I don't know about website size, I think they're placing much more importance on "brands". My site has been hit hard, but my competitors seem to have been obliterated, all good sites. I feel sorry for them. G have decided two sites in particular will rank no. 1 & 2 for everything.
I'm trying to find other ways for traffic. Writing more quirky articles. I ask my friends and family to ask me questions about the topic of my site. I've covered all the well known ones, but it's amazing what a child will ask about the topic, and has given me some good ideas for new content. The two new sites whopping mine are medical, so I'm going for the non medical articles. You have to evolve in today's market.