Just played through the latest release(hadn't played it since the first teaser) and first off, I love it. Second, to respond to your sort-of-still-open-ended-question about difficulty? please don't make it easier. If you make it easier it will make me sad and when THAT happens I'm not terribly Dom-y. NOBODY wants that, trust me. It ain't pretty.
For more specific feedback:
In general the difficulty is largely nill if you're taking advantage of saves and the free hotels, which, when combined, make screw-ups 100% the player's fault for not remembering that golden rule: "Save often." Believe me, been there, done that, got the T-shit, wasted hours of grinding, cussed up a storm. It sucks. But the game warns you when you're getting into Somethin' Fun or when the enemy set is about to change and frankly it's refreshing to have to think during battles, even if it's only a little.
The only areas I had trouble with were the first forest with Tal
The dialog's well written, the sex scenes are fun and definitely right up my alley(they could be a little more rapey but then that runs the risk of breaking Simon's character; I'm too possessive to want OTHER guys to get in on the action so this isn't a problem so much as wistful pining) and while I personally found Fucklord to be way awesomer than Incubus King (and more hilarious because everybody says it with a straight face), alas I was too late to cast my vote. Definitely interested in seeing what direction you take this and eager for the next update(I may skip a few so I can play through a big block of it at a time). Thanks much for putting in the time and energy to do this for us and thank you for writing English with sufficient eloquence and solid enough prose that I enjoy reading what you've written, rather than what Every Other RPGMaker "Project" does. Which is usually pretty awful.
Good luck out there, keep up the good work and good huntin'!