Are you sure you aren't living in a techie bubble? Oculus consistently tops the best selling headsets list at amazon cnet, PCMag, etc.. The only non-developers I know with headsets all have Oculus or more rarely PSVR. Maybe they aren't cutting edge, but everyday people can't afford cutting edge anyway.

They burned a lot of developer cred. by going back on the promise not to require Facebook login with Oculus, but the public at large has no knowledge of that. All the public knows is that it's decent hardware for a super low price compared to the competitors, it doesn't require a PC, and it's what most of their friends with a headset are using.

Can't really call having the most popular headset not succeeding, even if it is probably subsidized with their massive ads money making machine.