As key link and important node connecting urban and rural areas, small towns are also important carriers for promoting nearby urbanization and new urbanization. How to give full play to the important functions of small towns in gathering population, serving cities, and driving the countryside to achieve high-quality and characteristic development is a core issue that academia concerned. This article takes the construction of beautiful towns in Zhejiang Province as an example to discuss the characteristic development path of beautiful towns under the concept of high-quality development. Facing the requirements of urban and rural development model upgrade, development orientation transformation and development goal advancement, the paper establish a suitable spatial structure system, element optimization configuration model, characteristic guidance system and staged promotion ideas. Then the characteristic development technology path of beautiful towns is proposed. First, establish a planning and control system oriented to the entire space and development model which orient to the efficient use of stock resources. Second, create a high-quality urban life that is suitable for living, working and traveling, and shaping the characteristic style with traditional charm, humanistic style and fashionable style. Third, promote high-level governance based on the integration of urban and rural areas, and comprehensively promote the interconnection of urban and rural infrastructure, the same quality and power of public services, the co-governance and sharing of social governance, and the integration of systems and mechanisms, so that urban and rural residents can share the fruits of urban development.