Wilderness mode (random spawn and switch character on death) is quite unique in a sense that:
1. Random spawns, it makes it so you don't have a guaranteed rally point (near player portal) even if you are dead.
2. Death resets all your progress (except structures already put in the world), but it offers a quick character swap if you want.
However there are some problems:
1. The player portal does not exist on wilderness mode (even if you change game mode from others to wilderness mode, it will remove the portal). It can cause quite a few problems, like:
a. Not able to switch character without keeping the progress after you do the moon island thing.
b. Things that spawn near player portal is no where to be found. To me the most important thing is you cannot find the midsummer crow.
2. Death resets all your progress, but you do not get additional starting resource even if you configured that way (it's treating you as an old respawned player). This can cause a lot of death and unpleasant gaming experience, especially in winter.
3. Everything ghosty interactions are gone. I personally think it would be better if you still becomes ghost, but you are on a timer to revive yourself. And when times up you lose your progress and have to switch character.
4. Respawn points seem to be limited. After several deaths then you are bascially clear on the spawn points.