The best places to eat in Pondy would be Auroville, Cafe Xtasi, Les Saveurs. Auroville bakery has amazing food, Cafe Xtasi is known for its thin crust pizzas, and Les Saveurs serves great French food. Also you don't want to miss out Shyama's Kitchen. This is not a restaurant, but you can call and place an order a day or two in advance. She's a very well known in Pondicherry for her biryani. It's the best in town. Don't miss that. But do call and order in advance since she runs her business from home and would need some time to prep as she is busy with many other orders. Have a great trip! :)
Trip to Mahabalipuram and Pondichery Mahabalipuram
Places covered in Mahabalipuram : Shore Temple, Mahabalipuram Beach, Paanch Rath, Krishna's Butterball.
Pondichery : Promenade Beach also called Rock beach and Pondichery Beach. Bharathi Park, Botanical Garden, French Colony, French Memorial, Paradise beach, Aruville (Mantrimandir). Mantrimandir is closed for renovation so visited from outside. Mantrimandir is actually outside Pondichery and part of Tamilnadu. Its 10 KM from Promenade beach. Most of the aytractions are near to Promenade beaches. This road is closed in mornng and evening for vehicle movement and hence you can enjoy beach walk. Its awsome. One great thing happened. In Rajbhavan, Kiran Bedi Mam was doing exercise which was visible from outside.we shown our hand and to our surprise she called us inside and allowed us photograpy too in Rajbhavan. There is water sports and boating available in pondichery. Scuva diving will cost 7000. I couldn't do due to lack of time. Any question, most welcme.
There are so many good restaurants suggested by all the people under this post. Apart from the restaurants I would like to suggest trying the street food of Pondicherry.
This includes Paniyaram served opposite Hidesign Shop in the main market. It was served by the sweetest lady and the chutneys served alongside were to die for. Also try Pani Puri which you can find at a lot of small stalls. They also serve delicious Masala Puri.
There is one stall that serves scrumptious barbequed non veg which has a lot of crowd in White Town near the petrol pump. Do not forget to gorge on fruits and cotton candy sold near Promenade.
All of this will definitely not burn a hole in your pocket.