Yeah, as of yet melee damage is pretty insubstantial. I made all my characters learn magic so that they could actually do damage. Also, just making sure, but you picked up the two companions who can join you, right?
Edit: Reread your post, facepalmed at myself. Of course you have them XD Anyways, try the northwest gate and just fight things/ look for things like the lighthouse. And magic helps. It helps bigtime.
Last edited by uniscorn; 23/01/14 06:11 AM.