These blocks are indeed small, but I realise that they fit well in my baby's hands. Maybe we remember toys like this as 'bigger' simply because we were smaller. If they were any bigger, the little guy wouldn't be able to handle them so well.
He is quite young so he doesn't know how to spell yet, but he does like to find out what the squares taste like. I like to describe the alphabet to him and also make towers that he knocks over, so it's as much fun for me too. I was just looking for something traditional for him and I hope he has nice memories of playing with toys like this.