While I am, convinced that Rome could hasve taken Germania proper, there are a few problems with the reasoning why and how.
- An Elbe frontier, ore a Vistula frontier, would have been shorter, but the Romans did not know that. They did not pursue grand strategy over large maps but over diplomatic correspondence - the question who are friends, who are enemies, and who is easy to intimidate or worth plundering. The idea of creatoing an easily defensible border comes relatively late to Roman planning, and when it does, usually results in retrenchment, not conquest.
- Conquest to Principate Rome is an expensive and risky proposition. The Principate's ruling ideology is one of peace and stability. Where this is threatened, the Romans restore it. The Republican ethos of conquest, though, is gone, despite attempts to revive it periodically, and more importantly - the mechanism that drove Republican conquest is gone. There are no longer the bottomless manpower reserves that war leaders simply need to avail themselves of. The legions are standing, professional forces that need to be husbanded carefully. Trajan raising three legions is newsworthy - by the time of Caesar, three legions raised is part of the business of running a province. Similarly, the Augustan peace ethos does not allow the amount of plunder and extortion that made conquest so profitable. The troops can not be rewarded adequately for their suffering and the state may well come out with a loss. And finally, a military career that is too successful opens you up not to political greatness, but to suspicion and intrigue.
- And finally, there is precious little in Germania worth having. Many modern writers tend to think of Germania, Illyria, Moesia and Germania as more or less the same 'barbaric north', but if you know a bit about local archeology you will see that the differences are huge. Illyricum was practically hellenised, Moesia and Gaul had cities and infrastructure not very different in scale and ambition from those of 12th-century England. Germania was a howling wilderness by comparison. Just last year, archeologists in modern East Germany discovered a site where Germanic smiths mass-produced spearheads. This made the papers. Finding a specialised workshop of any kind in Gaul, Britain or even 'Celtic' Germany is filed with the other ones. Treasure finds in Germania during the first few centuries of contact invariably are from Roman sources, come north as diplomatic gifts, trade items or plunder, while those elsewhere are usually of local manufacture. The only thing to be had in Germania is glory, and glory is a dangerous thing to amass after Augustus.
The best options IMO are either a conquest in the initial attempt, under Augustus, when he still treated the army as a mobile, disposable force, or through Roman intervention in a Germanic war, piecemeal and through the absorbtion of client states. The problem is that the climate, military capabilities of the locals, extreme poverty and ill-defined borders make it an operation forever at risk of cancelling.