My question is, are the elves just not physically elven enough, or are they not elven enough with enough cultural coding? From my perspective the only Elf we see regularly in BGIII is Astarion, and he's indistinguishable from a human noble.
Cultural coding? That may take some time to unfold; there is still much we do not know about Larian's attempt at doing the Realms justice (even though they've fallen short in any number of areas thus far). Appearance-wise, however, these "elves" are absolutely off the mark.