Bryan,
We also are a group of twelve. We have been to Cancun and Puerto Vallarta. Cancun is very touristy. But, if you like to party, Cancun is known for that. Puerto Vallarta is where we prefer to be. It is more true Mexico, with its villas and so on. There is lots to do in both places. Puerto Vallarta is cheaper. If you go to Puerto Vallarta, be sure to look up Fransisco Martinez (Pancho) as a tour guide. He is very reasonable and he speaks english fluently Cell# 01 (322) 728-1302
Telephone# 01 (329) 295-0162
Hope this information helps you out.
Jerry

Question 1: Can any experienced travelers out there help me
narrow down our options. We are all married couples in our 40's
& 50's, but we still like to party a lot and would like to try
out a variety of watersports. Of course, some of us like to shop
and tour as well.

There is a lot to this first question. Have you looked into Playa Del Carmen which is about one hour south of Cancun? It is not as touristy as Cancun but, still a mini-Cancun type place. I much prefer Playa to Cancun. Also, this would narrow down the choices a lot.

There are some great party places in the town of Playa Del Carmen and a lot of AI's provide guests with places to party all day and into the night. You will need to do your homework to find the one that has the right atmosphere for your group.

You said that you like to try watersports and you want an AI. In my experience, very few AI's in Mexico include watersports in the package. There are some great snorkeling trips from this area but, that would be an extra cost. However, in this area there area few resorts where you can snorkel right off shore.

The town of Playa Del Carmen has some nice shopping and the Yucatan has some great Mayan ruins to see on a tour.

Question 2: Is Apple Vacations a good travel source or are there
better options and sources of information elsewhere?

I have traveled using Apple Vacations out of Chicago many, many times and I have always found the vacation experience a good one.