Established in 1994, Austrian business The Heat Company manufactures and sells thermal wear for outdoor pursuits. By using Google AdWords and Google Analytics to reach a wider audience, they have increased international sales to the extent that 85% of their revenue now comes from exports.
Headquartered in Altenmarkt, Austria, The Heat Company’s focus had been on domestic sales since launch, achieved exclusively through wholesale trade. In 2007 however, they decided to capitalise on the potential of their online shop, and expand their reach by taking their products to a global market.
They chose Google AdWords and Google Analytics to help them pinpoint the best markets and audiences to target internationally. As a selling point, the company focused on the fact that their products — which include gloves, insoles, hand and foot warmers, as well as heat patches for the neck and torso — are made from natural materials without using any chemicals.
The approach paid off with a rapid increase in sales. “Google AdWords allowed us to reach customers who were at first beyond our imagination,” says Herwig Holzer, Director of The Heat Company. ”There is always somewhere in the world where it’s winter, and there’s always someone who’s cold, and we can specifically target these markets.” In fact, they quickly saw sales as far afield as Argentina, the USA, Canada, Australia, and Mongolia, as well as right across Europe. This prompted an overhaul of The Heat Company’s business model with a change in focus from wholesale trade to individual consumers.
Targeting these customers internationally has had a significant impact on revenue, and 85% now comes from exports around the globe. “Google AdWords is brilliant,” says Holzer. “It really allows us to be efficient. It’s often very difficult to handle the cost of advertising, especially for small or mid-sized enterprises, and here I can see how much I spend, and how much comes in at the end of the day.”
“We’re much more focused on the end customer now, which can only improve the products and service we provide,” he adds. “Thanks to Google, we have the opportunity to expand our reach and establish a presence all over the world.”
“We’re much more focused on the end customer now, which can only improve the products and service we provide. Thanks to Google, we have the opportunity to expand our reach and establish a presence all over the world.” Herwig Holzer, Director, The Heat Company