diff --git a/pkg/bdd/testserver/server.go b/pkg/bdd/testserver/server.go
index 5512eb2..dedecad 100644
--- a/pkg/bdd/testserver/server.go
+++ b/pkg/bdd/testserver/server.go
@@ -17,14 +17,19 @@ import (
 )
 
 // getPostgresHost returns the appropriate PostgreSQL host based on environment
-// Uses DLC_DATABASE_HOST environment variable or defaults to container name
+// Uses DLC_DATABASE_HOST environment variable or defaults appropriately
 func getPostgresHost() string {
 	host := os.Getenv("DLC_DATABASE_HOST")
 	if host != "" {
 		return host
 	}
-	// Default to container name for Docker environments
-	return "dance-lessons-coach-postgres"
+	// Default to localhost for native execution, container name for Docker
+	// Check if we're running in a container by looking for Docker-specific env vars
+	if os.Getenv("DOCKER_CONTAINER") != "" || os.Getenv("KUBERNETES_SERVICE_HOST") != "" {
+		return "dance-lessons-coach-postgres"
+	}
+	// Native execution - use localhost with container port mapping
+	return "localhost"
 }
 
 type Server struct {
diff --git a/scripts/test-local-ci-cd.sh b/scripts/test-local-ci-cd.sh
index 110e8de..5451607 100755
--- a/scripts/test-local-ci-cd.sh
+++ b/scripts/test-local-ci-cd.sh
@@ -75,7 +75,12 @@ if [ "$HAS_DOCKER" = true ]; then
     done
     
     # Set PostgreSQL environment variables for BDD tests
-    export DLC_DATABASE_HOST="dance-lessons-coach-postgres"
+    # Use container name for Docker, localhost for native (port mapping)
+    if [ "$HAS_DOCKER" = true ]; then
+        export DLC_DATABASE_HOST="dance-lessons-coach-postgres"
+    else
+        export DLC_DATABASE_HOST="localhost"
+    fi
     export DLC_DATABASE_PORT=5432
     export DLC_DATABASE_USER=postgres
     export DLC_DATABASE_PASSWORD=postgres