*Uninstalled and reinstalled controller and related software drivers, launched the game as administrator and it is finally registering inputs. Deleted previous bit of initial review as it is no longer relevant and appears to have been a driver issue on my part(?)
I only played around in the opening area of the first chapter as I had just finished the Chapter 1 demo without realizing Chapter 2 was available. Will play more in the future but this appears to run smoother and already you can see that there is much more content available in this demo. I look forward to playing more in a few hours!