I think there is a target market for this, and it might seem silly to anyone outside of that market, but it shouldn't.
If you're a screen addict living in these cities, paying an entry fee could be reassuring because you know that you're supposed to be there. The same goes for having a non-skills based activity, because you can't screw it up.
Compare that to a free and/or skills-based gathering[1], where you end up paying with social capital (which you don't currently have), and staying home with the screen becomes all that more enticing.
1: I help run a monthly pinball tournament locally, and we've taken deliberate steps to favor socialization over competition, which has been wildly successful, but there are still those for whom the skills-based activity is too much. I feel the same about dancing.