Actually, the V-weapons and the RAF's incendiary attacks against civilian targets weren't "responses" of any sort.
Instead, both were a recognition of the existing navigational state-of-the-art. Bomber Command was incapable of performing precision bombing at night and began attacking city-sized targets because that was the limit of their accuracy.
Similarly, the accuracy of the V-weapons was limited to city-sized targets. So, that's what they were aimed at.
You're incorrect. It was actually after the bombing of Lubeck that Hitler ordered mass production of the V-2 (before which he was uninterested). The Germans had turned their efforts away from bombing Britain to fight the Russians. It was only after the concentration on civilians by the British that he sought to respond and diverted resources to do so.