To the OP, make sure you use the appropriate camera settings for your environment. Simply changing to night mode even (at night) will increase performance.
I've found that with a few tweaks of the options for my current conditions, the camera is bearable. I even have some pictures on my fridge that I printed out.
As for Pic Say (Pro optional), it is a neat program but not really all that powerful. JMHO, but then again, i've not found really any of the effects programs to be that useful.
YMMV, good luck!
Edit: I see you're a new member! welcome!
Remember though, the Droid isn't a point and shoot camera. It's still a cell phone, so it's not gonna be perfect. Enjoy your DROID!