The small no name schools "earn" their way into the tournament by playing other small no name schools. Take the 15 seed Robert Morris and go look at who they played to earn their automatic bid. They got crushed by last place Penn State but got to go to the tournament because they beat Quinnipiac in their conference tournament. On the other hand the 5th place team in the Big 10, Illinois, got to go to the NIT because they got knocked out of the B10 tournament for losing to 5th ranked Ohio State. Or how about Mississippi State? They win the SEC West, finish 23-11, but got left out of the NCAA because they lost in the SEC Championship game, in OT, against #2 ranked Kentucky.
Taking TV ratings out of the picture, who really should be playing in those play in games? I say make all the small schools play their way into the tournament. If I was a fan of a small school I would not mind the play in game. They get to go up against another conference champion and if they win that then they get a shot at the #1 seed. I would love to see my team getting to play 2 games on national tv instead of just a 1 and done.