I love the dancing game in the Pet Pavilion, but that's not what this awesome thing is about . . . directly. What I'm talking about is how awesome it is to dance with your pets in your player housing.
Logically thinking (now that I'm on the other side of the curtain), when advanced pets hit Wizard101, they had to put a dance animation for every single pet in the game plus new dance animations for all the existing pets AND commit to new dance animations for any pet to come in the future. That's a pretty awesome thing right there. HA! That should be a sales slogan, KingsIsle, committed to making your pets dance in Wizard101 since May 2010.
Anyway, using your dance emote around pets in your player housing causes a good chunk of them to equally respond and dance right along with you.
I love it, it's meaningless fun, and it's definitely an awesome thing about Wizard101.