Unless I missed it I have a couple questions.
1) Is there an entry fee, and if so how much?
2) Is the prize support only for the winner, or is it top2/4/8/whatever?
If the entry fee is fairly high, like $10 or more, and the prizes are only for first, or maybe only top two, and the same 1-2 people are always winning those prizes, then yea I'd come to the tourneys a lot less, and instead just play the casual days for cheaper (or free).
I believe that this is exactly what the OP is hoping to prevent from happening to the players in his area.
Playing casually is fun but actively bringing the ability of the local player base up will be bettere for everyone.
if everyone stops playing events and just kicks around for super casual games the game as a whole will not grow, and anything that does not grow naturally dies off. (figuratively speaking of course)