I see people mistaking Steemit for Steem all the time as well. In fact, the current post at the top of the trending page - a new dApp called dlike (a great app for generating more spam on Steemit) - makes that error in their post as well.
The Steem blokchain has huge potential in my eyes which is why I am still here. And I like to remain positive about Steemit as well. I think we could very well see a good increase in users when we move back into a bull run.