A little. In NASCAR, cars are racing to stay in the top 35 points positions. These cars are guaranteed to be given a starting spot int the next race. Cars not in the top 35 have to qualify on speed, which is much harder and not at all certain to get you into the race. There has been some controversy recently bc there is such tough racing at the back of the pack as drivers try to maintain their point positions. Some people want to get rid of the top 35 rule. I actually think it's a good idea, and that it increases competition. Besides, why else would I care about the drivers in 40th place? It adds drama.
This is that same sort of drama DiMeo wants. Why should people care about a perennially crappy team? Because it might get demoted! Minor league hockey probably pays less to players and charges less to fans (regular people can afford it). This could bring in more fans with extra news coverage, and there are benefits either way. New fans could discover the next great family night or see awesome hockey as their local franchise fights to stay in the big leagues. I vote for trying it. If it doesn't work, they can just switch back. It's not like they've never tried a large scale plan to overhaul the distribution and number of teams in the league.