Surface piercing propellers are only beneficial for very high velocities (
Froude number well above 1, so planing boats). There is a limit to the amount of thrust loading (or power loading/power density, what's in the name...) you can put on a normal propeller before you get
thrust breakdown. This simply means the propeller is only pushing water downstream, instead of also 'pulling' the water on the suction side of the propeller. For a normal propeller roughly 2/3rds is pulling, 1/3rd is pushing.
If you really need to go to higher power densities super cavitating propellers are usually the next step. The propeller, shaft and struts (holding the shaft in place) are still entirely submerged in this case. Here you simply accept that the suction side (forward facing side) of the propeller doesn't do anything useful and you are only pushing the water. Now you can design propeller blades which are better for super cavitation.
This is all well and good, but if you want to go to even higher power densities, the drag of anything in the water becomes enormous (and starts to cavitate and possibly erode and all that). So the beauty of super cavitating propellers is that there is only the flat surface of the hull and one blade of a propeller that is in contact with the water at any point in time at these very high speeds. The propeller shaft and anything else is all entirely above water to minimize drag, which is a real benefit at these high speeds. Secondly another advantage is (I think) that you are accelerating most of the water through the air, instead of generating a jet in the water. Just as for waterjets, this is beneficial for efficiency since the goal of both a waterjet and a surface piercing propeller is to generate as high as possible water velocities (look at the trail of water above the water surface aft of a surface piercing propeller at high speeds).
But please note the following simple physics: momentum (or thrust) is mass(flux) times velocity. If you double the mass, you double the thrust. And if you double the velocity you also double the thrust. However kinetic energy is mass(flux) times velocity
squared. Thus doubling the velocity takes
four times as much energy! This is why it is always better for efficiency to accelerate a lot of water a little-bit instead of a little-bit of water a lot. So increasing the water velocity is never a very efficient option. At these speeds you have no choice however.