I have only done the Grand Gathering Wishes cruise and it is well worth the money.
You start by gathering at the Contemporary and have a dessert buffet, Smee and Capt. Hook come and mingle with the crowd, pixs, autographs, etc.. You are split into two groups and you line up with either Smee or Capt. Hook (whoever you are assigned). Then everyone parades outside to the boat docks. There you say goodbye to Smee and Capt. Hook. (You are in a boat with many other people, but your party all sits together, so no worries there.
While cruising around, the pirate crew sings songs and asks different trivia questions and really gets the kids going. You view the Electric Water Parade and then Wishes and yes, the music was piped in our cruise (Aug. 04.)
After Wishes, you go back to the Contemporary and are greeted by Peter Pan on the docks. He is there for pixs and autographs and they gave each child a Peter Pan book (soft sided thin book).
My son is a huge Peter Pan/Capt. Hook (actually anything pirate!!) fan and he loved every minute of it (he had just turned 3 at the time). I would recommend it. We cruised the last night of our trip and it was truly magical, great way to end our recent trip home!
Have a great trip!
Nancy
P.S. We created a grand gathering group after we had made reservations (found out friends were going the same time) and it was painful to link our reservations together because most of us were DVC members and others were staying at regular Disney hotels. Don't wait to the last minute to link them, it could take a while to get everything straightened out.