Ollantaytambo is a great place to walk around. It is an overnight stop for many tourists on their way to or from Machu Picchu, with the train station a 10-minute hike down the hill from the town.
We got a comfortable, quiet room at Hostal Las Portadas (on Calle Principal, about 5 minutes' walk from the main square.
We ate dinner at a cute mom-and-pop chicken restaurant on Calle Principal, between the main square and Las Portadas.
With two stopovers in Ollantaytambo, I had time to take two walking tours through the old town, which is a grid of old Inca streets with the original stone paving and with the Inca stone walls of the houses intact. It is truly a unique town. The difference is that it is still inhabited and much of it appears to be unchanged from Inca times.
Walking past the Casa de Wow! hostal, I continued past the old town for a minute. The stone-paved Inca street was now a dirt road heading up to a village on the hillside. The place or the street was called "Miscanapampa" (I couldn't figure out whether that was the name of the village or the street). I spotted a tiny mom-and-pop store "Bodega La Favorita" where the locals shop at (tourists probably don't leave the old town) and where the prices where lower than those found in the tourist section.
I was told that further up the road, I could find a mom-and-pop restaurant with home-cooked specialties such as cuy (guinea pig) and rabbit, but it was not dinner time and I decided to turn back.