The best way to edit out applause is to do it manually with a wave editor, but it is time consuming. When you use Audacity it converts the Mp3 to a wave file, you do your editing and it converts back to Mp3. Every time you do this it causes a drop in quality which may be what you're seeing.
You could try
mp3DirectCut which is a freeware editor that works on the Mp3 file directly without conversion. It won't save you any time but the quality might be better.
Another option that would be a little quicker and preserve the quality is to use
mpTrim. You listen to the song while looking at the run time, then you tell mpTrim how many seconds you want to trim from the front and back and you can select fade-in and fade-out. But the free version of the program has a limit on filesize so you might not be able to use it on longer songs.
MP3Gain is a good program to normalize volume on all your tracks. The default target volume is 89.0 dB which I find to be a little low. You might want increase it to 91.0 dB.