Update - with 28,000kms now on the KW V3's the winter rebound and compression setting are the way to go for daily driving duties regardless of season. I ran them harder for most of the summer and although the car felt better when pushed it was just a little too harsh. I brought them back to winter setting last week in anticipation of the winter wheels going on and found the ride much better.
For those of you installing cilovers of any type I would wait at least 2000kms of driving before trying to figure out what setting is best. It takes a while for them to break in, mine are totally different from when they went on - much better too.