I know you have an opinion, but mid-tier? AT BEST!?!?!?!?!?!??!?!?!?. If you think its representation, watch Ranai. REALLY REALLY REALLY Good Japanese player who mains villager. And if you say, But its only one rep, than that means rosa should be mid tier as well!
Yes, but he's Japanese. Since they use a different ruleset, their meta is much different than ours which creates drastically different tier placings, similar to Brawl. Counting results in a different ruleset than the one I personally use would be like counting results in a ruleset where everything is identical to the western ruleset, except for the fact that all matches were 4 person free for alls. Bowser (who was pretty much made for free for alls) would easily be a top tier in that ruleset, but that doesn't make him top tier in a 1 vs. 1 ruleset, does it?
When I talk about tiers, I personally refer to how characters do in the western metagame with the western ruleset. If Ranai were to come over here, compete in a major, and place well, then I would definitely reconsider my opinion since Villager would actually have good results in a western ruleset. In a similar vein, Mewtwo is looked upon much more favorably in Japan and is seen as like a low-mid tier over there. However, I'm not going to stop thinking Mewtwo is bottom tier because of his results in Japan (unless a Japanese Mewtwo got results in a western tournament) since he is currently not as effective in the western ruleset. Even if Dabuz is the only Rosalina getting great results, he's getting them under the western ruleset, which is one of the many reasons everyone views her a top tier.
Results aside, I also don't think Villager has good matchups against the top tiers (bar maybe Ness and Luigi, assuming he's still top tier) and he looses to characters that a so called "Tier 3" character shouldn't loose to (like Palutena). It's this combined with his lack of results in the west that cause me to see him as a mid-tier character.