Digital transformation as a strategic goal is not new in the cultural heritage sector, yet it gained momentum due to COVID-19. This is reflected in policies and national strategies across Europe, where digitalisation is often seen as key to sustainable development. This study focuses on small heritage institutions in peripheral settings and explores the opportunities and limitations of digitalisation and its impact on sustainable regional development. A mixed-methods approach was applied, including a literature review, an online survey, focus groups, and a stakeholder interview, complemented by a case study. The findings show an uneven distribution of the perceived benefits, depending on funding, staff, and location. Nevertheless, digital transformation has positive social impacts by enhancing access to, participation in, and awareness of cultural heritage and therefore well-being. However, its economic effects in peripheral regions should not be overestimated. Digitalisation’s ecological impact on sustainable regional development is an underrepresented topic in the literature. Moreover, digitalisation is particularly challenging in peripheral regions and for smaller institutions with limited resources and should not be regarded as a guaranteed pathway towards sustainability. This paper contributes to an emerging field by examining the intersection of heritage institutions, digitalisation, and sustainable regional development in peripheral areas.
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