An improved direct voltage control (DVC) strategy is proposed for the control of terminal voltage and frequency of a stand-alone wind-driven self-excited induction generator with variable loads. The DVC strategy, including a proportional-integral (PI) regulator, lead-lag corrector, and a feed-forward compensator, is designed based on the system transfer function matrix. The PI regulator can eliminate the steady-state tracking errors of the terminal voltage. The lead-lag corrector is employed to enlarge the phase stability margin of the dominant loops while the feed-forward compensator is adopted to mitigate the voltage harmonics resulting from the cross-coupling dynamics. The procedures for capacity design of the excitation capacitors, the voltage source inverter, and the consumer load are also presented. The simulation and experimental results verify that the proposed strategy has a fast dynamic response and can effectively control the generated voltage with low harmonic distortions under different linear or nonlinear loads.