IMO they actually prefer to receive American dollars and give you back Mexican pesos and they sort of short you on the exchange rate most places just a little bit. We really don't notice/care about that, but to them, it's a big deal. If it's easier for you to change to pesos, do that. But, you can spend US dollars just fine in Cancun.
Coming from the UK myself, I've worked out that it is still better value to get dollars instead of pesos, and I'd rather be putting money in the resort staff's pockets and not the bureau de change! I'd recommend getting about 3/4 dollars and 1/4 pesos. Sometimes Pesos is better value for things like taxis, but a lot of things quote prices in dollars and you're better off just paying in dollars for those things and for tips.
we began by tipping bartenders with wet u.s. singles, and saving the dry singles for the restauraunt staff. then we'd give a u.s. $5 or 10 and drink that amounts worth (buck a drink). U get treated like a rockstar with the larger bills. footnote: all the staff at TTR were A M A Z I N G!! best service on the planet.
Last time u got half in dollars (mostly small bills) half in pesos and made sure I spent the pesos 1st. As I wasn’t used to pesos and found it hard to keep doing the calculations in my head to know how much I was actually spending I would probably just get US dollars for my next trip. I didn’t have any problems getting change but to be fair I only left the resort to go to Daddyo's, Coco Bongo's and the Boob Cruise. I mostly spent money on tipping and gifts
We are from the sunny East End of London We were going to bring Peso's, what is stuff labeled up in, $USD or $MXO? Might be a little too confusing if its $USD as working a 3-way conversion after a drink
In hotel zone, majority of things are labelled up as $USD (e.g. tour prices, club entrances, drinks at establishments). Other things have both $USD and $MXO prices (e.g. convenience store stuff like snacks, gift shops items etc). Some things you get a better deal for paying in $MXO (buses, taxis, general sale items with a $MXO price label) but other things like the tours, clubs, drinks etc you're better off paying in $USD when its labelled in $USD and not having the hassle of working out the $MXO equivalent. Also, from the UK, the exchange rate is favourable to $USD compared to $MXO. $USD are easier to get as well, especially low denominations. We struggled to get anything below $MXO 500 notes from Bureau de Change.