Couldn’t agree more, and have written about it myself.
High quality third party apps are necessary but notably absent. Developers are not as interested in the watch as Apple would hope — too much effort is needed to figure out the new UX and the reward is small (user base for watch is very small to monetize).
Without the “killer apps” all users are left with is a fitness tracker, and for that there are other devices at a much lower price and with much longer battery life.
Now that the early adopters already have an Apple Watch it’s time to cross the chasm. Unfortunately I don’t see Apple achieving that in the near future.