Can that dedicated server magically be in completely different locations in seconds at the press of a button?

It's not like vpn providers are renting out one shared server. Being able to pick between countries is a key feature. Shared servers might actually be an advantage too. If your vpn is on a unique IP, it's probably easier to deanonymise you from bulk data.

And what is the average user supposed to do with it? I doubt that most people are even aware that you can ssh into a server and configure it for tunnelling your internet traffic, let alone knowing how to do that.

In Australia, we can usually get over 80% cash back with NordVPN

This is like hearing that your aunt bought an iPhone and ridiculing them because the latest Samsung fire hazard has more megahertz of RAMs.

Nobody cares, and if you aren’t tying this to user value from the get-go, you’re fighting a losing battle.