that are up in the Northwest. And so also try to provide meals where we can at Spencer and the Rock Valley communities in partnership with the American Red Cross and then also partnered with Operation Barbecue Relief to help provide meals So we'll continue to monitor all those areas and help out where we can, right? Like I said, we really feel like it's part of our obligation and our duty as a company in the state of Iowa to help out or any of the states that we're in when these unfortunate tragedies happen. And so we'll continue to help out where we can.

BRUCE:

And when you got involved with Kaitlin Clark when she was at the University of Iowa, there's no bigger name in sports right now probably than Kaitlin Clark. and to be able to get in with an athlete who was a huge name there, but to see how much bigger she has become in her career and that Hy-Vee is part of that effort. How important is that for the company?

MATT:

Yeah, it's all, you know, it is really, uh, I think I called her uncle on July 1st, 2021, when it became legal for NIL to start talking to deal because obviously she was a a big name in the state of Iowa. She's right here in our hometown of West Des Moines, Iowa, went to school here. So it was a big thing for us to reach out. Obviously, nobody, we thought she was gonna be a star. I don't know if anyone thought she would be the biggest sports person in quite frankly, in the, in the world, maybe at this point. And so obviously we're very proud to be partner with her excited. Future is very bright. She's a wonderful individual and really look for big things to come out of her in the future. And obviously the state of Indiana and in town of Indianapolis now get to experience how great she is.

BRUCE:

Will Hy-Vee try to encourage Doug Bowles, the president of the Indianapolis Motor Speedway and his staff, having her maybe wave the green flag for next year's Indianapolis 500?

MATT:

Yeah, I would love if we could do that. I kind of brought that up this year. I think she was traveling in Las Vegas playing, so I don't think it worked out schedule-wise, but obviously for her, I think she would love to do that. It would be a great honor with such the big presence of the Indy 500 there in Indianapolis and her tie to the city, I think would be awesome to have her out there.

BRUCE:

Now, Randy Edeker was one of the leaders in this involvement with IndyCar, with Iowa Speedway, the state of Iowa, helping to revive Iowa Speedway. In the interviews that I've done with Randy Edeker, he always said how impressed he was working with Roger Penske and Bud Denker and the Penske Corporation. And in your involvement with that, how impressive has it been to see a relationship between Hy-Vee and Penske grow the way it has?

MATT:

Yeah, I think, again, they're on top of obviously understanding how to run business and being great business people. They're just really good people. And so, you know, my day to day, I get to work with Michael Montry and Bud a little bit more than Roger, but they're always great to work with. Again, they always try to find an answer to anything that we want to do. Sometimes we think outside of the box, we're a little bit different than maybe what happens in different races or different other markets. And so they're always open to listen to anything that we have to say and try to do. And so that's been great from that standpoint.

BRUCE:

And wrapping up here with Matt Nickel, the vice president of sports marketing and Hy-Vee, what are some of Hy-Vee's plans to branch out to other IndyCar markets with its stores?

MATT:

Yeah, so obviously we're always looking to expand. And in fact, recently we acquired the Indiana-based chains, Track& Ventil. So now that really does officially put us in ninth place with that going into Indiana. So we have plans to build the two new, the other Hy-Vee locations in the Indianapolis area. But just don't have those construction schedules yet construction schedules yet, obviously, acquiring Sacramento. may change some timelines, but we're excited to be able to get into Indiana with him.

BRUCE:

And also, I know there were plans for Louisville, for Nashville, Tennessee, for Birmingham. Where do those plans look like at the moment?

MATT:

Yeah, I think it's all things. I think we have some land there and still looking at it. And obviously, again, it kind of goes back to as we look at the business and acquiring Shack and Van Til took a little bit of time and effort looking at that. And so I think those, I don't think we have timelines on them, but things were certainly still in our future plans.

BRUCE:

And with the extra involvement that you've had this year with the NASCAR Xfinity race and also with the Milwaukee mile with Hy-Vee's motorsports presence going on. It always was a full season promotion that they did with IndyCar, but now there's other parts of the season that they're heavily involved with. And if you made that like a season of speed or a summer of speed type promotion. We haven't too much.

MATT:

It's still really been based around mostly, you know, with our car, with the, with the right health team all year round, and then a little bit kind of getting to your summer promotion a little bit, you know, through July, at least through our race pushing that. So we haven't changed too much of the plans with the Milwaukee one on the schedule.

BRUCE:

Well, Matt Nichol, it's been a great 30 minutes that we've spent here talking about Hy-Vee and their involvement with IndyCar, especially with the big Hy-Vee Iowa race weekend coming up here, the IndyCar weekend at Iowa Speedway. Good luck on that. Good luck with all the other efforts that your company is involved in with the sports world. And thank you for joining us today on Pit Pass Indy presented by Penske Truck Rental and Hy-Vee.

MATT:

Well, thank you very much, Bruce, for having me. It was a great time and look forward to talking in the future.

BRUCE:

And that puts a checkered flag on this edition of Pit Pass Indy presented by Penske Truck Rental and Hy-Vee. We want to thank our guests, IndyCarSeries team owner Bobby Rahal and Hy-Vee vice president of sports marketing Matt Nichol for joining us on today's podcast. Along with loyal listeners like you, our guests help make Pit Pass Indy, presented by Penske Truck Rental and Hy-Vee, your path to victory lane in IndyCar. On the highways, the raceways, and every pit stop in between, Penske Truck Rental keeps you moving forward, game ground with Penske. And for all your shopping needs, be sure to visit your local Hy-Vee, where there's a helpful smile in every aisle. For more IndyCar coverage, follow me at X, formerly known as Twitter, at BruceMartin, one word, uppercase B, uppercase M, underscore 500. This has been a production of Evergreen Podcast. A special thanks to our production team, executive producers are Bridget Coyne and Gerardo Orlando. Recordings and edits were done by me, Bruce Martin, and final mixing was done by Dave Douglas. Learn more at evergreenpodcast.com. Until next time, be sure to keep it out of the wall.