Koutouloufari is the second of the three hill villages above Hersonissos (between Piskopiano below and Old Hersonissos above), and is the one most cleanly turned over to evening dining. Its single car-free spine of cobbled lane is lined with maybe twenty small tavernas and bars sharing tables on the street under bougainvillea — locally grilled meat, Cretan dakos and snails, decent house wine in copper jugs.
Reservations are a good idea on summer weekends; otherwise turn up around eight in the evening and wander until something catches your eye. The walk up from the centre of Hersonissos takes about twenty minutes; tuk-tuks and a small tourist train shuttle back and forth in season.