Wal-Mart's "2 day" service is pretty good. I do all of my C41 developing there. I've taken film to photography shops, but they didn't do a significantly better job than WM and they charge a lot more. I do avoid their 1hr service because I've had too many scratched negatives, but I've never had an issue with the longer service. Color, contrast, etc were always what I expected. Don't take B&W to WM though, unless it's C41 B&W film. They do an ok job, but it's very expensive and takes forever. Pretty much any non-pro developer is going to use a machine these days. FWIW. You're going to pay a LOT more for hand developing.
Don't try to scan negatives on a flatbed. You won't like the results. Prints scan nicely though. Get the film developed to prints and scan those. The results, if done properly, will rival any consumer level digital camera.
I still shoot about 90% film (20-30 rolls a year), but I scan it all at about 400dpi. The negatives go offsite, the prints stored in filing cabinets, and the scans stored on the PC and server.
Chris