I'll leave it short and sweet.
Part of the success of Reborn in my opinion is the consistent release of new content and the community feedback. You guys are able to work on the game and make adjustments to what the players think of the game somewhat like a constant Beta, not to mention a lot of bugs that likely would not be caught by releasing the whole thing at once, no matter how much testing you did. The Episode method also keeps people coming back where as if the game was all released at once people would play it for a couple weeks until they beat it and then it would sizzle out much more quickly. One more thing the episode by episode release does is encourage replayability to see the changes made over time. A full release you might see those who really like it replay it once or twice, but to nowhere near the degree you'd get with the episode by episode release.
I think balanced is the best approach. Pokemon Reborn, while it does let you make decisions, these decisions don't do much to effect the actual gameplay or long term storyline. The story is very deep, but in regards to how the story itself actually goes it doesn't feel like the player has any real control over it. I think it'd be best to add a touch more of the choice side. Like I dunno a choice that depending on your answer you will have companion A or companion B with you, (Angel or Demon), you get the idea. Not something where it'd be so in your face that the choice leads to hell being dominant on earth, or Heaven either. In short, meet in the middle with a slight edge towards story depth.