After countless trips to WDW and 3 trips to DL last year, I'm amazed how little focus there is on food options at DL. There is no need to take the time and effort into PS (ADRs) as we do when we are planning a WDW trip. First, because there isn't the demand for reservations and second, because there isn't many choices.
Unlike WDW there is very little theming when it comes to TS. There is nothing like Prime Time, or Sci Fi, or LTT, etc.
Plus the quality of the food and service is NOTHING like WDW. Except a good dining experience, but don't except WDW quality.
You can still have a good time. Like others have said, Blue Bayou is a good choice, but be sure to make the extra effort to ask for rail seating. It does make a big difference. The last time I was there my table mate didn't want to wait and we had a lousy table. Blue Bayou is one of the only IN PARK choices that is indoors. Be aware that many offerings are outside. Though I love to people watch, it does take away from a typical TS experience.
I think character dining is another way to go. The food and service isn't WDW quality, but they offer tons more characters than a typical WDW character meal. We ate last month at Minnie and Friends breakfast and had over a dozen different characters visit our table. I was amazed that we had to get our own drinks though. It made it interesting trying to stay at our table for the characters while making mad dashes to the buffet lines to fill my children's glasses and plates.
I think the true value is taking advantage of some of the CS offerings. First the money you can save is great. And remember, most CS is outdoors too, so why not bring your food to your own table and save on tip. The food is just as good as most of the TS offerings. I recommend Pacific Wharf Cafe and Test Pilots Grill in DCA. I like Bengal BBQ at DL.
The snacks are MUCH better than WDW. I think many visitors at DL are locals who come to snack and maybe catch the fireworks or a show. We cut out a meal during the day and supplement with yummy bakery treats and snacks.
Plaza Inn has limited inside seating, CO has limited inside seating, Pizza Port is almost all indoor, Village Haus has indoor (but the food is not that great at all), Rancho Del Zocalo has indoor and covered seating, Golden Horseshow is all inside, River Belle Terrace has limited inside seating. Those are all inside DLR.

Hungry Bear has covered seating but it's not indoor.
OMG! I had no idea! I was going to get PS at Ariels Grotto to see the princesses and see the WOC! That just changed EVERYTHING
Nope, Princesses are only at bfast and lunch. We prefer eating lunch at AG, the menu choices are very good. I imagine if they did have the Princesses there and still gave PS tickets for WoC they would have to raise the prices even more. If you decide to eat at AG for WoC remember the Princesses are also in the Princess Fantasy Faire in DL.
Our family enjoy Blue Bayou a lot, we also enjoy Plaza Inn, Pizza Port, Rancho and DBF and I really enjoy the BBQ. The kids aren't big on BBQ so they eat at Golden Horseshow (chicken strips & fries) while we eat at the BBQ. We also really enjoy Taste Pilot's Grill, Award Weiners, Ariel's Grotto & we love the lobster nachos at the Cove Bar above AG. DBF can and have eaten the lobster nachos as a shared meal, the serving is quite generous.
We also enjoy RainForest Cafe, Ralph Brennan's Jazz Kitchen, Storyteller's, Joe's Crab Shack, Bubba Gump, CA Pizza Kitchen, Cheesecake Factory, PF Chang's & Mimi's Cafe.
As for snacks, my favorite was always the Tigger Tails the old way, with orange chocolate. I won't want them if they are the version with sugar crystals. It's just not the same at all.

We also love the churros at DL and the Mickey ice cream sandwiches.

Dole Whips are good, we normally get 1 whip & 1 float and DBF, myself and DD11 share. DD14 is not a fan of pineapple.