The 28-year-old world silver medallist clocked a time of 1min 33.08seconds in Hinterstoder to pick up his sixth World Cup victory ahead of Switzerland's Mauro Caviezel (1:33.13).
"Usually I sleep like a baby but I couldn't sleep last night," Kriechmayr said. "So many people came out to see me, the fan club was here, so you want to perform for them."
Matthias Mayer also benefited from the home crowd to take the final podium spot (1:33.16) while the other big winner of the day was France's Alexis Pinturault.
His fourth-place finish, 0.24 seconds behind Kriechmayr, saw him earn 50 points to close the gap on overall title leader Aleksander Aamodt Kilde (1,022pts), who failed to finish.
Kilde's teammate Henrik Kristoffersen (957), second in the race for the crystal globe, will also be looking over his shoulder after finishing 22nd as Pinturault (948) closed the gap on him to nine points.