Replacing the carpeting is a great idea! It will make the rooms easier to clean, improving indoor air quality, as well as holding up to the dogs.
Carpeting can accumulate dust, pollen, and pet dander, which makes it a poor choice for anyone who has asthma or other respiratory problems. You can always use area rugs, which can be removed and cleaned thoroughly, to soften the look of the room.
When durability is a functional consideration, I often like using some kind of woven strand flooring. This flooring is not literally woven but is made up of strands of wood or bamboo which are pressed into a solid block. This block is then impregnated with resin, and formed into tongue-and-groove boards. The material is the same all through the board, so they can be sanded, and each of the long strands of bamboo or wood is surrounded by the tough polymer. This makes the flooring very durable.
I have used the Java Synergy flooring from Teragren, because it has a fairly traditional look, but there are also options made with birch strands, pale bamboo, mulberry and even palm strands. The palm flooring from Smith & Fong Plyboo has a very exotic textured look.
Another option to consider when you have dogs is to select a wood flooring that has a rustic look. When you select a flooring that is very clear and even, especially if it is light colored, every scratch will show. A reclaimed wood floor, like those available from Pioneer Millworks or Aged Woods, will just look more vintage as time goes on.
With any green flooring choice, make sure it has either a Greenguard or a FloorScore certification. Both of these are independent certifications that verify that the product does not emit VOCs (volatile organic compounds) such as formaldehyde.
For more information:
Read Mari Strain's Ask A Pro Q&A "Can you recommend healthy flooring for a home with kids and pets?"