Ah, my anger for this game knows no bounds. Where to begin? (BTW: This is my review of your actual FULL game, not the demo)
I'll say that your idea of bringing in the melee system was great, but was poorly executed. For one, the knife has a vastly shorter range when compared to the enemies with bats or the enemies with dual knives. Which brings me to the subject of your HIT BOX AREAS. OH gawd, you really did a terrible job with the hit area boxes. The attacks the bat enemies and dual knives enemies gave to me weren't even CLOSE to hitting me, like I was a full body length (width-wise) away from their attacks, and they ended up hitting me. Even the police enemies had this problem as well.
The frustration doesn't end there though.
Your usual sniper idea was fine, during the rooftops level, but the fact that you didn't give us a zoom feature just completely killed it. Seriously, I spent 5 minutes during that part of the game just looking through every single window with my face plastered to the screen, in an attempt to find all the snipers. I'm glad that you didn't give us a timer to go on because if you had, there would of been no way I would of passed the sniper part. I was really hoping that pressing any of the keyboard buttons would of zoomed the scope for me, but alas, to no avail.
I'm not through with you yet though.
THE WORST PART of this whole damn game was the police level (4th level). In fact, it was that level where I ended up just giving up on the game because it was too damn ridiculous and with so many problems with it, that there was no point in even trying. At first, we're given a shotgun, which is pretty awesome, since shotguns usually = uber death to the enemy, which it really did. Then, after we passed the door, you supplied us with some ammunition and health, which was also fine. WHAT WASN'T FINE though was your idea of having an all out enemy fight fest with police enemies and dual knives enemies. Because it's virtually almost impossible to kill a police with a knife (which I'll explain later), the only time I was able to conserve ammo was when I was fighting a dual knives enemy, but the problem here is that every time I went a round with these guys, I had 2 police enemies and 1 dual knives enemy, instead of the 2 dual knives enemies and 1 police enemy that I was hoping for. In conclusion, what ended up happening was that you didn't provide sufficient amount of ammo for us to use during that particular fight, and (I'll now explain why it's virtually impossible to kill a police enemy with a knife) whenever I ran out of ammo and had to resort to my knife to kill the police enemy, they would (Over half the time), GLITCH OUT ON ME. I stabbed the police enemy, and he just stands there holding his gut, and the game won't let me attack him, and I can't proceed forward with the game. Everytime that happened, I had to restart the level, which was basically EVERYTIME.
*sigh* I suppose there were some good things that came out of this game, like the cutscenes were neat (Heck, if you made this into a flash movie, it probably would of suited me much better), the game interface was cool, and it had pretty good graphics, although your grammar could really use some work. (There was a grammar mistake in just about every other sentence that was spoken in that game.)
So overall, I was displeased with this game, especially since I liked Siftheads 2. That game was good. Hopefully the next game you make won't be as frustrating as this game was.