A Strategy to Engage Gen Z and Empower Local Businesses
Facebook is rolling out new features aimed at capturing the attention of Gen Z users, a demographic often drawn to platforms like TikTok and Instagram. By emphasizing localized content, Facebook aims to create authentic, community-centered experiences tailored to younger audiences. Here’s a closer look at these updates, the motivations behind them, and how they present unique opportunities for local businesses.
The Rise of the ‘Local’ Tab
Central to Facebook’s latest initiative is the introduction of a ‘Local’ tab. This feature consolidates tools like Marketplace, Groups, and Events, creating a one-stop shop for community-focused interactions. Users can now find local updates, buy or sell items, and join area-specific groups in a single space.
Facebook is also integrating local content into users’ main feeds, allowing posts and updates from local communities to seamlessly appear alongside content from friends and followed pages. The company is testing these features in key U.S. cities, including New York, Los Angeles, and Austin. The aim is to offer an enriched, location-centric experience tailored to Gen Z’s habits and preferences.
Why Gen Z and Why Local?
Facebook’s pivot towards local content is strategic. Gen Z, individuals born between 1997 and 2012, represents a digitally native generation that values authenticity and community connections.
Data supports this trend:
Support for Local Businesses: Studies show that 74% of Gen Z shoppers prefer supporting independent retailers over large corporations. (The Sun)
Social Media Usage: Over 60% of Gen Z regularly uses social media to discover new businesses, making platforms like Facebook a critical part of their buying journey. (Hootsuite)
By enhancing local content visibility, Facebook is appealing to Gen Z’s desire for meaningful connections and their tendency to engage with community-focused initiatives.
The Competition Factor: TikTok and Instagram
Facebook’s strategy also addresses competition from other platforms. TikTok’s algorithm-driven content discovery model has been a major draw for younger users, while Instagram’s Stories and Reels cater to the same demographic. By emphasizing locality and personal relevance, Facebook is carving out a niche that aligns with Gen Z’s priorities, particularly their focus on supporting local businesses and participating in community life.
Opportunities for Local Businesses
For local businesses, Facebook’s updates are more than just a feature refresh; they represent a powerful opportunity to connect with Gen Z customers. Here’s how businesses can leverage these changes:
Optimize Profiles: An up-to-date Facebook page with accurate contact details, opening hours, and compelling visuals ensures visibility in local searches.
Engage with Groups: Joining and actively participating in local Facebook Groups allows businesses to engage with potential customers in a casual, community-oriented environment.
Utilize Events: Hosting or sponsoring local events listed on Facebook can help businesses attract Gen Z, who often value experiential interactions.
Create Authentic Content: Sharing behind-the-scenes videos, community partnerships, and customer stories can resonate with Gen Z’s preference for authenticity.
The Bigger Picture
Facebook’s local push reflects broader trends in digital marketing. Personalization and relevance are becoming increasingly critical for engaging younger audiences. As algorithms evolve to prioritize content that feels authentic and relatable, businesses need to adapt by creating experiences that meet these expectations.
Additionally, the rise of local content highlights the importance of community in online interactions. For Facebook, this shift could help it reclaim its role as a central hub for personal connections, moving beyond its reputation as a platform primarily for older users.
Looking Ahead
Facebook’s move to emphasize local content is a win-win for users and businesses. For Gen Z, it promises a more personalized and community-oriented experience, aligning with their values and digital habits. For local businesses, these updates offer a platform to connect with younger audiences, enhance visibility, and foster stronger community relationships.
As Facebook continues to roll out these features, businesses that embrace the changes early will likely see the greatest benefits. Whether by optimizing their profiles, participating in Groups, or leveraging the Local tab, businesses have a valuable opportunity to make meaningful connections in an increasingly competitive digital landscape.
Bonus!
Gen Z is generally supportive of local businesses, and they often shop locally for a variety of reasons:
Community connection: 65% of Gen Z say they shop local to feel more connected to their community.
Unique products: 59% of Gen Z say they shop local to access unique products.
Quality products: 57% of Gen Z say they shop local to access better quality products.
Local economy: 55% of Gen Z say they shop local to support the local economy.
Customer service: 53% of Gen Z say they shop local to enjoy better customer service.
Main Street: Gen Z is passionate about seeing Main Streets thrive. They visit their local Main Street often, with nearly 85% shopping there at least a few times a month.
Voting: 90% of Gen Z say a candidate's plan on how to support small businesses is a priority when deciding who to vote for.
Gen Z also prefers to buy directly from a small business's site, and they're more likely to make purchases from small businesses that share personal stories.
Sources
“Facebook Launches Local Features for Gen Z Users,” TechCrunch, October 2024.
“Gen Z’s Support for Local Businesses,” The Sun, August 2024.
“Social Media Trends 2025,” Hootsuite
