The problem is you guys think this is about music. And it's not.
It's a business and it's about ticket sales and the promoter thinks he can sell enough tickets for a particular demographic to see a band play a larger venue, and he's going to take the risk based on his available evidence.
Given his track record, I'm guessing the promoter will be right. Again.
Exactly! They are into it for the money. We are into it for the love of music. Sometimes we forget that.
On one hand, I think the labels, promoters, etc., see that the audience has a desire for indies and other lesser known performers and are trying to make a buck on that thirst. Good. We can all question whom they back, especially when they don't appeal to us, but they have their reasons.
On the other hand, I'm not going to try to take any of these bands down because they got lucky by being noticed and taken under the wings of the guys with the backing. I don't like the way the record industry works but that's how it is for now. The promoters, by nature of the business, usually have to work with them in a way that's beneficial to both and hopefully, the artists. It's up to us whether or not we choose to attend these shows.
Personally, I don't like large venues so I'm usually pretty lucky myself with not having to decide whether or not I want to attend such places. Double luck that I tend to prefer bands who usually can only sell to an audience in a smaller venue.
As much as I want to agree with many of the points that Monkey Pants made, this isn't an ideal world and these bands need to pay their bills too in a dog eat dog industry. It would be nice if everyone advanced 'fairly' (whatever that would be) and not get the benefit of moving ahead 5 spaces while other well seasoned and talented acts keep barely filling rooms for 200 or so. That's just not the real world. Kind of makes me happier that I tend to prefer the lesser known bands and want to support them even more. Then again, I can't stand the rush to try to buy tickets to a highly coveted show that I really would not want to see in a much larger venue. That's just the breaks.