Don't discount CNBG hits on a worm. Sometimes, the bigger the hit, the smaller the fish. CNBG will nip at the tail, and really confuse the issue. Also, watch your line. Sometimes it will just start moving. If so, set the hook.
I will say this. At some point you'll get the feel, and will really enjoy worm fishing. It can be frustrating at first, but you can throw a worm places nothing else will go, and it's a blast. When worm fishing, I keep my rod tip a little lower also. It gives me a chance at a quicker set.
As Bocomo said, that's a pretty thick worm to be learning with. I would initially go no bigger than a 6" worm with a #3 hook and a 1/4 oz weight. This should increase your hit count. Buy whatever brand worm you want. I have my favorites, as does everybody else. I fish Jackalls, and Lake Fork Tackle almost exclusively, but that's just me.
Good luck and good fishing.
Al, I'll have you fishin' some of this stuff on a fly rod before long ...

You can keep a weightless rabbit strip worm fly in the "strike zone" longer than a Texas rigged plastic worm .... LakeFork bassers never die they just .... yeah, you know...

There is no law on the books that I know of that would keep you from throwing a weighless plastic worm on a fly rod - might make the purists shudder...

