I've been going to Cape May for over 30 years. It is a great quaint beach town with lots of things to do, but as others said, the hotel accommodations are not "resort" types. For a true Victorian experience, there is the Inn of Cape May. Great hotel - stayed there for many years. And it has a pool. Congress is great, too. Beach Shack is fun with families also. If you don't stay there, eat at Rusty Nail and hang outside with the bonfire. Whatever you decide, if you decide Cape May is the place, book it as soon as you can. Summer fills up very quickly.
You will find plenty to do for a week. Besides the beach, most hotels have a pool. And there are two arcades and a small promenade. The Washington Street Mall is great for evening walks. Spend one evening at Sunset Beach to search for Cape May diamonds and to watch the lowering of the flag. Rent bikes and ride around Cape May Pt., climb the lighthouse, check out the nature center, etc.
The Cape May Zoo is an excellent zoo and not small at all! It's a wonderful day trip. For amusements and a typical Jersey boardwalk scene, SKIP WILDWOOD and go directly to Ocean City (NJ). Great boardwalk, amusements, nice class of people - not a wild party group. It's a bit farther than Wildwood but still only about 30 minutes.
For other things to do, the Mid-Atlantic Center for the Arts (MAC) has all kinds of tours, trolley rides, ghost tours, historic homes tours, etc.
Lots of good restaurants. Don't miss the Lobster House -a Cape May institution.
Unless you are looking for scheduled activities like Club Med or a cruise, you will not be bored in Cape May. We take our kids for a week every summer and they talk about it all year long. And we never run out of things to do and still haven't done everything we want to. we LOVE it there!
Check out this website:
http://www.capemaymac.org/