When using soundmapper I believe you are using MME rather than ASIO, and that alone may have been the issue (?)
Does the USB device work when selected while using MME drivers?
Or maybe the device requires windows soundmapper to work ..
..according to manual here -
http://www.technologyinthehome.com/downloads/AUDCAP1.pdf
Audacity also uses the soundmapper with this device


I do not work here, but the benefits are still awesome
Make your sound your own!