I started my pool tournament play in 1982 at The White Spot in Fife, Washington. It was a Wednesday night 9 ball tournament, race to 3 on bar tables, with a $5 entry. It was a legendary weekly tournament with fields of 24-40 every week. I considered the $5 entry to be a huge bargain for lessons. I played for a year and a half before I won a beer for a 7-8 finish. Two years later I was capable of winning the tournament.
I have never been a fan of handicap tournaments. I did enjoy tournaments that had ratings based entry. B and even C rated tournaments for the smaller fish to have a chance at victory. In Sacramento in the 90's I found a weekly B tournament that got a good turn out every week. Staying under the radar and cashing enough to cover "the nut" was the challenge.
I even found a weekend C tournament in Spokane in '03 that filled up with a field of 64 with $40 entry and a $10 side pot that contained $190. First place paid me $890. Pretty good score for a C player.

Funny part is the person that submitted a complaint to the tournament director was the person I played in the finals.
My travels up and down the west coast led to many different varieties of tournaments. It was interesting seeing what worked in different places with different clientele. Playing Scotch Doubles with partners determined with highest and lowest paired was fun at one location. It usually resulted with a middle pair winning.

Another location had a Sadie Hawkins tournament where the ladies drew lots and picked partners. It was fun.
Keeping the entry fee at a recreational level discouraging "the sharks" was often successful.
If you have a tournament that's working don't fix it. I have seen a couple of small local tournaments that started growing to good size fields only to be modified and then just petered out. Different formats appeal to different audiences. Just remember, it's Recreation.