How many of us flew/drove across the country for an ATP NY/NJ festival? Of the people you talked to, how many were local-ish? How many were from out of the country?
I mean, yeah, nearby festivals are easier to get to and thus more attractive but a boutique festival can get by with a majority of out of towners. And they can pull them in with the right line-up.
If there was an ATP-esque destination festival in Tucson there'd be more people from New York (and a lot of other states) than from Flagstaff. I'd bet the people from California would top those from Phoenix.