You are not missing anything, just misunderstanding.
Many other tracking apps discussed here, rely on GPS to do the location tracking. Once you turn the GPS off, the app won't do you much good.
Cerberus on the other hand, does not require GPS to track your phone. It will use location services, and it's pretty accurate at that. Just turn it ON, enable Location History in Cerberus' settings, and check your tracking tomorrow. You will see where your phone was, inclusive on nice Google Earth tour, point by point
Just a quick one about the GPS control.
If I'm not wrong, ever since Ice Scream Sandwich, Android doesn't allow 3rd party apps to easily control GPS toggle. So even for tasker, it is no longer a straight forward job. You will need to download an app like Secure Settings, then while setting up tasker, you can't simply choose ON GPS by command, but you need to go to Plug Ins, and select Secure Settings, and go from there.
Anyway, GPS or WIFI are easily accessible through Notification. So I suspect, if someone is concern about it, will turn it off as soon as they jack the phone.
Probably turn the power OFF too. Location Services on the other hand, require far more digging, and a fairly savvy Android user to know what to do with that. Your only chance is to wait for the troll to Turn the phone ON, and start tracking it then, or immediately after it was stolen.
The good thing about Cerberus is, that even if someone change the SIM, you can still track the phone. And get the SIM info. Which you could report to your Telco of Police, before the phone gets wiped clean.
In regard to Location Services and History. Just keep in mind, that they tend to be battery hog, so while I keep my Services ON for Cerberus, I disable this option via settings, pretty much for any app I could find, that supports suck settings.
Especially Google's Location History, all the social network apps, G+, Google Search etc... Damn... they can chew through battery with the speed of light.
Did I miss anything? I hope you enjoy the app, and I really hope, you will never get to use it
cheers, and have a good weekend ahead.