It's kinda funny, my impression of the thing is pretty much exactly oposite yours, IMO....BEST VEHICLE EVER!
I find it incredibly striking, visually, and its unsusal mode of operation seems to me to be the perfect representaton of the Fantasy/Technology blend of Eternia.
As faras its practicality, well Filmation didn't give us any good ideas, but of you think about it, it'd be heck on Enemy infantry (which is often how I played with it as a child), and the vintage commercial implied that it was something of a Eternian-bridge-layer. Heaven forbid Skelley ever built one, we wouldn't NEED the Jaw Bridge to cross the Abyss...
I've noticed people seem to be hot or cold on this one though, so I'm not surprised that you didn't care for it much. I HATED the 200X "version" mostly because they went to the trouble of recycling the name, but only gave us a lame uninspired vehicle.