The reality is that there are times when you do need a "new" flashy piece on the midway. Depending on how competitive the area you are in is, you may need it to keep the spot. Lesser of a reason, yes, the public does notice if you "bring the same old rides" every year.
If you're a small show, with 10-12 pieces, playing smaller spots, you can get away with taking an old classic piece, flashing it up, and putting it on the midway. You actually almost have to do it, because a new piece isn't going to pay for itself fast enough (yes, I've run some numbers in the past to see what the ridership needs to be to cover the expenses).
That being said, the example used above of a Freakout, is more of a piece for a mid-sized show, with some strong county-fair type events. Those are the spots that are going to earn the cash to pay for the new ride. And I'd venture to say that looking at each ride individually, it won't pay for itself -- but looking at the rides as a whole, there will still be something left at the end of the day that's profit.
There's another way to look at a flashy new piece. If your event is one of the smaller attendance/lower gross spots on the show's route, you're likely going to end up with more/better equipment than you deserve. The show isn't going to not set something up, just because it's a lesser spot, unless there is a large expense in setting up/operating a piece, that won't be covered by the gross.
When it all comes down to it, I still say flash is cash. If you have the flashy pieces, the bub count high, the right music, good mic men, a good lot layout, and a strong community event, you will do well at a spot. People do notice, and yes, they still vote with their dollars...
"A journey of a thousand miles must begin with a single step." - Lao-Tsu
"Faith is taking the first step, even when you don't see the whole staircase." - Martin Luther King Jr.
"Only those who dare to fail greatly can ever achieve greatly." - Robert F. Kennedy