I've only ever done this style of interview and I've never hired someone who was downright awful.

I also suspect it makes candidates more likely to accept because you can develop a bond and have a relatively enjoyable time in interviews like this.

Several times I've had the interview process be so unpleasant I lost all interest in working for the company. I try to be considerate and withdraw so I don't waste everyone's time but once I did get an offer from a company like this.