Consider the capacitor requirement- It will be much higher if the capacitor is connected in series. (I have done a rough calculation, and in that it is almost 3.5 times)
In case of series connection, the whole current has to pass through the capacitor- not only reactive, which anyway it has to accommodate but active too.
__________________
"Did you get my e-mail?" - "The biggest problem in communication is the illusion that it has taken place" - George Bernard Shaw, 1856
When we add a capacitor in series with transmession line , the total impedance of the line (Xt) reduce , therefore voltage drop reduce , i.e. voltge regulation improved , also reactive power is reduce.
Adding capacitor in parallel with load to reduce the current needed (for the same power consumed) , therefore power fctor improved .