Where I live in SF, it's pretty hard to avoid the hills if I want to ride back to my apartment from downtown, even if I ride the Wiggle. Unless I take a rather circuitous route, there just isn't a way to get around having to go up more than 250 feet. I get the exercising bit, but I already get quite a bit of a workout on one of the Jump bikes.
The dockless bit has been a very big draw for me because the Ford bikes do not have docks out in my neighborhood and do not plan to in the near future. My neighborhood is also somewhat NIMBY: the local merchants association has been very opposed to the BRT project that is going to happen on the main street through the neighborhood because they claim that the decrease in car parking spaces and traffic will cause them to lose business. I wouldn't be surprised if they would resist bike docks as well. For now, dockless is a good short-term solution.