Yes, potential cyclists balk at the idea of hills, but they also balk at the idea of helmets, rain, rain gear, heat, and cars. I'm pretty sure they'd balk at the prospect of using this ingenious yet silly lift, too.

IMO, the best way to get people to overcome their reluctance at the idea of transportational cycling is to convince them to just try it for a week or two, so that they can see that's it's not nearly as dangerous, arduous, or inconvenient as they imagine (provided they live in an urban area and live no more than 15 miles from their jobs.)