Here are a few samples I created...
|A picture of my mom's dog, Samson|
|Josh and Dot at a wedding|
|Sample using vector clipart|
The next couple of samples use Wordify's built in templates...
|In a flash|
All in all, I really like Wordify, especially considering its price and how easy it is to use. I think you can tell from my samples that it does a better job with simple graphics. However, if you picked a photo with some very good contrast, Wordify could probably deliver some interesting results.
Unfortunately, Wordify is only available for the Mac, but I'm sure there's a PC alternative available somewhere on the great wide interwebs :) I've seen this effect done by less graphically challenged people than myself in Photoshop, but for those of us with less experience (and less patience) Wordify fits the bill.