Lack of interest in billiards causes rooms to eliminate billiards tables which in turn lowers interest in billiards even more.
It is to the point that rooms with just a single table couldn't justify the space taken for the table versus what the table brought in.
Make more money putting in a couple bar boxes, or darts or anything else.
Factor in that humanity is more worthless and lazy than ever. Any kind of high skill game or thinking game, that is - anything which requires too much initial investment in time and effort to get to a point where the game is playable is no longer interesting. People like easy, quick to learn games these days. Short attention span stuff. Feel-good games that provide satisfaction quickly. This is why 14.1 and One-Pocket are niche today. This is why poker is so popular compared to better, more interesting and skilled card games. It goes on and on.
A beginner is more effective and functional on a pocket billiards table than a billiards table particularly 3-cushion. A beginner can start pocketing balls reasonably early, and if they miss, balls can sit in front of pockets so that a game can progress to completion.
What happens when you miss a 3-cushion shot? It's never automatic on the next shot. No matter what you do, your misses and actions on the table are not setting anything up to be easier the next time. Unless it is by random chance (only the high skilled players play position to setup routine pattern shots on subsequent points).
Billiards is highly deceptive. It looks so easy, much easier than pool. But in reality, requires much more precision. A superior stroke. More power and purity in a stroke. It requires more creativity, and the ability to perceptualize the shots, a skill or trait many people lack and never achieve. Most intermediate pool players have a deficient multi-rail kicking game...good luck on a billiards table.
Just collect a bunch of APA 2's and 3's (bangers) and have them have at it at 3 cushion. You might die of old age before you see a point scored. These are league grade players, better than your casual Friday / Saturday night customers, and they can barely draw a cue ball or not at all. Billiards isn't kind to those who can't hold a cue straight.
Billiards tables also require better maintenance. All these hack mechanics that exist out there are not qualified to setup a billiards table judging by how they mutilate pool tables. Billiard tables suffer worse from not being level, not having properly stretched cloth, not having properly installed cushions and need to be heated....otherwise it ruins the whole game. Unlike pool where a roll here and there isn't a big deal. Pool tables can still be playable when setup bad. Billiard tables are pointless when flawed.
All of these factors works against billiards. Thus, it will continue to be more and more niche.