If you don't think it's a good argument that the prizes are poor then you probably are not taking the FA very seriously. If you are really trying to be competitive in the FA then you put a lot into it. Many people use teleport spells and rearrange their cities to make space to place a gazillion workshops and factory sets. This can take hours. Then it's more than a little work setting and carefully collecting productions to collect badges. It's a pain in the butt doing tournament and stopping after each province to collect a spell related badge. It's a pain worrying about collecting badges for every 10 KP I donate. But the biggest pain is that my city is on hold for week. Because my city is filled with all these temporary buildings my city isn't growing. I avoided placing 2 ginormous guest race buildings because I wanted the space for temporary FA buildings. If your FS is very competitive you may win some FS ranking points and a special trophy building that you may not have a use for. The prizes for each stage are not that wonderful relative to the sacrifices many people make. If you are not actually enjoying doing the FA then it's really a big waste of time and resources in my opinion.
I dont disagree with anything you said actually. I just view it differently.
I run the FA's in my fs. I do all the number work, formulating plans, keep track of every badge made (that ppl report) and track every badge spent. While producing form my two cities. Got rid of all my orc buildings except the portal for added room in both cities, and my second city has no t2 or t3 factories to make more room for fa buildings. So yea.... i put a lot into it.
While the rewards generally dont match that level of effort for sure, i also usually dont mind as of late. Because they've seemed to switch (for the time being) to making FA's after each evolving building event in order for ppl to get some more artifacts. And i think thats a good thing. - I cant imagine what rewards they could give every FA to all the participants that would match that level of play needed tho; with out seriously tipping the balance of the game. (Note that evolving building themselves and there quest line are a whole different discussion.)
However.. i do wish there could be some sort of built in system that would keep track of all the fs badges made. Of all the effort in a FA, i think thats what gets me the most. I keep manual track of every badge reported in a spreadsheet. And its exhausting. Especially since theres always some ppl that dont bother posting, or are only posting some of there haul. So it usually only a matter of minutes until the count becomes inaccurate. And by map 3 its usually off a decent bit. It makes formulating plans and adjusting on the fly a lot more difficult. I do nearly everything i can for FA's, but that single bit there causes more stress then everything else combined for me.
I know some ppl will say that thats part of the whole 'team event' thing. And while i dont dissagree with that either, its a matter of reality. And the reality is, that its rare to find a group of 25 random ppl to come together that are going to have the same level of interest and dedication and time for the exact same thing. Iv played other games with the team mentality. Iv yet to find one group iv been apart of that hasnt had this issue. So as a result, i think it needs a slight adjustment from theory to reality.