Yes, Angelina is no Awesome Kong or Alyssa Flash in the ring, but she was damn entertaining. Which is the reason why I think the knockouts are better off with her than without her. If anything, they are better off without Lacey, someone who provides absolutely no entertainment to me.
This.
Angelina was extremely entertaining, but she didn't excel at any one thing. Putting her on TV equaled ratings, and TNA knew that. But, the division as a whole suffered, because there was no real "champ", and all the challengers were pretty easily tossed aside, when they really should have been steamrolling her.
Without her taking up TV time, we get to see 3, maybe even 4 KO segments a week, with only 1 featuring the Beautiful People. The belt is a hot topic right now, and people have already seemed to forget that Cody Deaner once was trying to kill it.
While I disagree with your opinion as a whole, you do bring up a strong point that Angelina is a draw, and that's never really a bad thing.
Personally, I think the Knockout Division overall has gone kinda flat, but I don't necessarily think it's because Angelina Love isn't there.
Considering this is a valid opinion, I can't try to prove you wrong. I can try and change your mind though.
ODB's novelty has not worn off. If anything, she's actually proven herself as an in-ring worker, and because she's not on the mic, no one thinks of her as a too-drunk redneck broad.
Alissa Flash hasn't been winning, which upsets me as a mark for her, but she has carried some damn fine matches, and sadly, there isn't a KO not named Daffney that would have taken that match against Hamada to put her over with the table shot. She's one of the best workers in all of TNA, much less the KO division.
Kong running over the roster is not a bad thing. Remember when the division was first started? Kong was on a rampage, and literally threw aside every competitor. Now that she's back to that, it means every other KO needs to put up or shut up, and prove their worth. This ultimately reshuffles the entire division.
As far as other KOs like Hemme or Traci...There's not much I can say. At least Hemme has a cool finisher, even if it doesn't look effective, and she should never really get a chance to use it.