Is all the "magic" gone?

[Imladris]

As has been said before, in a movie your imagination is severely limited.

However, everybody has their own imagination that molds the magic of what Tolkien himself wrote. I wouldn't be surprised if each one of us envisioned Galadriel differently, the Shire differently, the wargs differently, the orcs differently, heck, we probably each had our own vision of Gandalf's staff. And when PJ made the movie, he did it according to his own imagination. Therefore, it's his view of Tolkien's magic -- not ours. So that is, in part, why movies based on books do not have that magic.