Of course there is room for those games and the game itself can be also rather bad/boring and still sell pretty well.
However, things you need to think about:
-Piracy will be *much* higher.
-Does your host allow such stuff? (mine doesn't)
-You need content. If you know someone who runs some of those pages, it will be easier. Rendering is also fine. If hand drawn, pick manga style (hentai).
-Your image. Create a spin off company and/or (at least) a new site. Y'know Pulp Fiction? It's technically from *gasp* Disney.
Uh... and no, I don't have any experience with that stuff