Abstract

This study analyzes the interaction between technological innovation and regenerative, sustainable tourism planning in the Chilean cities of Valparaíso and Iquique. It examines how Christmas celebrations—traditionally centered on fireworks—are being transformed through the adoption of clean technologies such as drone light shows and LED lighting, generating interconnected economic, social, environmental, and governance-related impacts at the local level. Using a qualitative methodology grounded in hermeneutic analysis and grounded theory, discourses from seven key informants representing public, private, and social sectors were analyzed through a process of systematic triangulation. Four interrelated guiding categories emerged: Economic Representation of Domestic Tourism (ERDT), Social Perspectives of Domestic Tourism (SPDT), Environmentally Friendly Domestic Tourism (EFDT), and Technology in Local Sustainable Tourism (TLST). The results reveal that the integration of sustainable technologies not only reduces perceived environmental and acoustic impacts but also acts as a catalyst for local economic dynamization by strengthening SMEs, generating temporary employment, and increasing visitor flows during the festive period. Simultaneously, these practices foster social inclusion, community participation, and cultural identity, reinforcing collaborative and territorially embedded governance models. Technology emerges as a transversal enabling factor that connects sustainability objectives with data-informed decision-making and innovative tourist experiences. Overall, the findings demonstrate that Christmas tourism can be reconceptualized as a strategic tool for regenerative territorial development when guided by sustainability principles, participatory governance, and technological innovation. This approach contributes to the advancement of multiple Sustainable Development Goals (SDGs), particularly those related to health and well-being, decent work and economic growth, responsible consumption and production, sustainable cities and communities, and climate action.