Yes, Pope Francis deserved to be TIME magazine's "Person of the Year" as TIME bestows this title upon the person who has had the most influence on the world in a single year. As the Catholic Church has over a billion members and Pope Francis has been making waves even outside of his Church, he definitely deserved the title.
Too many people are leaving not only the Catholic Church but, the Christian church in general. Many people do not necessarily agree with some of the positions of the church (conservative views) so they leave. The Pope is more about compassion and being humble and truly shows it. These efforts are making people look at the church again.