AVStoDVD is a fairly simple program designed for people who don’t have a lot of experience converting video and authoring dvds. The menu selection within it is fairly limited, but you can customize the output somewhat.
Blu ray authoring hasn’t got a good, free solution yet. tsMuxeR can produce blu ray disks for you, but menu creation isn’t part of that program.
There are some very expensive BD authoring programs, like Roxio DVDit Pro HD, and Sonic Scenarist. And there are some cheaper consumer grade programs from Roxio, Ulead and Cyberlink that offer some forms of blu ray authoring, but I haven’t heard much about them or their limitations.