Avi K: I’m not into red strings, Na Nach or “worshipping dead people” (not sure if you mean visiting graves of tzaddikim or meshichists or elohists or whatever), but I don’t know why you single these out as the most important distortions of Judaism. What about the ever-increasing stringencies common in much of Orthodox Judaism today, and the extremist behavior of some of them charedim in Israel? (Beit Shemesh, etc.)
To give one of many possible examples, isn’t requiring people to wear thick black tights, black coats and shtremiels (not all at the same time, of course) in the heat of summer just as much of, or even more of, a distortion as dancing joyfully in the streets all the time? Where is it written that Judaism should become more stringent with time? Or that clothing minhagim should be followed so rigidly as to dress the opposite of what the weather calls for?
In any case, as I see it, the problem you mentioned, that intelligent non-Orthodox Jews might be turned off by distortions of Judaism, is best addressed by people (of every variety of Orthodoxy) promoting themselves to the public in a friendly, open, public-relations savvy way. For the dati leumi, this means Tzohar and Beit Hillel. The Chabad mainstream has already got this down, and for that reason are much more positively viewed by chilonim than are the rest of charedim. Groups like Aish present a pleasant face for the Anglophone non-chassidic frum world. What seems to be missing are constructive public relations efforts from the Israeli chassidic and litvish worlds.
Lesschumras, I don’t agree with most of Akuperma’s post, but I think it’s clear that WoW do want to take over and impose their views on everyone. They purposely sing as loud as they can so that Orthodox Jewish men can’t pray there. They want to either drive the Orthodox out or force them to change their views on kol isha and feminism more generally. They already have a place they can pray according to their heterodox practices; they want to be able to do all those things in the Orthodox area as well.