I like owning a hard copy but especially for handhelds it's a lot more convenient to download. That having been said, I still buy UMD rather than download (my only PSP DD games are some PS1 classics and a severely discounted Gulty Gear) because prices for DD are currently not reasonable - neither compared to buying the hard copy first day (DD should still be lower because of no retailer/packaging), and especially not reasonable compared to buying an older, discounted game.
For home consoles there's obviously the download speed as well due to some games being huge, I have a fairly cheap and fast flatrate connection but that's not a given globally. And there's also the size on hdd, so it will be long before home consoles embrace DD as an only option.
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