I have a the different theory. I don’t think the budget airlines originally targeted the typical airline passengers.
I believe they were after a different makret: the people who used to take haly day or day long bus and train rides. And for the archiplagoes like Indonesia, Malaysia and the Philippines, to attract those taking the days-long boat rides. When these passngers realized the precious time wasted on the journey, plus the cost of the meals during a long trip, the cost of air travel suddenly became more feasible.
Today, it is the old-time air travellers who are downgrading themselves and flying on the budget airlines. And with that comes the comparisons between the frills and no-frills. But for those who used to travel on land or sea for hours and even days, the budget airline is pure luxury.
So the people used to the bigger airlines shoud stoip complaining and comparing. Instead, they should just lower their expectations – and enjoy the flight!