While it's true that it happens inside a virtual world where they can get out when they want, video game franchises are still considered isekai in Japan. Even in the recent gacha game Isekai∞Isekai, both Sword Art Online and Shangri-La Frontier are included.

To be fair, TBATE's problems were evident from the first PV, and it would have been great even if it only had a regular animation, while the trailers for Lord of Mysteries have been magnificent. I'm curious what series you're talking about. I would love an adaptation of Jungle Juice, SSS-Class Revival Hunter, and Pick Me Up Infinite Gacha.

The anime has been promoted since its announcement as The Beginning After the End Season 1, meaning that they had already decided to release more than one season. This makes current animation even sadder, as they saw the series' potential from the beginning but didn't take the time to deliver a better final product.