You might be summing up a small minority but I don't really think you've got to why FPS are so popular with millions who don't fit your generalization.
I'd consider the immersion of FPS and the natural way they support an action orientated narrative. I'd also consider which genre's of films tend to be the most successful (i.e. action/excitement movies with narrative) as a clue too.
In general I guess for many most FPS (not all) offer two distinct challenges as well:
a) campaign where you get to star in your very own action movie
b) online where you get to either work as a team (cooperative) or compete with others in a very dynamic and thrilling real time nature.
FPS isn't my favourite genre (that's probably the FPS/RPG hybrid that contains games like Dues Ex, Bioshock, System Shock 2, Fallout 3, etc) but I do enjoy them when I play them and I think their appeal goes beyond your analysis.
Try to be reasonable... its easier than you think...
