I always say I'm from Santa Rosa Beach. typically get a blank stare. then I explain its between Panama City Beach and Destin. if I need to explain further, I mention Seaside and Grayton Beach. Usually they know generally where I am talking about. Not always. then its just "northwest florida on the panhandle - upper gulf coast".. whatever... who cares at this point?
just got back from Bahamas. When Bahamains asked where we were from, we said Florida and everyone assumed Miami, of course. We explained about the panhandle, etc, and they kind of yawned and offered us another incredibly delicious pina colada served in a fresh cut coconut. All was good.
I have just a few friends who call the entire area Grayton Beach. That is really beyond reason, imo.