You are not making a mistake by not being into the cry it out thing. I hate cry it out, too. I think that maybe you are mis reading his cues. Maybe he is not tired when you are trying to put him down. Maybe the pre-nap activities are getting him excited and he can't bring himself to sleep after it.
Try having a more consistant naptime routine first. Just like you probably have at bed time. Have some quiet story reading/snuggling time. Change the diaper then off to nap. If that doesn't work, start playing with the nap times. Maybe he is only needing one nap a day right now...there is just so much to a problem like this.
I run a home daycare, and I was having trouble getting one of the toddlers (2.5 yrs. old) to sleep (her body language tells me that she still needs sleep. So do her mood swings after a missed nap). I thought That I tried everything. One day, I changed her sleeping spot from one end of the room to the other and now she sleeps! Who knows why she wasn't able to sleep on the other side of the room! My point is that you've just got to be willing to experiment. You will figure him out. Listen to his cues and he will tell you what he needs.
Good luck!
P.s. I love pugs, too!