I've been doing the KonMari Method since early January. Here are my blog posts on the topic. I've been doing this process at my place and my boyfriend's, since I live and work at/among both places.
You ask a lot of great questions, and many of them, I already answered for my sister, who works a full-time job and has a dog, a cat, and an active toddler (and by 'active', I mean 'gets busy getting into something he was chased off of earlier, the moment he sees her occupied with something else').
I have a lot of utilitarian clothing for dancing and working out - and I treated them just the way I treated my regular wardrobe: if it didn't spark joy, I put it in the discard pile. At the end, I have found myself with a lot of dance and workout gear that does spark joy for me.
My sister did not find that to be the case, but kept utilitarian things that see a lot of wear, resolving to eventually replace things as they wear out, with things that do spark joy for her.
I think there are things that can be tweaked, and one of them is clothing storage. I keep all my stuff out, but the out-of-season stuff is hanging in a separate area of my closet. I also hang a lot more things than I think she recommends, because I can find it more easily, and enjoy it.
There are also things in my home that do not spark joy for me personally, but that I keep out of necessity for work. But getting rid of personal items that didn't spark joy, has opened up a lot of space in my condo and the BF's, and with that comes a great feeling of peace.
ETA: My sister is doing this piecemeal, in chunks. She felt very upset and conflicted that she couldn't manage it exactly as in the book, but I pointed out to her, Marie Kondo doesn't seem to have toddlers, or have to work around them.
And in the video interview she does with Wendy Goodman, she does seem to indicate that you can tackle one small bit at a time, if that's all you have time for.