For me the physical keys are better. With the touch bar, I have to look down to change the volume, and it occasionally hangs with the volume slider visible, but not actually responding to input. That's usually when I really want to turn down the volume quickly, and instead my laptop is blasting for another second while I have to adjust the volume with the mouse.

Also I really would like a physical mute button. It's often very valuable to be able to mute in a hurry.