Authenticity Sells: How To Market To Millennials And Gen-Z

Forbes

05-06-2025

Joseph Edgar is the CEO of Loca, which helps local businesses find, keep and reward customers.
Frequent travel across Europe and South America has often led me to the familiar comfort of corporate chain restaurants; their predictable menus and consistent decor offer a fleeting sense of home.
However, this very appeal stands in contrast to the preferences of most Millennials and Gen-Z (collectively born between 1981 and 2012), who are increasingly turning away from such franchises. This younger generation seeks authenticity, unique experiences and genuine connections in an increasingly artificial world, presenting a significant opportunity for local businesses to cultivate their loyalty.
Driven by a desire for authenticity, the younger generation actively rejects the polished, algorithm-driven world they've grown up in. Surrounded by curated social media influencers and AI-generated content, they've developed a keen skepticism toward anything that appears overly perfect, readily dismissing inauthentic advertisements.
The very consistency upon which corporate chains are built—aiming to deliver identical burgers or lattes across numerous locations—hinders their ability to satisfy a demand for authenticity. While cost-effective, their uniform menus, identical interiors and predictable experiences lack the genuine character that younger customers often seek. Conversely, a local diner with mismatched chairs, a handwritten specials board or a time-honored family recipe offers a tangible sense of authenticity, a welcome contrast to the artificiality they often encounter.
The long-standing focus on consistency has enabled chains to gain a competitive edge, frequently underpricing local businesses. Consequently, many independent establishments, especially in small towns, have suffered.
During family trips to small Texas towns, we consciously sought out local eateries and shops. While the uniquely charming mom-and-pop breakfast joint has become a rarity, often replaced by fast-food chains, lunch and dinner spots—such as family taquerias and cozy bistros—continue to thrive by providing the originality and local flavor that chains lack.
This presents a clear call to action for local businesses. Younger customers seek more than just a product or service; they desire a narrative, a genuine connection and a uniquely human experience—and they possess significant purchasing power. A Texas barbecue restaurant sourcing brisket from a local ranch or a coffee shop showcasing local artists can deeply resonate with this demographic. By emphasizing their unique attributes, independent businesses can transform their local roots into a compelling advantage.
Collaboration presents a significant and exciting opportunity for local businesses to create engaging customer experiences. Unlike the isolated structures of corporate chains, independent businesses can partner to offer mutually beneficial initiatives. Picture a local burger spot offering coupons for a nearby ice cream shop, or a bookstore and café joining forces for a poetry reading. Such collaborations not only increase customer visits but also provide a sense of discovery, leading to organic social media sharing.
For instance, in a small Nebraska town, a brewery, food truck and artisan market might partner for a weekend 'shop local' event, providing a 'passport' that rewards customers for visiting each location. This kind of initiative transforms a transaction into a memorable experience, motivating younger customers to explore and connect with the community. Likewise, a group of businesses could establish a themed trail, like a 'Cornhusker Crawl' showcasing local restaurants, bakeries and craft beverage makers. By collaborating, these businesses can amplify their attraction and build a story that resonates with young customers.
Beyond shared initiatives, collaboration strengthens community ties, a significant value for younger consumers. This generation prioritizes supporting businesses deeply connected to their towns through activities such as charity events, local festivals or school collaborations. A restaurant that organizes a mural painting session with young artists or features local musicians offers its patrons a sense of purpose that complements their purchase.
Reaching younger customers effectively requires engaging them in their digital spaces, making a robust online presence nonnegotiable. Importantly, this doesn't demand a large budget or a professional marketing agency. Indeed, overly produced advertisements can be detrimental, as this demographic is quick to identify insincerity.
The key lies in creating authentic, unpolished content that showcases your business's personality. Think of a casual phone video of your daily operations, a snapshot of your staff's camaraderie or a quick update about your local sourcing—these feel far more genuine than a glossy advertisement.
To effectively reach this demographic, leverage platforms like Instagram and TikTok. Increase discoverability with hashtags such as #ShopLocal, #SupportSmallBusiness and #MadeLocal. Offer genuine behind-the-scenes peeks—perhaps the origin of your unique coffee mugs or the inspiration for your food truck's color. Foster engagement by responding to comments and reposting customer content.
Contrary to popular belief, maintaining a social media presence doesn't necessitate daily effort; even weekly updates can be effective. Remember, the way you operate your business and the products you offer are inherently unique and of interest to potential customers. What seems like an average day to you can be surprisingly engaging content for your audience.
Embracing authenticity in your digital approach also simplifies content creation significantly. Forget elaborate scripts and expensive studios; a smartphone and a compelling story are all you need. Consider a small-town North Carolina boutique using TikTok to showcase its owner's locally inspired outfit selections or a bakery sharing a short video of their dough-making process. These small, human glimpses foster trust and build a strong connection with younger consumers.
In today's fiercely competitive landscape, acquiring new customers is paramount for growth, and the younger generation represents a powerful future. With an estimated $360 billion in global purchasing power, the opportunity is undeniable: Young consumers are actively seeking to invest in businesses that resonate with their desire for authenticity. By embracing your unique identity, fostering collaborations within your community and cultivating a genuine digital presence, you can forge enduring connections with these valuable customers.
Forbes Business Council is the foremost growth and networking organization for business owners and leaders. Do I qualify?