I was reading a great article by Chris Perry of Ad age on why Social Media isn't living up to the hype. One may say Social Media is in its' infancy.
Here's Chris article.
Conversely, I think Facebook, Twitter, et all are wonderful tools to have in your digital arsenal. I've watched trends with old school media like newspaper producing very disappointing results for one client in particular in the financial category. We advertised in the Toronto Sun religious for 8 years but pulled off completely about a year ago when the tracking results were simply not paying for the ads any longer. We pushed the money into digital arenas and are seeing the loss from newspaper being made up in spades in our online social presence.
It may not be there yet, but it's definitely on the next turnpike.