The first time I saw it was recently when we stayed at an upscale resort in Phuket...a woman with a white gold one. I couldn't take my eyes off it! It was so gorgeous. Now that I have mine, I can't stop staring at them! 

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A few. I live in my area's version of Beverly Hills. My NM SA last weekend had a lovely yellow gold one, we chatted about the Love series for a little bit. The YG looked amazing on her olive skin. Much more luxe than my WG.
I suspect it's not more popular because it's not flashy. Give 100 women $1500 to spend on a handbag and most are going to get a monogram LV. It is what it is.
I live in Los Angeles and frequent areas such as Beverly Hills and for some reason I very, very rarely see people with love bracelets.
Honestly, the items that I see a lot of on a consistent basis are the Cartier Tank Francaise, Cartier Roadster, Rolex Ladies Datejust and Chanel J12 in white.