...Peter and the wolf is great for kids, and it's "real" music. (It teaches them to recognize different instruments and melodies, and it's a fun story).
these are just some ideas for having fun with music. I have more specific ideas, but am not sure how in depth you want to get.
My 3 year old grandsons was afraid of the wolf of Peter and the Wolf but now he ask to watch it. I guess he is grown up now.
I agree with your recomendations.