Did you buy the study guide? I took the gre literature test in 2006 and felt this was a godsend. I used it (the updated version) again for the test this past Sept. and I did not feel as prepared. I got a somewhat higher score this time, but then I've been reading in the nine and a half intervening years, which I'd say accounted for it.
I was very surprised by the lit GRE this Sept. Compared with the one I took in 2006 and the two practice tests I took before it this time, it was very heavy on nonfiction. Essays, journalism, literary theory. It felt like very little poetry and fiction, especially contemporary, and while that's always the case, this felt different than my many experiences taking this test. It was the first time taking any standardized test that I really felt that I ran out of time because I was just so confounded by the questions and the masses of text that went with them. My advice is to watch the clock like a hawk, and definitely do the first pass second pass third pass. Leave the huge, dense sections of nonfiction for second pass. When I realized there were 20 min. left, I began madly rushing through the rest of the test and found so many questions I could have done well on, including a section on Middlemarch, which I had just read (love middlemarch!) I know they always tell you this about passes and running out of time, but I'd taken this test before and it had never happened to me. The people who are trying to keep this test hard and unpredictable are doing their job.
All that said, I do not think this test is very important. Most programs don't require it. I took it only to apply to one of the six schools, although I sent it to the others (because 5 are included with the fee). i got not that great of a score but the percentage was still pretty good and I wound up getting into the program that required it. Thus I think that it's more one of those hoops they put up for you to jump through (to deter the faint of heart) but they're not selecting based upon it. Hit me up with any other questions--I studied for this baby all summer and it wasn't the first time:)