Rather than making your post title "ScratchX sucks!", you should have titled it, "Having problems with ScratchX", or something like that. Because the problem isn't the product, it's the way you're using it. I wasn't there so I can only suppose, of course. But having used the product countless times over the last 4 years, I can guarantee that it doesn't suck and is a valuable tool in any detailer's arsenal. It has NEVER instilled scratches into paint on any job I've done with it.
ScratchX is formulated to remove swirl marks and scratches by hand, and still be safe; ie, not leave behind more scratches than it removes. As such, it contains a fairly aggressive abrasive that also breaks down very quickly.
The proper technique is to use a terry applicator, a decent amount of polish, and lots of elbow grease. Obviously, you want to make sure that your applicators and removal towels are clean and of high quality. Work an area not much bigger than 6" in diameter. Work the stuff in for 45 seconds to a minute, then wipe it off.
You can let it dry or not, it doesn't matter; rubbing dried ScratchX with a quality clean microfiber towel can't instill any more scratches than wiping bare paint with that same towel. But yeah, it can be a real PITA if it dries completely.
If the scratches aren't gone, then repeat. It may take as many as 4 or 5 applications depending on the severity of the scratches, but ScratchX will remove just about any minor scratch.
It's the way the product has to be in order for it to be safe for hand use. You're trading volume of product used, repeated applications, and elbow grease for convenience, safety, and for not having to buy a machine.
You already blew the $10 on the product, take 15 minutes and try what I wrote above. Once you get the hang of it, you'll consider it as indispensable as I do.