I've done 5 Bike Virginia rides, and 3 Ride Idahos. I've used the Sherpa service mostly, but one year I set up my own tent, and last year I stayed in the hotel
I could do it either way, but not having to mess around with finding your stuff and setting up a tent after a long hot day, or having to pack everything up when it's below freezing in August (yeah, Salmon ID!) is not the best use of my limited vacation time
On Ride Idaho they moved camp every night except for the layover day, so having the service was very nice. With the new format for Bike Virginia this year, they're actually only moving camp once, so it wouldn't be that much of a value-add there.