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To answer the op, as much as people will deny it. Final Fantasy VII was their first final fantasy and they felt connected to characters who portray some of the subcultures they were in ...(Blah blah blah, huge paragraph later)... In conclusion: Mainstream audience of just about 10 million made the game popular and the silly moments popular.

Personally I was like meh useless character gone, now if only we can get rid of Cait Sith and focus on the Turks.