I stayed at both last June and returned to the Hiiragiya in March. I think I wrote short reviews for both on the Reviews section. I'll put it simply: the T is much more traditional from the hall to the clothes of the receptionists. The H has a pink carpet and the receptionists are in suits. The room we had at the Hiiragiya was not as nice as the Tawaraya, yet the futons at the H were nicer. I thought people were much nicer at the Hiiragiya. I found the service at the Hiiragiya much friendlier and just as professional. The T seemed a little proud of its name. Also, the H has family baths which are always enjoyable, in addition to the Japanese bath in the room. The T has just in room Japanese. The T was also quite snooty. They felt like they nickeled and dimed you.

Food was much better at the Hiiragiya. More creative and better tasting. Food was very important to me too. Overall, I got a much better experience at the Hiiragiya. The Tawaraya nickeled and dimed me with substitution surcharges and this and that. They were also a little snobby and proud of their name. My advice: the Hiiragiya.

If you want to purchase souvenirs, make sure to visit the Tawaraya's shop - they have the most wonderful products we found in all of Japan. It's pricy, but not ridiculously so. If you stay at the Tawaraya, you get a 10% discount to the Gallery Yukei.

Have fun,
aa4ever

P.S. - the Hiiragiya is considered more glamourous, the Tawaraya, ceremonial and serene. It was the intangibles at the Hiiragiya which made it a winner.

P.P.S - If you want a cheaper ryokan, the Seikoro is very nice, it is part of the Luxury Ryokan Group, of which the Hiiragiya is also a member.