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I agree fully. I honestly find it practically unusable while the rest of XFCE is _amazing_. You'd think they'd wonder why Cobind (for example) ships with Nautilus as opposed to XFFM.
They really should do something like navigational mode Nautilus. Have a bar at the top with Back, Forward, Reload, Home buttons etc. Then also have a sidebar like Nautilus, with a dropdown menu with the following views: information (on the selected file), search (and make it optionally plug into some metadata system, perhaps libextractor + libdoodle?) and history. Sure, it may not be particularly innovative, but it would work.