Facebook remains a powerhouse for small and medium-sized enterprises (SMEs) targeting local customers, even as newer platforms like TikTok and Instagram gain popularity. This article explores why Facebook is far from dying as a marketing platform for local businesses, and how it stays relevant despite newer social platforms. I explain key Facebook marketing terminology, discuss its pros and cons for local marketing, and provide actionable tips – all backed by industry research – to help SMEs utilise Facebook effectively to attract local customers.

Introduction

Is Facebook a dying platform? It’s a question that pops up whenever a flashy new social network grabs headlines. But for local business owners, the reality is that Facebook is very much alive and kicking. While younger audiences might flock to TikTok or Snapchat, Facebook continues to boast the largest social media user base globally, with over 3 billion monthly active users as of 2024​ sproutsocial.com. In the UK and worldwide, millions of those users are adults in local communities – the exact customers small businesses want to reach. In fact, 76% of small businesses include Facebook in their marketing strategy​ localiq.com, making it the top social platform for SMEs. The notion that Facebook is “dead” is a myth; the data shows that it remains a staple in consumers’ lives and in marketing plans​ sproutsocial.com.

Another reason Facebook isn’t dying is its broad demographic reach. Gen X and Boomers represent Facebook’s largest audience​ sproutsocial.com (with plenty of Millennials too), unlike newer apps which skew younger. These older age groups have strong buying power and loyalty to local businesses. So, while only 33% of teens use Facebook (many preferring TikTok or Instagram)​ socialpilot.co, their parents and older siblings are active there. For many local businesses, those adults are the key customers. Despite the buzz around new platforms, Facebook remains a foundational marketing tool for reaching a local audience.

Key Facebook marketing terminology explained

Before diving into strategy, let me clarify some key Facebook marketing terms. Understanding this lingo will help you get the most out of Facebook as a local business owner:

• Facebook Page: A public business profile on Facebook. Your Facebook Page (often called a Business Page) is where you post updates, share content, and interact with customers. It’s separate from your personal profile. Creating a Page is free, and over 80 million small businesses use Facebook Pages ​xperiencify.com to connect with their communities.

• Facebook Ads & Boosted Posts: Paid promotional messages on Facebook. You can choose who sees your ads by using Facebook’s targeting options (for example, only people in your city, or people with certain interests). Ads appear in users’ feeds labeled as “Sponsored.” A boosted post is a simpler form of ad – essentially paying to amplify a regular page post to reach more people. (Facebook advertising is very common; 86% of marketers use Facebook for advertising​ xperiencify.com.)

• Engagement: Any interaction a user has with your content – likes, comments, shares, clicks, etc. Engagement rate measures how much people interact relative to how many saw the post. High engagement (lots of comments or shares) signals your content resonates with the audience.

• Reach: The number of unique users who see your content. Organic reach refers to how many people see your post naturally (without paid promotion). Paid reach is those who see it because of advertising. Facebook’s algorithm limits organic reach (on average, a post might only reach 6.4% of your page’s followers ​invoca.com), so businesses often use paid boosts or ads to extend their reach.

• Facebook Insights: The analytics dashboard for your Facebook Page. Insights shows metrics like your page’s total reach, post engagements, follower growth, and audience demographics. For instance, you can see if most of your followers are local, what times they’re online, and which posts performed best – valuable data to guide your marketing decisions.

• Facebook Groups: Community forums within Facebook centred on a shared interest or location. Many towns have local groups (for example, a local forum or a “Shop Local [Town Name]” group). Participating in relevant groups as a local business (when allowed) can build your visibility and rapport with the community. You can also start a group for your loyal customers or for local topics related to your business.

These terms are the building blocks of Facebook marketing. Knowing the difference between reach and engagement, or how targeting works, ensures you can navigate Facebook’s tools effectively. Next, I’ll look at the pros and cons of putting these tools to work for your local marketing goals.

Pros of using Facebook for local business marketing

Facebook offers several distinct advantages for small businesses aiming to attract local customers. Here are some of the top benefits, backed by industry data:

• Huge Local User Base: Simply put, your customers are likely on Facebook. With nearly 70% of adults using Facebook​ xperiencify.com​localiq.com, you have an unparalleled opportunity to reach local consumers. Importantly, people aren’t just signed up – they’re active. Two-thirds of Facebook users visit a local business page weekly ​xperiencify.com. This means locals routinely check out nearby restaurants, shops, and services on Facebook. No other platform has such regular local business engagement at that scale.

• Community Building and Engagement: Facebook excels at creating a sense of community. Through your business’s Page and local Facebook Groups, you can create dialogue with customers, get feedback, and share community-focused updates. For example, a café can post about a local charity event and spark discussion among followers. This two-way engagement not only humanises your business but also increases your visibility: content with more comments and shares is more likely to be seen in people’s feeds. It’s the digital version of word-of-mouth.

• Hyper-Local Targeting: One of Facebook’s superpowers for local businesses is the ability to target people by very specific locations and demographics. You can focus your ads to show only to users who live within a few miles of your shop (or even who were recently near your business). This ensures your ad budget is spent on likely customers in your vicinity, not wasted on people far away. You can also narrow targeting by interest – for instance, a yoga studio could target women 25-50 within 10 miles who are interested in “Yoga” and “Wellness”. Few other advertising channels allow this level of local precision.

• Customer Service & Relationship Building: Facebook isn’t just a broadcasting platform; it’s also a channel for customer service and loyalty. Customers might comment on your posts with questions or send your page a private message via Messenger. By responding quickly and helpfully, you show that your business is attentive. In fact, Facebook is the most popular social channel for customer care among Millennials, Gen X and Boomers sproutsocial.com. The convenience of asking a question on Facebook and getting a prompt answer can make customers more likely to choose your business. Over time, these interactions – answering inquiries, thanking customers for reviews, handling complaints gracefully – build a public reputation for good service that others will see.

In summary, Facebook provides local businesses with a powerful platform to reach a large nearby audience, nurture a community, and turn online engagement into real-world customers. It does so with tools designed to amplify your reach through social sharing and precise targeting, often at a lower cost than traditional advertising.

Cons of using Facebook for local business marketing

No marketing channel is perfect – and Facebook has its challenges for local businesses. It’s important to be aware of these potential cons:

• Limited Free Reach (Pay-to-Play): Facebook has drastically reduced how many of your followers see your posts organically. On average only about 6.4% of your page’s followers see an organic post​ invoca.com, so if you have 1,000 followers, maybe 64 people see a post without promotion. To get more eyes on your content, you often have to pay to boost posts or run ads. While Facebook Ads can be cost-effective, they still require budget and careful targeting – otherwise you might spend money with little return.

• Time and Effort to Manage: Keeping up a good Facebook presence requires consistent effort – creating content regularly, responding to comments and messages, and monitoring your page. For a busy local business owner, finding time for this can be challenging. If a page is neglected (no updates for months, or questions left unanswered), it can reflect poorly on the business. Users have come to expect timely responses on social media. Staying active and responsive on Facebook may mean dedicating a staff member or setting aside time each day to manage it.

• Algorithm Changes: Facebook often tweaks what content is shown in the News Feed. Strategies that worked last year might not work next year, so you need to be ready to adapt. For example, Facebook once reduced the reach of overly promotional posts, which forced businesses to adjust their content approach.

• Public Negative Feedback: Customers can leave public 1-star reviews or harsh comments on Facebook. You have to handle criticism politely and quickly, because any poor interaction is visible to everyone. A mismanaged response to a complaint can hurt your reputation, but a thoughtful, helpful response can actually turn a situation around (and impress onlookers). It requires some savvy and patience to manage feedback in a public forum.

Despite these cons, most local businesses find that the benefits of Facebook outweigh the downsides – but it does require a thoughtful approach. The key is to use Facebook where it adds value (community engagement and targeted reach) and be aware of its limitations (especially the need for consistent attention and some ad spend).

Actionable tips to utilise Facebook and attract local customers

Now that I’ve covered the why (Facebook’s relevance) and the what (terminology, pros, cons), let’s get into the how. Here are some actionable tips for using Facebook to draw in local customers:

• Optimise Your Facebook Page: Treat your Facebook business page like a digital storefront. Fill out all the details – address, phone number, website, hours, and a clear description of what you offer. Use a recognisable profile picture (like your logo or shopfront) and an attractive cover photo. A complete, professional-looking page instills trust. Also, choose a relevant call-to-action button at the top of your page (e.g., “Call Now” for a restaurant or “Message Us” for a service business) to encourage immediate interaction.

• Post Consistently (and be responsive): Regularly share content that will interest your local audience. Aim for a steady posting schedule (for example, a few times per week) and focus on content relevant to your community – such as announcing new products, sharing local news or tips, and showing behind-the-scenes moments from your business. Just as important, don’t post and then disappear; be responsive to comments and messages. A quick reply or a simple “thank you” to someone who engages with your post can go a long way. By staying active and interactive, you keep your business on people’s radar and build trust with your followers.

• Use Facebook Events: If you have a special event or promotion, create a Facebook Event for it. When people RSVP or mark themselves interested, it can spread awareness to their friends. Events also send reminders, helping to boost actual turnout on the day.

• Join Local Facebook Groups: Many towns have community or business networking groups. Join those (with your personal profile) and contribute helpfully rather than just advertising. For example, answer questions or give advice in your area of expertise. When community members see you being helpful, your business will be top of mind when they need your service.

• A local business poster encourages customers to leave a review on Google, and to follow on Facebook and Instagram – reflecting how important online feedback and followers are for small businesses. Encourage happy customers to leave positive reviews on your Facebook page (and be sure to respond to thank them). Also, invite visitors to “check in” at your business on Facebook when they drop by. Perhaps offer a perk for checking in (for example, 10% off their purchase). Every new review or check-in is a public reminder of your business that can catch the eye of other local people.

• Use Facebook Ads Smartly: Consider using Facebook’s paid advertising tools to amplify your reach, even if you start with a modest budget. You don’t need to spend a fortune – even £5–£10 (or $10–$15) to boost a post can make a difference in a small town. Promote posts that are performing well or that announce big news (a grand opening, a special discount, a new service) and target your ads to people in your local area. For instance, a bakery could run a targeted ad for a “Weekend Cupcake Sale” aimed at users within 5 miles. Monitor the results and feedback from these ads and use that insight to refine future promotions. Over time, you’ll learn what kind of content and offers get your local customers to respond.

By implementing these tips, you’ll be using Facebook not just as a static page, but as an active tool to pull in local customers. Remember, success on Facebook (as with any marketing) comes from consistency and genuine connection. Soon you may start noticing more customers saying, “I saw your post on Facebook,” or “A friend shared your event with me,” – clear signs that your efforts are translating into real-world business.

Conclusion

Despite all the new social networks grabbing attention, Facebook remains a robust platform for local business marketing. It’s not dying out – it’s evolving, and it continues to deliver value for SMEs focused on their immediate community. Facebook’s massive user base and frequent local usage (two-thirds of users visiting local business pages weekly) prove its enduring relevance​ xperiencify.com. For business owners, it offers an accessible, feature-rich way to connect with customers where they already spend their time.

That said, winning on Facebook requires understanding the landscape. You need to navigate the terminology and tools (from Pages to Ads to Groups), play to its strengths (community engagement and targeting), and mitigate its challenges (like reduced organic reach and the need to pay for broader exposure). By doing so, you can make Facebook a cornerstone of your local marketing. In the end, marketing is about reaching people effectively – and Facebook, with its benefits of reaching local communities, is still one of the most effective ways to reach the people in your area.

Sources: Industry statistics and findings have been drawn from recent reports and surveys, including data on small business social media usage and Facebook user behaviour​ xperiencify.com​ localiq.com​ sproutsocial.com, to ensure all claims are supported by verifiable sources.

If you are feeling overwhelmed with the whole idea of marketing your business on social media, let’s have a chat. Also, take a look at the services page on my website to find out more on how I can help you and your business.