Castle with nice garden and then can go kurashiki - got a canal and historical quarter area. The mitsui outlet at kurashiki is pretty big, i found quite good deals at nike during my two visits.
Not sure what your budget is but I stayed at okayama koraku hotel. I think there us an APA there you can consider too.
If you are lucky to be there during peak sakura season, I recommend going to Handayama Botanical Gardens. It is 1 train stop away from Okayama station, accessible by train or bus. There is hardly any crowds especially during weekdays, good for photo taking. Admission is 308 yen
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