They did not "drop the ball" and you KNOW THAT FOR A FACT. HOW, no tell me, HOW are you then supposed to sell Smash Ultimate then? HOW are you supposed to sell what could literally be the biggest game Nintendo has ever released in the past 35 years and their biggest game on the Switch without having a massive draw?
Look at Smash 4, the insane reveals of Cloud, Bayonetta, and Mega Man, the internet-breaking reveal for Snake in Brawl - you can't just simply go "hey, here's some characters and we'll reveal more down the line" all over again. We've done this three times now, and a fourth would be absolute overkill.
What would be the biggest way to appeal to all fronts, whether you are a Nintendo, PlayStation, Xbox, PC fan, normie, casual and/or hardcore? You bring in EVERYONE. Make the impossible possible. Go for Kingdom Hearts 3's and Final Fantasy VII Remake's throats for how big an E3 reveal can go. And look what happened? Everyone went insane.
Ridley was the cherry on that sundae, and with us getting more and more, such as K. Rool, and other fan favorites like Chrom and a new third party, I just simply cannot see how this has been "dropping the ball" at all.