When people say "put everything on the blockchain" - this is what I imagine :
The blockchain has very specific use cases; things that are better off with some amount of decentralization present.
Currency is really the ideal example. And anything that needs to be censorship resistant - social media on the blockchain makes sense, steemit has this niche. Something similar for youtube - LBRY.io is doing it, but I haven't really researched into it to comment. Then there's Musiconomi - kind of like a spotify on the blockchain, which directly connects two of the most important people in the industry - the musician and the listener, without all the record label/license middle men nonsense that take cuts and restrict the artist's freedom for producing content.
It make sense for these sort of things to utilise the blockchain.
When does it NOT make sense to use the blockchain ?
Everywhere else. People don't seem to understand the many trade offs that render it massively computationally inefficient.