I think the OP has some good points. In other ways, he's kinda off-target. The Fest, and all audio shows, are stuck with a few physical, economic and social constraints:
1. The exhibitors MUST be in separate rooms. Otherwise, demos become volume contests and everyone is miserable. Every audio show in the world is done this way, from CES and RMAF, all the way to Manchester, England, Munich, Germany, and Hong Kong. The "large hall" exhibits at CES are not intended for serious demos, and most of the stuff in them isn't dedicated audio. The real audio stuff is in the top floors of the Venetian, all in separate suites.
2. AK Fest isn't CES, and Detroit isn't Vegas. We can't charge $5,000 for an exhibit room in the Venetian, only $850 for the Embassy Suites. OTOH, attendees don't have to pay the airfare to Nevada and $500/night for a room at those "special" CES rates.
3. Expensive new gear is what pays for the show, and the site. Take it away, and you have to go back to 7 rooms and 200 AK members. I absolutely believe those guys had a truly great time, and I wish I'd been there! But without growth and younger members, the whole thing goes stagnant and dies of old age in a short while. Today's expensive new gear is tomorrow's vintage, and today's vintage is tomorrow's antiques. Once they become antiques, the price rises to beyond the level of today's stuff. Besides, The whole reason many of us got into vintage was to recapture stuff we saw and heard when we were kids and couldn't remotely afford.
4. When you enter a room, what you encounter is largely random. Because 3/4 of the folk are non-member walk-ins, you might see a group that knows one another, and you might see a group that has nothing in common except audio. In one hour, you don't get enough of a sampling to make conclusions. I know this for an absolute truth based on walking in and out of my own room at the Fest. I'd wander a bit, come back, and not know anyone in there. Other times, I knew some folk, and occasionally, everyone. Those rare occasions were definitely the most fun, but the other 90% of the time, I had to introduce myself... or just sit there and listen.
5. I'm fairly anti-social. Rich PA probably has some yummy pills that will fix it, but until that happens, I have to make an effort to meet new people. Sadly, I also have the worst memory for faces and names, so I frequently do my best "deer-in-the-headlights" impression when I see someone I met and talked to last year, and I have a damn hard time linking real-life people with their AK personalities. As a result, I tend to be quiet initially while I struggle to figure out who the hell I'm really in the room with. The point is that unless you're one of those lucky folks that auto-remembers faces, names, and AK monikers, or gets them all instantly, every time you enter a room is a small trial. I don't think I'm alone in this, and believe me, it's worse than being a newbie, since a lot of folk are wondering why you're not saying hi. As a newbie, if you listen for a while, then chime in, no one thinks you're ignoring them, and almost everyone will be friendly.
6. If anyone can figure out how to fill an audio show with interested women, your listening room at the Fest will be free, forever, and the existing membership will keep you supplied with all the hooch you can drink. The OP has yielded that it's not a valid criticism, but it goes beyond that, to the level of dreaming of miracles. OTOH, the women that are there are amongst the finest examples of their gender, IMHO.
For next year, we can do more to welcome newbies. I'm against the post-count idea; but perhaps a "New Member" sticker for anyone that requests one? That way, if you want some extra attention, you can get it, and if you don't, you can always hide in my room. Besides, we can put one on Eric's badge when he's not looking.
Other suggestions, like seminars, etc. all become possible as the show grows. If we can take the whole place next year, the hotel will care less about the doors being closed. We could have a specific area of the hotel for vintage, with members rooms or other rooms set up to educate in particular areas, like DIY tube gear, restoration, etc. That's a HUGE increase in size, and a risk level that will have Dave sleepless for weeks before.
The good news? The hotel already called Dave to make sure we're coming back. The exhibitors were so happy with this year that they're spreading the word for next year. 09 will be bigger and better.
To the OP, come on back and give it another try!