As I posted earlier, I did not attend this tourney due to my DJ events, but here's my 2 cents for the attendance of this tournament, and the future of the Houston Scene.
Was this tournament even promoted? I checked the Official Texas Smash Twitter and last post was for promoting Ascension 3. I know Sync and everybody else is probably working, but there must be a new way of promoting these events.
Also, 12 people is inexcusable. Seems like majority of the attendance is Syncs House which is like 3/4 of the total people there. What are you guys doing actively to get people in?
Insomnia tournaments pull 35-40 people each time (majority people living relatively close to that area). Total cost is about 7 dollars (2 dollar venue + 5 dollar entry fee) which also covers a free pizza and a drink. Sure its a casual tournament (FD,BF,SV, double elimination, one match) but maybe you should cater to that crowd. Possibly talk with the Insomnia guy and maybe hold competitive brawl workshops so that you can actually ease the causal players into the scene.
I don't know whats the best way to improve attendance, but you pick some different location of some sort. Trying to convince the parents that the kid should go to a tournament with strangers at a Hookah Bar could possibly shoo them away.