My favorite method of consumption is straight off of the spoon. It is soooo good. Took me about a week to become accustomed to the taste but now I LOVE it. I buy the Nutiva unrefined stuff (which you can subscribe to on Amazon.com for uber cheap).
I use it for quite literally EVERYTHING. I put it on my hair and skin - I'm going to try the deodorant, too! I cook my eggs in it. I cook my veggies in it, I saute leftover meats in it. I do not cook with any other oils - they oxidize way too much just being at room temperature, there's no way I'm going to heat them up. I add coconut oil to smoothies (which I rarely have) to add good fats.
I eat about 6T/day. The reason I started was b/c I purchased a meal plan from my coach and the only fats he had listed were 1T coconut oil with each meal. Now I eat 2T with some meals. It helps with weight loss as well as it's an antiviral, antibacterial, antifungal, and anti-protazoa (sp?). It's amazing.
My trick is to put a spoon full of coconut oil in the fridge to let it get nice and cold for a few minutes before eating - then you can take bites out of it.
I am also GF/DF/SF so I don't do pancakes, etc, but if I did, you'd better believe I would be using coconut oil!