It's just a distraction, really, not much better than a WIN button.
The rest of us probably doesn't even want to be aware of the possibility to chicken out so readily
I disagree with this. For the same reason that millions of players enjoy Minecraft creative mode. When they came out with Survival, they could have just turned creative off, and let it be a plugin to turn it back on, but they made it an integral part of the game. If you talk about racing games, your car wouldn't get destroyed. That doesn't mean you wouldn't see a slowdown when you hit things and enjoy the practice of gaining better control of the vehicle. And first person shooters could be the same, where this mode lets you more safely just explore levels, and learn about other interesting places or secrets that you can apply in real
life gaming. Like Starcraft. You can turn on Cheats, but as soon as you do, all awards get turned off. Which is an enticement not to do it, but the option is still readily there.
However, I will give this significant issue. I've played god mode on numerous games, for similar reasons as I posted above. I still had fun, but the levels were not designed for gods. Normally, when you fall in a pit of lava, you just die. Given that, a pit of lava doesn't expect to provide you with a way out if you fall in. I've been stuck before in situations like that.
I will concede that if you consider putting things like god mode, or easily activatable 'cheats' like flight, infinite ammo, no keys required, etc... you need to make sure your game won't break down by getting a player stuck somewhere (or other equally un-fun scenarios). Infinite ammo doesn't seem like an issue, until one of your designers thinks of an awesome idea that you enter a turret and shoot as many enemies as you can, until you run out of ammo. If they didn't program in another way to exit the turret aside from running out of ammo, then the player is again stuck.
I like the idea of being able to turn cheats on, just do it responsibly.