Totally think your right. You should see some of the shows on over here. I cannot stand reality shows anymore. They majority of people on them or a bunch of moaners and the ones who have talent, end up getting ignored.
The more drama they create the more popular they are, even if they are don't have any talent. Plus it's cheaper to make a reality show than a proper tv show, so that's probably why there doing more and more of them.