LOL, we were the only ones on the beach - definitely no crowds.

Granted, it was drizzling, and you couldn't actually watch Illuminations, just the fireworks - but we enjoyed it. At the same time there were fireworks coming from another direction - we summized it was the fireworks from
MNSSHP which were also going on around the same time that night (we'd seen them earlier that week). I'll edit in a couple of pictures later on this post.
All I can say is we felt plenty of Disney Magic. We were immersed in it!! Maybe it was the fact that we could see Tower of Terror right from our patio, hop on a Friendship boat out front,
shop Disney merchandise in the lobby, watch fireworks from the beach, or walk the Boardwalk before bedtime, I dunno.

And oh yes, the walk around the resort was no longer than in any other resort we've stayed in at WDW.
ETA: Here is a picture I took from the top of the slide at the Grotto pool. It gives you a good idea of where things are. Straight ahead is the 4th rear arm of the Dolphin (far right arm on back) - our room was here, straight ahead. You can see the beach and swan boats in the middle. On the right is where you get the boat. On the left (where white car is) is where you get the bus. There are three other pools beside the grotto pool to the left - two kiddie and one lap - there is another lap pool at the Swan which you cannot see but is on the far right. Also to the right is a playground. We saw the fireworks (over to the right from Epcot and I think MK on the left) while we were right on the beach in the picture.