Halo is big, but hasn't got either the sales or the number of online players that the x360 version of the newest COD game, at least as far as I know. It's a solid second place and offers a lot of unique and cool stuff but still not as massive for some reason.
On the 360 they've been like for like most of the time. A multi-platform title however gets more buzz, as everyone knows and talks about it even if they have a different platform, and the sales can get bigger, marketing bigger, etc. Lately, COD is doing much better story-wise, which is a big appeal to many as you wouldn't believe how many people still buy it for the off-line experience.
Regardless, it is definitely also still a lot about brand. A lot of people I know wouldn't have bought or played Killzone 2 unless I had urged them to do so. So far there is no exception to that everyone who has actually played it, were hugely impressed with the single player campaign. Only the online players have tended to gravitate back to CoD.
Here, in contrast to what Billy Idol says, latency is in fact a big factor. Since latency becomes big with online games anyway, everything you can take away from that on the side of the game itself brings the total latency closer to that magical 150ms that grandmaster / DF's latency investigation came to the conclusion was the 'magic point' where people start complaining about response-times. This matched with the experience from Killzone, where latency was averaging around 150ms with even offline some spikes to 180ms (at least pre the later patched in option to improve response, which did help some), which is just about acceptable for offline, but online causes problems very quickly unless you have a very good connection. Killzone 3 brings it down to Halo levels, but at the level that is the best a 30fps game can do, that's still almost 0,4 higher than the best 60fps games manage (like Burnout Paradise). Still, it's good enough to keep it at or below the 'magic' 150ms mark for most decent connections and is excellent for offline of course.
On a higher level, I think it is interesting to note that the borderline of a human being's best response time in terms of pressing a button after a signal is in fact right inbetween a 1/60th and 1/30th of a second (i.e. one frame of a 60fps game vs one frame of a 30fps game) - for most people it is about .22 seconds, and it goes up as you get older apparently.
This goes hand-in-hand with research back from the CRT days where displays would flicker, showing that the borderline for most people to be able to detect the flicker was between 70 and 80 fps. Not everyone would notice without being trained, but they'd still be getting headaches or more tired at 60hz or lower refresh rates, particularly with stuff where the image you are looking at is mostly static and bright. It's basically this ability to detect movement and then respond which matters a lot.
For moving images, things get more complicated on the visual department, as your brain interpolates a lot, which is why you can do so much at 30fps by adding object based motion blur to make things look incredibly smooth.