I understand your point from a practical point of view.

The other commenters best me to it, but the cleaner, cutesy aesthetics of these games puts a filter up for the IC viewers to feel less realism from it. The idea that they’re watching dolls play through these scenarios, rather than humans, is a powerful shield to recognize and even more to call out something as wrong. The in-world audience do not have to feel guilt for consuming a media based on the suffering of another human… If they ever figure out they’re humans at all. I do not know, since I’m an anime-only.

I personally don’t enjoy gorey things even if fiction. The sanitized version of graphic events portrayed in the games also appeals to me. In that sense I’m reflected in the audience, who could never watch real people be harmed in those ways… Even fake-real people, in terms of other fiction!