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It doesn't because it is so different,
it plays nothing like an snk, or capcom fighter, nor does it play like a 3d fighter
smash bros is a cross between fighting and platforming, and the fighting has been altered heavily from the classic fighting sens
they can stick all the content in the world in a game but it doesn't make it play like a different game putting a million different levels in Ninja gaiden doesn't turn it into no more heroes, all the info files in the world won't turn Umbrella Chronicles into house of the dead. Being able to play 30 different background songs in a level of smash bros won't turn it into samurai shodown
I play snk fighters a lot, and I play smash bros a lot, but they are far too different for smash bros to ever eclipse the other
as far as the decline of fighters, 2d fighters have really been niche games since the death of the dreamcast



I HAVE A DOUBLE DRAGON CAB IN MY KITCHEN!!!!!!

NOW A PUNISHER CAB!!!!!!!!!!!!!