Yeah playing other smaller playerbase games they often just have servers that get full so you play the other servers. Even if you sort of degrade the idea of having a single room to hang out in thats probably a good thing to prevent one-room culture. I think after waiting a bit after the room shrink experiment this could be another thing to try.
To be honest though maybe the problem is that all the time spent on trying to mess with the lobby system and advocating for modifications and complaining about modifications isn't being spent on promoting the game lol