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vidaXL grows audience with Microsoft Advertising

  Article , Retail , Success stories

E-retailer leverages Dynamic Search Ads to target a global audience

Providing customers with the nice things in life

Providing consumers with an assortment of products at affordable prices.

A vidaXL customer shops online.

vidaXL is an international online retailer offering a wide array of products in various types of categories — from furniture and home and garden to hardware, pet supplies, and sporting goods. Established in 2013, the e-commerce retailer stands by its motto, “Live it up for less,” providing consumers with an assortment of products at affordable prices. Headquartered in the Netherlands, vidaXL caters to and offers free shipping for customers in 29 countries across the U.S., Europe, and Australia, with plans to continue expanding to new markets.

We want to reach everyone who searches for the products we sell and offer them the best experience. Dynamic Search Ads allow us to achieve that.

— Stefan Deriks, SEA specialist at vidaXL

Meeting rising demand while outpacing the competition

People were confined to their houses, many of them spent time improving their homes.

A couch from vidaXL brightens up a room.

Online shopping boomed during the pandemic, especially as brick-and-mortar stores moved online to take advantage of the heightened interest in e-commerce. As shoppers turned to online search, vidaXL needed to boost its search and digital marketing strategy to reach new customers, meet the surge in demand for its products, and drive growth in an increasingly competitive market.

“ We saw a huge increase in people buying online more than they did before,” says Stefan Deriks, SEA specialist at vidaXL. “People gained more trust in the online buying process over this past year, especially during lockdowns when shops were closed, and people could only get their products online.”

And because people were confined to their houses, many of them spent time improving their homes with DIY projects.

“During those lockdowns, people stayed home all the time and valued their homes more, so they embarked on projects that made their homes cozier and more comfortable to live in,” Deriks says.“ They invested in their home and garden, and that will only increase in upcoming years.”

A threefold search and marketing strategy

Many people are using vidaXL for home DIY improvements.

Many people are using vidaXL for home DIY improvements.

To elevate its search and digital marketing strategy, vidaXL leveraged three vital features of the Microsoft Advertising platform: search campaigns, shopping campaigns, and Dynamic Search Ads.

Because of the virtual nature of its business, paid search is a core component of vidaXL’s game plan.“ We are a pure online player, so paid search and digital marketing are essential parts of our strategy,” says Deriks.“ Search is an important channel for us because we want to make people aware that we have the products they’re searching for. Those turning to search are in the orientation phase of the buying cycle, so we want to have a relevant ad that matches their query, as well as a relevant landing page with a range of products they can choose from.”

As an e-commerce retailer, vidaXL is a strong user of shopping campaigns, having already activated the feature for its French and German accounts. The company was an early adopter of shopping campaigns when it launched in the Netherlands, and after achieving excellent results, vidaXL scaled shopping campaigns to the majority of its Microsoft Advertising accounts in 20 countries. The online retailer is also testing Microsoft’s Target ROAS (return on ad spend) automated bid strategy.

“ The Microsoft sales team has helped us in setting up new campaigns and giving new insights,” Deriks says. “ When shopping campaigns were still in beta, we were provided access so we could test them. Microsoft really helped us grow and expand our reach. ”

The online retailer has also used Dynamic Search Ads (DSAs) extensively to connect with different audiences, finding the feature effective in key markets such as Germany and the UK. Through DSAs, vidaXL tailors its search ads to a particular demographic, showing decorating options for college students who will be living on their own for example, versus downsizing options for those aged 65.

“ We want to reach everyone who searches for the products we sell and offer them the best experience,” says Deriks. “ DSAs allow us to achieve that, and we’ve enabled the feature for all the countries we cater to. ”

Driving impact and expanding reach

Through its engagement with Microsoft Advertising, vidaXL achieved superior results, with return on ad spend (ROAS) up 4% in 2020 compared to 2019. The e-commerce retailer also achieved a 166% increase in traffic while driving an 18% increase in click-through rate (CTR).

vidaXL is a company with ambitious plans to grow internationally, and Microsoft Advertising provides the scale vidaXL needs. Microsoft has helped the e-commerce retailer with its strong presence in countries such as France, Germany, and the UK — all part of vidaXL’s expansive market. By focusing on the Microsoft global advertising platform, vidaXL has consistently achieved strong growth over the last few years.

Brand awareness and reach are key metrics to fulfill our ambitions. With Microsoft Advertising, we are able to get a lot of extra reach and grow our business.

— Stefan Deriks, SEA specialist at vidaXL

See a summary

Through its engagement with Microsoft Advertising, e-commerce retailer vidaXL leveraged shopping campaigns and Dynamic Search Ads to target a global audience, drive engagement, and increase sales.
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