Of course it's preventing new players from playing, "is it too late to party?" is not a meme question.
Quantity =/= Quality. For some really cool mounts you either gotta shell some big money (TCG/BMAH) or bet on 1% luck. Nobody really cares for recolors.
Then you have entire raids, questlines, transmogs etc. All unobtainable anymore.
"come join out game, good stuff is not available but you can get tons of crappy ones!"