i'd go with what tschorer said...
we've stayed in just about every resort at WDW (including camping in a tent at fort wilderness back in 1974 (oh to be young again)....
while the deluxe resorts are nice, with bigger rooms and nicer pools, the moderate and even the all star resorts are also quite lovely....
our favorite is Dixie Landings, but the 3 times we stayed at the All Stars (twice at music, once at sports) were also nice...
there are pros and cons to every one of the resorts....
find out what the difference is in cost and then decide....
if you really think you'll spend much time there, then i suppose the upgrade is worthwhile, if not, spend the extra money elsewhere....
for deluxe resorts, we like the swimming pool of the yacht/beach club best, but we really hate the way it's not secluded.....
at dixie landings you have more of a feeling of being someplace else (the other moderates are also like that....CBR etc)....
AKR was gorgeous but i wouldn't go back there....
wilderness is similar but with the advantage of the waterfront....(but take into account that we're kind of water babies.....need lots of water nearby at all times...)..
as i said, we even enjoyed the all star resorts.....my kids were in elementary and middle school at the time and they were perfectly happy there...
though the room is small if you're planning on squeezing 4 in....
the bus transportation at the all star was the best....
another of our favorites was old key west, but that's' an entirely different experience......with lots and lots of space and a feeling of total seclusion.....but we now spend very little of our time in the theme parks (after 26 years of annual 3 week vacations at WDW, that should come as no surprise)....
this year we're annoyed with disney so we're going off property.....
heresy but there you go....
in any case, if you're going to be spending a lot of time in the parks, don't waste your money on the upgrade...