The problem is that with some kids, no matter what you do they still wont be interested. Some people just dont like exercise and thats the way it always will be!
I hated PE at school. Not because of the exercise, but because of the teachers and my fellow pupils. I liked gymnastics as I was quite good at that. But in my year, there was always the gang of 'brilliant' athletes who were great at everything in PE, and they always used to get more attention than the less able people. In time, that turned into favouritism and it was obvious that they were getting more encouragement and more attention from the teachers. So after that I stopped doing it, I faked sick notes from my parents every lesson and even ended up leaving school early just so I didnt have to do it.
I think it would be really hard work to tailor PE lessons to every single childs needs, although by making it more interesting I think it would encourage more people to join in and actually enjoy it.