I think that demoing a game like WD with an effective "vertical slice" of "gameplay", proved unintentionally deceptive for Ubisoft. And I think it just plain set them up for a fall, especially considering when they demoed it and the manner in which the game was shown.
When you demo a game with a section of gameplay, especially one that looks as developed and polished as that E3 2012 demo looked, you set expectation in the minds of gamers that the game is much further on in development than it actually is, and that the game how it was shown is effectively what a gamer will see in the final retail product once it has been eventually released.