In the context of the digital age, museums, as important venues for cultural heritage and innovation, face the challenge of maximizing the utilization of digital resources. Digital exhibitions not only integrate the museum’s profound theoretical research foundation but also cleverly combine digital resources with cutting-edge multimedia presentation formats, offering audiences an unprecedented exhibition experience. This is an important way for museums to use digital technologies for cultural heritage innovation and to enhance the user experience. This paper, based on interactive narrative theory, uses the Horse Culture Digital Exhibition in the Great Hall of Exalted Mystery at the Palace Museum as a case study. It systematically summarizes the practical methods for museum offline digital exhibition design, offering design ideas for museums to transition from pursuing sensory “visual immersion” experiences to emphasizing in-depth content experiences, or “data immersion.” This study follows the core framework of interactive narrative theory, analyzing the narrative themes, exhibition mainlines, role setting, interactive mechanisms, and multimedia technology applications—key components of interactive storytelling—in museum digital exhibitions. Based on this analysis, it constructs interactive narrative contexts from three dimensions: physical space rendering, physiological sensation stimulation, and psychological experience enhancement. The study clarifies the exhibition design process and principles of museum digital exhibitions based on interactive narrative. Using the immersive area’s body motion effects, opening video, interactive area’s linkage animations, exhibition line guide animations, interactive content, and the dynamic use of the main image in the Palace Museum’s Great Hall of Exalted Mystery Horse Culture Digital Exhibition as case examples, the paper validates the proposed methods. Designers who use interactive narrative theory to guide the design of museum digital exhibitions can effectively avoid the ineffective accumulation of digital resources, creating a clear exhibition narrative logic. Digital exhibitions designed based on interactive narrative theory can transcend spatial and temporal limitations, foster a cultural atmosphere, and enhance the audience’s sense of participation and immersion. This allows users to quickly establish cognitive pathways in the exhibition process, addressing aspects such as exhibition space, sensory needs, and emotional connections. In the digital exhibition where the virtual and real intertwine, users can receive cultural information and enjoy a high-quality cultural experience. At the same time, this approach holds significant design application value for catering to new forms of communication, making it an important means of promoting the digital transformation of museums and the innovation of cultural heritage.