While DK2 had some lower specs, it didn't have the god-ray problem, red-tint problems and it had exchangeable lenses that made it possible to use without glasses. Meanwhile CV1 didn't brought any new features (still no passthrough camera, no tracked controllers on launch), just a general bit of polish and upped specs. Given the drastic price increase of CV1 and all those problems it felt rather lackluster overall, especially since Vive pretty much stole the show with roomscale and tracked controllers. Oculus is just slowly catching up to that.
I am really not sure that the $600 price was a good idea, as the biggest problem VR has is not the quality, but a lack of content. A lack of VR gamers due to the expensive price isn't helping there. That said, the Oculus launch was a rushed clusterfuck with many month of waiting time anyway, with a $300 price people would probably still waiting for their Rift.
With PSVR now out and christmas not so far away, I am wondering who will make a price cut first. VR really needs that if it doesn't want to die a slow death again. Expensive VR hasn't worked the first time around in the 90's, I don't expect to work it this time around either.