I would suggest you visit Diu rather than Daman because Diu has a lot of a clean, green, blue water beaches and multiple numbers of forts. Diu is seen with more of a tourist destination than Daman, as tourist traveled more and prefer Diu and yes even tourist from other countries also visit Diu offenly so it's completely open for tourists.
Hi, it's nice to stay in Daman. it's more happening like Goa rather than Diu. if you are going in weekdays, hotel Shilton opp. Devka garden is best. they charge 50% . around 1400. it's quiet good and luxurious hotel. other options are appartments, but it will also costs around 1200₹ and less facilities. in Daman city, there's Umesh bar and hotel. it is also a budgetary option.