Just 2 different kinds of folk club? That's not going into trad vs singer/songwriter, or songs vs tunes....

They are all useful, all good (for something, someone), else they die. Sometimes they die anyway. I don't see any hierarchy other than personal preferences. What doesn't suit, I don't go to. I think it fair to gently tease those musos who just sit around in circles playing diddly-diddly all evening, but they seem to survive perfectly well without my contribution, and good luck to them.