Not compared to the competition it wasn't. It only sold 'ok' because it was cheap and got good mileage.
Exactly, as an owner of an 08 Coupe, I agree wholeheartedly. It was a great economy car, as it was very cheap (cheaper than Civic/Corolla), had a better motor, top-tier fuel economy, was light and simple. The new Focus, even in base form, doesn't really follow this mold. It's more of a premium compact, a la Mazda3s. Now the Fiesta slots in as the economy car, and in base form, is closer to the formula of cheap basic transportation.
The old Focus ('08-'11) was a moderate refresh on the older Focus platform, and as such, was a bit of a mixed bag.
Motor = great. Highly reliable and very competitive 140hp/136tq motor, compares very well with Civic (same hp, less torque) and Corolla (with 132/128).
Transmissions = mixed. 5-speed manual is great even if not as good as the manuals in the Mazda3 or Golf. The 4-speed auto was abominable, robbing all performance while also hurting fuel economy.
Handling = above average. Economy car roundups were routinely dominated by the Focus and Mazda3, with slalom and skidpad marks outstripping the other non-sport models easily. Being the lightest car in the class was helpful in this, averaging 100-500lbs less than other models such as Cobalt, Sentra, etc.
Brakes = average/poor. Standard front Disc, ABS not standard, rear drums (puke). Stopping distances average.
Styling = poor. The refresh had some good ideas, but the shape of the car made these attempts more muddled and messy looking. A low point was the fake chrome fender vents on the SE/SEL models during the 08/09 model years, thankfully absent from 10/11s, and all 'S' models.
Interior = good/average. Comfort, room, and ergonomics are all excellent, but it feels cheap due to cheap materials such as the terrible carpet, headliner, and door plastics. Some simple things are missing such as the passenger upper handle (affectionately referred to as the 'oh-shit!' handle by some), or interior trunk release on less equipped models.
Electronics = above average to excellent. Even the cheapest model has an MP3-capable CD player with easy to read LCD display, Aux-in for Ipod/etc, and fairly good sound quality for the economy class. Models with the Sync system are hands-down better than the competition.
Ultimately it was the dated/muddled styling and cheap interior feel that hurt that gen Focus more than anything, but as rebates/incentives/etc stacked up, the thing remained an awesome value for a cheap reliable runabout. I've put over 60k on mine, and it's been hit twice by negligent drivers, but it still runs like a top, zero problems ever.