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Last minute trip to Capri

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Planning a last minute trip to Italy, leaving in less than a month. I have a handle on the rest of the trip but cannot find solid info on Capri. We would be arriving from Florence, through Naples. and spending 2 nights 3 days on the island. We are trying to keep to a conservative budget, and are willing to stay in hotels, bed and breakfasts, and also air b&b's. (Hopefully $300 or less) It is just my husband and I going, and we don't mind walking a bit!

With all that being said, what is there to do on Capri? I've read about the grotto, and some shopping, drinking and eating, of course! But it there any must do activities or not to miss area's/shops?

And then we get to lodging!! Anacapri vs. Capri. Anyone have any recommendations on where to stay? Any help with planning this part of the trip would be greatly appreciated! Thanks!!

-Jenna

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