At least, I imagine anyone who has a cassette player also has a CD player while many people who have CD players don't have a cassette player.
The weirdest album I've seen for sale at a show was a Sega Saturn (or maybe it was a Megadrive) cartridge.
Cuz it's not. CDs use the same sound encoding method as vinyl, just stored in variable reflectiveness instead of variable height. The "files" you see when you pop one in your computer is an abstraction generated by the operating system, they're not really there, there's not any digital data after the table of contents.
But still, that hardly makes cassettes better sounding.
I thought it would be worth mentioning that you may be confusing CD with Laserdisc, the video format. Those look a lot like huge CD's but are in fact analog and work more like what you describe.
I think the point I was trying to make was that tape is something different than digital. You can download high fidelity files as well and if you buy a CD you'll probably end up importing the files anyway.
With that said, cassettes are definitely not a hifi option and I'm quite sure it's genre dependent as well.
DAT, of course, saw reasonable success in the recording industry for transferring 2-track digital lossless audio to and fro studios and such before CD burners were commonly available. DCC saw very little, if any, success anywhere :)