I have one too and love the darn thing. I bought it because I have arthritis in my hands and don't like the full weight of the regular iPad. I mostly use it for reading and web surfing- which it's perfect for. The screen is small for certain games (Rosecliff Island has you searching for items that are *very* small on the Mini's screen) but I don't think it's a huge issue on most games. I also watch videos on it all the time and the picture, though smaller, looks just like the one on an iPad 2. Compared to the Retina display the colors are muted (the biggest difference between the two in my opinion). I've had the Nook Color and the Mini and much prefer the Mini.
I also have the smallest one, 16gb wifi only, and that's plenty for what I use it for.