I know lowering the lag reduces this issue, but it does not completely solve it.
I have a friend who has an interest in VR so he tried the various models being demoed in shopping malls when he could find them in the US and the EU. Always the same problem: motion sickness. So he would ask the people managing the demo kits and would usually get the same answer, a bit more than 50% of the people who try have that same problem. Then a few months ago I came across an article that was essentially raising the same point (can't source it, sorry. The number they gave was closer to 40%).
So basically it seems about half of the target audience asked to shell out a small fortune will have "puking on the carpet" as their most memorable VR moment... Not really a recipe for success.