The foam set up works well enough. We did it for our canoe for a long time.
There are trailers designed for kayaks and canoes though. I've thought about going that route myself. That way I could put all my gear in it as well! BONUS car room for ladies and stuff..cause you know ladies flock to us carp anglers
Various companies make them and you can find em on craigslist a lot as well. I've seen a few sitting from 100-300 dollars a few times. Comparable to a good rack set up anyway.
http://www.google.com/imgres?imgurl=http://www.castlecraft.com/_derived/canoe_trailer.htm_txt_Trailex-tx200.gif&imgrefurl=http://www.castlecraft.com/canoe_trailer.htm&h=289&w=500&sz=16&tbnid=zDZ5ultfRViqiM:&tbnh=75&tbnw=129&zoom=1&usg=__z8lVxtKvoKWbotfx8imu-qL9sFE=&docid=PDdZM_QAIkKyRM&hl=en&sa=X&ei=G911UcOaK4m30AHYrYCIBg&ved=0CEwQ9QEwAQ&dur=307