The software itself seems to be working fine as selected tracks are playing out of the laptop's speakers, it is the controller which has no functionality and no sound is coming out of the active monitor speakers hooked up to it (with XLR to RCA cables). Having installed the hardware/software as instructed in the setup guide for the controller, when running Pro 2 and plugging in the S2 to my laptop, only the USB indicator light flashes on the controller but it does not appear to be 'syncing' with the software/laptop.
I have a MacBook (early 2008 - Intel Core 2 Duo 2.1 GHz) which I recently upgraded to 4GB RAM (from 2GB) and subsequently installed Lion (OS X 10.7.5), ready to then install Traktor Pro 2 for use with a Kontrol S2 (both brand new).