I have quite a few SLS sitting on XServes deployed in my own company of 41 employees for most of SLS's services. I use web hosting quite a bit and although the GUI wasn't the best, it was at least usable. In Lion, Server Admin has been dumbed down to run a few basic services, such as DNS and OD. Web is now run in that atrocious thing called Server App. (I just spit up a little in my mouth saying Server App...)
You can't handle multihoming, redirects, aliases, WebDAV or anything of the like. If you want any of these, it's to the command line you go. And that is a battle in and of itself because whatever you do by hand, Lion Server will erase when you refresh the web server.
I must say that most of the services got an well deserved boost. iCal and AddressBook work very well under Lion even to iOS devices. I think the mail portion of it was trying to push out to iOS but I couldn't get the device to enroll with the profile manager, but I suspect that was my own error.
I agree whole heartedly that they may have taken a few steps ahead with iCal and Addressbook and a few others, but they took monumental steps backward in many such as Web and WebDAV.