It depends if you want to go out in the evening or not, basically, as the last shuttle should be around 11pm.

After that time you will have to take a taxi and they would charge between 30-40 euro each way.

Anyway, the Nido is a lovely hotel with stunning views and good reviews (and I do not recall any better hotel, by the station).

Shuttles during the day are not a issue as they run fairly often.

Me and my husband stayed at hotel hilton sorrento palace and would walk into the town easily. My parents and sister stayed at the hotel caravel which is a little way out of town. This was ok for my sister who is fit and active and could walk into town be it day or night when the shuttle bus was not working but my mum and dad seemed to be paying for taxis everywhere and with hindsight said that paying a little more for a hotel in the centre of Sorrento would probably have worked out the same price wise but would have been more convenient for them so they could come and go as they pleased (although the hotel caravel is a lovely hotel).

In addition to the shuutle you can use the local bus service which passes by the Il Nido.

Personally I feel it better to stay in the Town and not to have to rely on shuttles etc, there are some nice Hotels in Town ib quiet locations,

A Hotel we have stayed at near the Station is the Cesare Augusto, a rather austre looking building, but light and airy inside, with a roof top pool,

I much prefer staying in town. I like to be able to come and go as I please without having to get a bus anywhere (shuttle or local service), especially at night. It nice to be able to go out for dinner, or for a walk after your meal in the hotel, and wander through the town at your leisure without having to work to a bus timetable. As someone else mentioned, there are many hotels in town in quiet locations. Which hotel were you considering in the town?

Also agree with sophie and ellijay - we would always prefer to stay in the town where everything is within walking distance rather than having to rely on a shuttle bus. Just off the main Tasso Square are the train station, bus station and downhill walk to the ferry / jetfoil area so as you are planning on doing a few day trips perhaps this is the best location for you.

However, have met people who have stayed at Il Nido and rated it - no pool for your relaxing and taking it easy though if this is an issue? Good food in the restaurant apparently although if you are in the centre of town then you can walk out in the evening and sample the local flavour in restaurants on your doorstep.

IMO it's six of one and half a dozen of the other. It just depends on what you are looking for. There are hotels in peaceful settings right in town and it is great to join the townsfolk for an evening stroll after/before dinner ie depending on what time you like to eat.We have done and enjoyed both, however in the cooler/quieter months we prefer to stay in town.

When staying outside we did not find it a problem getting around to see the sights but we are always careful not to try and cram too much into each day. Your plan on one destination a day looks right in terms of seeing stuff and having a relaxing holiday.

BTW the Amalfi bus passes the hotels on that road but may be a problem getting on as it fills up in town.

If you stay out of town the amenities and quality of hotel become more important because perhaps you will spend more time there in the evenings. Although as I said before you are not limited to using the shuttle bus to get to and from Town.

Have you considered La Vue D'Or. It's bit further up the road from the Il Nido but also has a shuttle service. Very friendly family hotel with a pool, nice if as usual the weather stays warm in September. You could still walk to Il Nido to eat.

We stayed at Il Nido last October. We chose this hotel mainly for the view, the price, and the fact that they have the free shuttle into town. We had heard that staying in town could be very noisy. The Il Nido also has an ample & delicious breakfast buffet. We only ate dinner at the hotel one night, but the food & service were excellent.

When we arrived at the train station, we called the hotel & the shuttle arrived within minutes. The service was very dependable; they always arrived & departed on schedule. The only problem we had is that one evening we returned to town tired & ready to get back to the hotel, only to find that we had just missed the shuttle (our poor timing, not theirs).

We also bought our bus ticket at the hotel, and caught the SITA bus to Amalfi right across the street. That was very convenient; however, the bus was full, and we did have to stand part of the way.

All things considered, we were very pleased with our stay, and don't regret our decision to stay outside of town. Our room was comfortable & quiet, and we woke up to that gorgeous view each morning.

We stayed at La Minervetta, a small boutique style hotel, about 5 - 10 walk into town...

It was perfect. Also its situated above the Marina and the restaurant Da'Alfinos where I had the best seafood risotto ever!!

Thank you to everyone for your suggestions and comments. I appreciated people's honesty, in describing the good and bad of each option. Having read your comments, and allowed it all to sink in, I've decided to stay in town rather than out of town. Thanks again for your input.